Bottom line: Apple just had a record-breaking March quarter with impressive revenue growth when it comes to its services and Mac computers. iPads, on the other hand, didn't do so hot as they faced significant supply chain issues due to new pandemic waves in Asia.
Apple just announced financial results for its second fiscal quarter of 2022, which covers the months of January, February, and March. The Cupertino company beat analyst estimates with massive increases in both revenue and profit across most of its product lines.
For the quarter, Apple reported $97.3 billion in revenue, a nine percent increase year over year, and a profit of $25 billion, netting $1.52 in earnings per share.
Apple doesn't report unit sales for its products, providing a breakdown of revenue by category instead. iPhones continue to be the company's biggest earners, totaling $50.6 billion (up 5.5 percent YoY) in revenue in Q2. Macs made Apple $10.4 billion (up 14.3 percent YoY), while wearables brought in $8.8 billion (up 12.2 percent YoY).
The services category set an all-time revenue record at $19.8 billion, up 17.2 percent YoY. However, iPad revenues were down 2.2 percent YoY at just $7.6 billion. Apple CEO Tim Cook blamed the middling performance of its tablet business on the significant supply constraints it faced during the quarter.
Apple's services category includes the App Store, iCloud, Apple Music, and Apple TV+. It'll be interesting to see if the company can maintain its momentum in this area in the post-Covid era.
Apple refused to provide a forecast for the current quarter, citing continued uncertainty due to the pandemic. However, CFO Luca Maestri warned that supply constraints could hurt sales by up to $8 billion this quarter.