Apple has announced the financial results for its fiscal 2020 first quarter that ended Dec. 28, 2019. The company posted quarterly revenue of $91.8 billion, an increase of 9% from the year-ago quarter and an all-time record, and quarterly earnings per diluted share of $4.99, up 19%, also an all-time record. International sales accounted for 61% of the quarter’s revenue.
“We are thrilled to report Apple’s highest quarterly revenue ever, fueled by strong demand for our iPhone 11 and iPhone 11 Pro models, and all-time records for Services and Wearables,” said CEO Tim Cook in a press release. “During the holiday quarter our active installed base of devices grew in each of our geographic segments and has now reached over 1.5 billion. We see this as a powerful testament to the satisfaction, engagement and loyalty of our customers — and a great driver of our growth across the board.
The iPhone earned $56 billion in the quarter; that’s up from $52 billion last year. Services revenue — which includes Apple Music subscriptions, iTunes Music, iCloud storage plans, paid apps from Apple’s App Store, and Apple Care service plans, Apple Pay, etc.— rose 17% to $12.7 billion, increasing year-on-year from $10.9 billion. The Wearables, Home, and Accessories category (which includes AirPods, AirPods Pro, Apple Watches, HomePods, and more) tallied $10 billion, up almost $3 billion rise from the first quarter of 2019. However, iPad revenue dropped 11% to $6 billion, and Mac revenue dipped 3% to $7.2 billion
“Our very strong business performance drove an all-time net income record of $22.2 billion and generated operating cash flow of $30.5 billion,” added Chief Financial Officer Luca Maestri. “We also returned nearly $25 billion to shareholders during the quarter, including $20 billion in share repurchases and $3.5 billion in dividends and equivalents, as we maintain our target of reaching a net cash neutral position over time.”
Apple is providing the following guidance for its fiscal 2020 second quarter: revenue between $63.0 billion and $67.0 billion; gross margin between 38% and 39%; operating expenses between $9.6 billion and $9.7 billion; other income/(expense) of $250 million; and a tax rate of approximately 16.5%.
Apple’s board of directors has declared a cash dividend of $0.77 per share of the Company’s common stock. The dividend is payable on Feb.13, 2020 to shareholders of record as of the close of business on Feb.10, 2020.