All the important and interesting things related to Apple’s Q1

In lieu of a post for each bit of news, here's an informal collection of the most important facts from Apple's first quarter earnings release yesterday along with some interesting tidbits:  Sales and Revenue

  • It was a record quarter with $18 billion of profit on revenues of $74.6 billion.
  • That’s the most quarterly earnings by any company ever - link

A billion served

  • In November, Apple shipped its one billionth iOS device - a space gray 64GB iPhone 6 Plus. Apple is keeping it at its headquarters.
  • Maybe it’s next to the gold millionth Apple II (at 3:44 mark) - link

iPhone

  • Apple shipped a record 74.5 million iPhones - well above expectations.
  • Apple is now the No. 1 smartphone maker in China - link
  • Amazingly, at the same time, average selling price (ASP) for iPhone was up - link
  • There's an awkward silence from those that said Apple must build a less expensive iPhone.

Mac

  • Mac revenue set a new all-time record with units up 14% over the year ago quarter to 5.5 million.
  • Impressive given the fact that the rest of the PC market continues to struggle.

iPad

  • iPad sales didn’t fare as well, with units down to 21.4 million vs. 26 million in the year ago quarter.
  • Tim Cook gave two reasons:
    • A longer upgrade cycle
    • Cannibalization by iPhone and Mac
  • Tim also gave a few reasons to be optimistic:
    • First-time buyer rates are very high
    • Customer satisfaction rating are “off the charts”
    • He feels feel “very, very good” about what is in the pipeline for iPad
    • Opportunities in enterprise, including the Apple’s IBM partnership
  • Tim Cook: “I believe that over the long arc of time, the iPad is a great business.”

Apple Watch

  • Apple Watch is “on track” and scheduled to ship in April.
  • Here’s a countdown timer for app submissions - link
  • Tim Cook: “I’m using it every day, love it, and can't live without it.”
  • Me: “Nice humble brag, Tim.”

App Store

  • Revenues were up an incredible 41%.

Apple Pay

  • Apple Pay already makes up two of every three dollars in contactless payments through American Express, MasterCard, and Visa.
  • Tim Cook: "We are more confident than ever that 2015 will be the year of Apple Pay."

Resources:

  • Transcript of Apple CEO Tim Cook’s statements on the analyst call - link
  • Nice collection of charts - link

Straight from Apple:

  • Apple’s Q1 press release - link
  • Additional data on Apple's investor relations site - link
  • Replay of the Q1 conference call - link
  • Q1 conference call as a Podcast - link