Apple recently released its Q1 2023 financial report, which covers the last quarter of the calendar year 2022. After facing supply chain constraints that impacted inventory, the company reported lower revenue and sales on a year-over-year basis.
On the other hand, Apple also highlighted some positive news, including the fact that it now has 2 billion active devices and saw record-breaking revenue in its services segment.
For the three-month period ending December 31, 2022, total sales were recorded at $117.1 billion, compared to $123.9 billion in the prior year’s same period. Additionally, the net income of almost $30 billion showed a decline of 13% from $34.6 billion.
Apple no longer publicly reveals unit sales figures and instead only reports revenue by category. iPhones, which make up more than half of Apple’s sales, saw a decline of 8% from the previous year.
| (in $ million) | Period ending Dec 31, 2022 | Period ending Dec 25, 2021 | Change |
| iPhone sales | 65,775 | 71,628 | -8% |
| Mac sales | 7,735 | 10,852 | -28% |
| iPad sales | 9,396 | 7,248 | 28% |
| Wearables, Home, and Accessories sales | 13,482 | 14,701 | -8% |
| Services sales | 20,766 | 19,516 | 6% |
| Total sales | 117,154 | 123,945 | -5% |
| Net income | 29,998 | 34,630 | -13% |
On the other hand, the services segment generated $20.8 billion in revenue between October and December 2022, with a 6% increase from the previous year. The only other product category that experienced a small increase was iPads, rising almost 30% from $7.2 billion to $9.3 billion.
Apple’s CEO Tim Cook declared that the company has its “best lineup of products and services ever.” The CFO, Luca Maestri, noted that although revenue may appear to be declining, it actually grew when adjusted for constant currency.
The company generated $34 billion in cash flow and returned over $25 billion to shareholders, including a $0.23 cash dividend per share.
