Apple’s Quarterly revenue hits record, Cook says Metasomes have potential and are investing in them

2022-05-04 0 By

The Apple logo is seen on the glass fence of the Apple Store at the World Trade Center Station in New York, THE United States, January 4, 2022.Apple shares rose nearly 5 points in after-hours trading after the company reported strong first-quarter results.On Jan. 28, Apple announced its fiscal first quarter 2022 results, which ended Dec. 25, 2021.Apple’s fiscal first quarter revenue totaled $123.9 billion, up 11% from a year earlier.Net profit of $34.63 billion, up 20% year on year;Earnings per share were $2.10, up 25% from a year ago.Apple’s board of directors declared a cash dividend of $0.22 per common share.These proceeds will be paid on February 10, 2022 to shareholders of record as of the close of business on February 7, 2022.Apple’s quarter was the full one in which the iPhone13 went on sale.Apple had a strong quarter, with year-over-year sales growth for all of its products except the iPad, even though management had warned since October that supply problems could hurt sales.However, Apple CEO Tim Cook said the company’s supply issues were improving and the current quarter was an improvement from the first quarter.Total revenue for the quarter was $123.9bn, up 11% from $111.4bn a year earlier and beating analysts’ consensus estimate of $118.66bn.Net income of $34.63 billion, up 20% from $28.76 billion a year earlier;Earnings of $2.10 a share were up 25% from $1.89 a year earlier and above analysts’ consensus estimate of $1.88.By product, Apple’s major product lines grew in the quarter with the exception of the iPad.Of that, iPhone revenue was $71.63 billion, up 9% from $65.6 billion a year earlier.Mac revenue was $10.85 billion, up 25% from $8.68 billion a year earlier.IPad revenue of $7.25 billion was below expectations of $8.18 billion, down 14% year-over-year;Revenue from other products (wearables, home products and accessories) was $14.7 billion, up 13% from $14.59 billion a year earlier;Services revenue was $19.52 billion, up 24% from a year earlier and beating the average analyst estimate of $18.61 billion.By region: Net revenue in the Americas was $51.5 billion, compared with $46.31 billion a year earlier.Net revenue in Europe was $29.75 billion, compared with $27.3 billion a year earlier.Net revenue in Greater China was $25.78 billion, up 21% from $21.3 billion a year earlier.Net revenue in Japan was $7.11 billion, compared with $8.29 billion a year earlier.Net revenue in the rest of Asia Pacific was $9.81 billion, compared with $8.23 billion a year earlier.This quarter, Apple greater China performance continues to shine.According to the latest data released by third-party market research firm Counterpoint, Apple became the no. 1 smartphone vendor in China with a 23 percent market share in the fourth quarter of 2021, the first time apple has topped the Chinese mobile phone market since 2015.Luca Maestri, Apple’s chief financial officer, said: “Strong customer response to our recently launched new products and services drove double-digit revenue and profit growth and helped us record active device installs.These record operating results allowed us to return nearly $27 billion to shareholders in the quarter as we maintained our goal of achieving a net cash neutral position over time.”Apple also did not provide official guidance for the current quarter.Still, Mr. Cook offered some clues in an interview.”We expect strong year-over-year revenue growth in the second quarter,” he said.”We expect supply tightness to be lower in the coming quarter than in the first quarter.”Cook said the company’s supply problems were improving.He said the fiscal first quarter was worse than the fourth quarter of 2021 in terms of supply challenges, but he expected an improvement in the current quarter.”Our biggest problem is supply of chips, and supply of chips made using traditional node processes,” he said.We’re doing a good job at the cutting edge.”Investment bank Raymond James said Apple’s supply chain constraints involve camera modules and power components made by Texas Instruments, and that supplies of the iPad tablet could be limited as building blocks are reserved for the iPhone, which accounts for half of revenue.Supply chain consulting firm Blume Global said logistics delays and chip shortages have shown no signs of improving in recent months, with concerns about Apple’s ability to control supply chains as it battles PC giants like Dell and HEWLETT-PACKARD as well as cloud giants like Microsoft, Amazon and Google.Mr Cook also said Apple was facing inflationary pressures.”I think everyone is seeing inflationary pressures, there’s no doubt about it,” he said.Apple (AAPL) analyst conference call, Cook was asked about the metasomes and said he sees a lot of potential and is investing in it.”We are a company in the business of innovation.We are always exploring emerging technologies and this is an area of great interest to us.We have 14,000 ARKit apps on the App Store that provide an incredible AR experience for millions of people today.We see a lot of potential in this area and are investing accordingly.”Cook said Apple is focused on the intersection of hardware, software and services, and that’s where the real magic happens.In terms of future business, Wall Street is most concerned about Apple’s expansion into new markets such as electric cars and metasverse hardware.Wedbush analyst Dan Ives said Metaverse could add $20 a share to its value.Apple has been repeatedly predicted to withdraw its first AR device this year.Late last year, Bloomberg’s Mark Gurman broke the news that Apple had hired Andrea Schubert, former head of communications for Meta’s AUGMENTED reality (AR) efforts, as the company prepares for the official launch of mixed reality (MR) or augmented reality (AR) hardware in 2022.In early December 2021, Mark Gurman also wrote a report saying that he doesn’t believe Apple’s first mixed reality headset will be a replacement for the Mac, iPhone, or iPad, and instead will focus on gaming, media consumption, and communications.In January, apple’s AR/MR headset will have dual cpus made from 4nm/5nm processes and have more computing power than its rival’s 2-, according to a new research report by Temwind International analyst 𠓹In November 2021, Ming-chi kuo released a report that expected Apple to launch AR glasses in the fourth quarter of 2022.Apple is reportedly planning to launch its first AR/VR headset as early as this year.However, recently, Bloomberg reported that Apple has hit a snag in its development of the product and that the launch could be delayed until 2023.(This article is from For more original news, please download APP.)