Apple announces their Q1 2017 financial earnings, beating expectations with quarterly revenue of $78.4 billion. The company posted revenue of $78.4 billion. Earnings per share of $3.36 were up 2.4 percent from a year earlier. Mac sales more or less held steady at 5.4 million, a 1% increase in units sold, and those sales took in another $7.2 billion for the company. Apple sold 13.1 million iPads, 78.3 million iPhones, and 5.4 million Macs during the quarter.
iPad sales were weaker for Apple to end fiscal 2016, falling by 22% to $5.5 billion, which suggests that the newer iPad Pro models are not as hot as the company hoped they would be.
Popular games such as Pokemon Go, Super Mario Run and subscriptions helped the tech giant's services business, which includes App Store, Apple Pay and iCloud, record an 18.4 percent growth in revenue.
He also said revenue from services grew strongly over a year ago, thanks to record customer activity on the App Store.
Apple closed the day at $121.35 and is now up 2.56 percent in after-hours trading at $124.46 on the solid earnings report.
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Adjusted earnings for the quarter rose to $4.15 billion or $1.41 per share from $2.27 billion or $0.79 per share previous year . The number of daily active users rose 18% to 1.23 billion in December, while monthly active users rose 17% to 1.86 billion.
Apple already has analysts shaken, though, with predictions of $51.5 billion to $53.5 billion in revenue, lower than Wall Street is already expecting, on $6.5 billion to $6.6 billion of operating expenses. But the launch of the new iPhone 7 and iPhone 7 Plus clearly piqued consumers' interest - the device now accounts for 69 per cent of Apple's revenues.
The iPhone made up 63 percent of Apple's revenue in 2016, so the company needs that moneymaker to do well.
Revenue for the Mac, Apple Watch, and Services also hit all-time highs, though the iPad struggled to keep up with Apple's other products during the holiday season. Apple returned to growth for the first time in three quarters.
Apple recorded an operating income of $23.3bn, which was also down from $24.1bn a year ago. $7 billion from its services efforts and more than four billion from other products, including the Apple Watch.