In what is usually one of its slowest growth quarters in a given year, Apple today reported a nearly 50 percent year-over-year increase in iPhone sales, among other positive numbers that beat analyst expectations. The numbers were published today as part of Apple’s quarterly earnings report.
Overall, Apple saw $81.41 billion in revenue in Q3 of 2021, up 36 percent year over year. iPhone revenue was $39.57 billion (up 49.78 percent), and services raked in $17.48 billion (up 33 percent).
The Mac and iPad also grew, albeit by a smaller amount. The Mac generated $8.24 billion, up 16 percent over last year, while the iPad came in at $7.37 billion and 12 percent.
The other big number is Apple’s “other products” revenue, which primarily includes wearables like Apple Watch and AirPods. That category produced $8.77 billion—more than either the Mac or the iPad—for 40 percent year-over-year growth.
Analysts believe Apple’s continued rally can be attributed in part to the world’s focus on work from home and remote classrooms, which have continued as the global COVID-19 pandemic has progressed into new phases in some regions.
For the sixth quarter in a row, Apple did not provide guidance for the next quarter. Typically, companies like Apple give investors a general prediction about how they expect to perform in the next quarter, which is just beginning as these earnings reports are published.
But Apple has declined to do so ever since the beginning of the pandemic, saying that various factors related to that make reliable predictions about the future too challenging.
That said, Apple is expected to introduce several new products in the next quarter, including new iPhones. However, neither analysts nor Apple expect 2021 to be as big a year-over-year a jump for iPhone sales as 2020, which was deemed a “supercycle” year due to various factors. Further, Apple execs cautioned that supply constraints on the iPhone and iPad could be an issue, impacting the company’s bottom line next quarter.
Other developments that could drive Apple’s revenue in the coming quarter include a new Apple Watch, an updated version of AirPods, and high-performance Macs like the 16-inch MacBook Pro with an updated variant of Apple’s custom-designed M1 chip.