Apple's Q4 report: iPhone sales are down, but 2 billion active devices reached

Apple posted its financial report on the last three months of 2023, which is the first quarter of its fiscal year. Total revenue and sales are down on a yearly basis as supply chain issues limited inventory. The company highlighted some of the positives in the bleak scenario - it now has 2 billion devices in active use and recorded an all-time high revenue in the Services business.

The total sales for the three months ending on December 31, 2022, were $117.1 billion, while the same period twelve months ago saw $123.9 billion in sales. The net income of almost $30 billion is down 13% from $34.6 billion.

Apple stopped revealing unit numbers a long time ago and now just lists revenue per category. The iPhones account for more than half of sales, but are still down 8% from last year. The Services business saw $20.8 billion in revenue between October and December 2022, up 6% yearly. The only other product category that saw a slight rise is the iPads, jumping almost 30% from $7.2 billion to $9.3 billion.

Tim Cook, Apple’s CEO, said the company has “the best lineup of products and services ever”. The CFO Luca Maestri added that revenue on paper might look in decline, but on a constant currency basis, it actually grew. The company generated $34 billion in cash flow and managed to return over $25 billion to shareholders, with a $0.23 cash dividend per share.

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