The tech giant said Thursday that its revenue reached $58.3 billion in the quarter ended in March, a 1% increase from a year earlier. That beat analyst estimates, but fell far short of Apple’s pre-coronavirus guidance of between $63 and $67 billion.
“Despite COVID-19’s unprecedented global impact, we’re proud to report that Apple grew for the quarter,” CEO Tim Cook said in a statement. The jump was driven by an all-time record for revenues from Apple’s services such as Apple Music, Apple TV+ and iCloud, Cook said. Sales from that business line rose nearly 17% from a year earlier to $13.3 billion. Apple also said it set a new quarterly record for sales of its wearable devices.
Apple stock initially jumped 2% in after-hours trading following the earnings report, but then dropped to around 1.5% below its Thursday closing price.
Apple said sales in the greater China region fell around 7.5% compared to the same quarter last year. International sales accounted for 62% of its revenue for the quarter, it added.
But investors and users will be watching for updates on the company’s latest flagship line of smartphones, anticipated to be launched this fall and expected to include the first 5G-enabled iPhone.