Apple Reports A Huge Profit Increase and A 9% Increase In Revenue

Today, Apple released its financial figures for the second quarter of the fiscal year 2022. Apple's revenue and earnings achieved all-time highs in the March quarter. The gross margin for the quarter was 43.7 percent, up from 42.5 percent the previous year. Apple also declared a $0.23 per share dividend increase, up from $0.22 per share before. The dividend will be paid on May 12 to stockholders on record on May 9. Apple has reportedly authorized a $90 billion increase in its stock repurchase program. At 2:00 p.m. Pacific, Apple will broadcast a live webcast of its fiscal Q2 2022 financial results conference call, This article will be updated during the conference call with highlights

• 2:03 PDT/ 5:03 EDT He's taking a breather to address Ukraine's "humanitarian disaster." On the ground, the corporation is giving to humanitarian projects. Recognizing how people are returning to work in the United States and Europe, while situations in China remain challenging. "These events serve as a reminder that we cannot predict what the future may contain."
  

• 2:04 PDT/ 5:04 EDT Despite supply chain issues, the Mac division's success, especially the new Mac Studio, is being lauded.
  

• 2:05 PDT/ 5:05 EDT Due to robust demand for the iPhone 13 family, iPhone revenue increased by 5%
  

• 2:05 PDT/ 5:05 EDT Significant iPad supply limitations that had been projected at the beginning of the quarter have persisted.
  

• 2:07 PDT/ 5:07 EDT Revenue from services increased by 17% year over year to $19.8 billion. Tim points out that CODA won Best Picture at the Oscars, making Apple TV+ the first streaming service to do it.
  

• 2:08 PDT/ 5:08 EDT Arizona is the first state to adopt an Apple Wallet driver's license or state ID. More states, as well as Puerto Rico's territory, are on their way.
  

• 2:09 PDT/ 5:09 EDT In Abu Dhabi, a new Apple Retail Outlet has opened, as well as a third store in Seoul. In the United States, in-person Today At Apple seminars have returned.
  

• 2:11 PDT/ 5:11 EDT Apple's diversity and inclusion efforts. In 2021, persons from underrepresented populations filled 60% of all leadership positions.
  

• 2:12 PDT/ 5:12 EDT "The twists and turns of the future may be uncertain. But what is certain is that we will never stop striving to be a force for good in the world, with everything we do and everything we are."
  

• 2:12 PDT/ 5:12 EDT On the line is CFO Luca Maestri, who will go over the figures in further depth.
  

• 2:12 PDT/ 5:12 EDT $97.3 billion in revenue, setting new March quarter highs in the Americas, Europe, and Greater China.
  

• 2:12 PDT/ 5:12 EDT Grew in every product category except the iPad, which was severely limited in availability.
  

• 2:13 PDT/ 5:13 EDT Actuation user base reached an all-time high across all product categories and geographic groups.
  

• 2:13 PDT/ 5:13 EDT The gross margin is 43.7 percent, down 10 bp from the previous quarter. Leverage losses and adverse foreign exchange were compensated in part by a positive product mix.
  

• 2:14 PDT/ 5:14 EDT Services GM was 72.6 percent, a 20-basis-point increase owing to mix.
  

• 2:14 PDT/ 5:14 EDT The March quarter set new records for cash flow, net income, and earnings per share.
  

• 2:14 PDT/ 5:14 EDT In the first half of the fiscal year, Apple generated $220 billion in sales, setting new marks for iPhone, Mac, Wearables/Home, and Services.
  

• 2:15 PDT/ 5:15 EDT Despite supply restrictions, iPhone sales increased by 5% year over year to $50.6 billion. The iPhone 13 family received a strong reception, as did the unveiling of the new iPhone SE. In both established and emerging markets, the March quarter set new highs. According to a poll of iPhone customers in the United States, 99 percent of people want the iPhone 13 family.
  

• 2:15 PDT/ 5:15 EDT Mac set a March quarter record of $10.4 billion, representing a 15% year-on-year increase. Strong demand for M1-powered MacBook Pro. Our Mac Results demonstrate Apple's continued innovation and investment in silicon. The last 7 quarters have been the best 7 ever for Mac.
  

• 2:16 PDT/ 5:16 EDT Due to supply restrictions, iPad revenue fell 2% year over year to $7.6 billion. The M1 iPad Air increased the number of iPads sold to a new level, with half of all iPad customers being first-time buyers.
  

• 2:17 PDT/ 5:17 EDT Wearables/Home/Accessories, $8.8 billion, up 12% year over year. In both established and emerging markets, the March quarter set new revenue records. In just three years, the wearables industry has grown to the size of a Fortune 100 company.
  

• 2:17 PDT/ 5:17 EDT Two-thirds of Apple Watch users are new to the device.
  

• 2:17 PDT/ 5:17 EDT An all-time high of $19.8 billion in Services, including all-time highs in App Store, Music, Cloud Services, AppleCare, and March highs in Video, Advertising, and Payment Services.
  

• 2:18 PDT/ 5:18 EDT The user base has continued to rise, achieving new highs in every geo and product category. Increased service engagement, as well as new subscription accounts. Paid subscriptions are on the rise, with 825 million paid subscriptions across all platforms, up from 165 million in the previous year.
  

• 2:19 PDT/ 5:19 EDT Current services are being upgraded, while new services are being launched. Apple continues to be the go-to company for new enterprises and government agencies looking for cutting-edge technology. For speedier check-in and self-bag drop, Alaska Airlines is replacing self-service kiosks with iPad Pros.
  

• 2:19 PDT/ 5:19 EDT The first deployment of CarPlay alongside iPhones in the world was accomplished by the Western Australian Police Force.
  

• 2:19 PDT/ 5:19 EDT Apple Business Essentials is now available in the United States.
  

• 2:20 PDT/ 5:20 EDT The cash position is excellent, as is the cash flow. Cash and marketable securities totaled $193 billion. $3.8 billion in expiring debt was repaid, while the commercial paper was raised by $2 billion. The entire debt is $120 billion. Net cash of $73 billion. Dividends and open market repurchases of Apple shares returned $27 billion to stockholders.
  

• 2:21 PDT/ 5:21 EDT $90 billion for stock buybacks, resulting in a 5% increase in the dividend to $0.23 per share. Dividends will be increased annually in the future.
  

• 2:22 PDT/ 5:22 EDT Given the uncertainties, a revenue forecast is not provided. However, certain findings based on covid effects suggest that things aren't getting any worse. Supply restrictions from covid interruptions and silicon shortages are making it harder to satisfy customer demand in the June quarter, affecting YoY revenue performance. $4-8 billion, a significant increase over the March quarter. In China, there has been some interruption in client demand. On FX, 300 basis points. In the March quarter, all sales in Russia were halted, which would reduce the year-over-year growth rate by 150 basis points.
  

• 2:22 PDT/ 5:22 EDT The stock of Apple is dropping after hours as a result of these forecasts.
  

• 2:22 PDT/ 5:22 EDT The line is now open for analysts & investors to ask questions.
  

• 2:58 PDT/ 5:58 EDT And that's a wrap!