For the quarter, Apple posted revenue of $89.5 billion and net quarterly profit of $23.0 billion, or $1.46 per diluted share, compared to revenue of $90.1 billion and net quarterly profit of $20.7 billion, or $1.29 per diluted share, in the year-ago quarter.
Gross margin for the quarter was 45.2 percent, compared to 42.3 percent in the year-ago quarter. Apple also declared a quarterly dividend payment of $0.24 per share, payable on November 16 to shareholders of record as of November 13.
For the full fiscal year, Apple recorded $383.3 billion in sales and $97.0 billion in net income, down slightly from $394.3 billion in sales and $99.8 billion in net income for fiscal 2022.
"Today Apple is pleased to report a September quarter revenue record for iPhone and an all-time revenue record in Services," said Tim Cook, Apple's CEO. "We now have our strongest lineup of products ever heading into the holiday season, including the iPhone 15 lineup and our first carbon neutral Apple Watch models, a major milestone in our efforts to make all Apple products carbon neutral by 2030."
As has been the case for over three years now, Apple is once again not issuing guidance for the current quarter ending in December.
Apple will provide live streaming of its fiscal Q4 2023 financial results conference call at 2:00 pm Pacific, and MacRumors will update this story with coverage of the conference call highlights.
| 2:23 pm | "On foreign exchange, we expect a negative year over year revenue impact of about 1 percentage point." |
| 2:23 pm | "We are particularly pleased with our performance in emerging markets with revenue reaching an all-time record in fiscal 2023 and double-digit growth in constant currency." |
| 2:23 pm | "Our annual revenue was $383 billion, down 3% from the prior year, it grew on a constant currency basis despite the volatile and uneven macroeconomic environment. Our year-over-year revenue performance improved each quarter as we went through the year, and so did our earnings per share performance as we reported double digit EPS growth in the September quarter." |
| 2:22 pm | "During the quarter, we returned nearly $25 billion to shareholders, including $3.8 billion in dividends and equivalents and $15.5 billion to open market repurchases of 85 million Apple shares, we also began a $5 billion accelerated share repurchase program in August, resulting in the repurchase and retirement of 22 million shares." |
| 2:21 pm | "To our cash position and capital return program. We ended the quarter with over $162 billion in cash and marketable securities. We increased commercial paper by $2 billion, leaving us with total debt of $111 billion As a result, net cash was $51 billion at the end of the quarter." |
| 2:21 pm | Luca is citing a number of enterprise customers who are investing heavily into the Apple ecosystem. |
| 2:20 pm | "We continue to see increased customer engagement with our services, both transacting accounts and paid accounts grew double digits year over year, each reaching a new all-time high. Our paid subscriptions showed strong growth. We have well over 1 billion paid subscriptions across the services on our platform, nearly double the number we had only three years ago." |
| 2:20 pm | "Our installed base of over 2 billion active devices continues to grow at a nice pace and establishes a solid foundation for the future expansion of the ecosystem." |
| 2:19 pm | "Services had a great quarter. We reached a new all-time revenue record of $22.3 billion, up 16% year over year. And we're happy to see growth coming from all categories and every geographic segment, which is a direct result of the strength of our ecosystem." |
| 2:19 pm | "Wearables, Home and Accessories revenue was $9.3 billion, down 3% year over year. We had a September quarter record in Europe, and we saw strong performance in several emerging markets around the world. Apple Watch continues to expand its reach, with nearly two-thirds of customers purchasing an Apple watch during the quarter being new to the product. and customer satisfaction for the watch was recently measured at 97% in the US." |
| 2:18 pm | "iPad generated $6.4 billion in revenue, down 10% year over year. Similar to Mac these results were a function of a difficult compare from the supply disruptions in the June quarter a year ago, and the subsequent fulfillment of pent-up demand in the September quarter. iPad continues to attract a large number of new customers to the installed base, with over half of the customers who purchase iPads during the quarter new to the product. The latest reports from 451 Research indicate customer satisfaction of 98% in the US." |
| 2:17 pm | "Our install base is at an all time high, and half of Mac buyers during the quarter were new to the product driven by MacBook Air. We saw reported customer satisfaction of 97% for Mac in the US." |
| 2:17 pm | "Mac revenue was $7.6 billion, down 34% year over year, driven by challenging market conditions and compounded by a difficult compare in our own business. Last year, we experienced supply disruptions from factory shutdowns in the June quarter, and were subsequently able to fulfill a significant pent-up demand during the September quarter. We also had a difference in launch timing with the MacBook Air launching earlier this year in the June quarter compared to the September quarter last year." |
| 2:17 pm | "iPhone revenue was $43.8 billion up 3% year over year, and a new September quarter record. We have strong performance in several markets including an all time record in India, and September quarter records in Canada, Latin America, the Middle East and South Asia. Our iPhone active installed base grew to a new all-time high, and fiscal 2023 was another record year for switchers." |
| 2:16 pm | "Products gross margin was 36.6%, up 120 basis points sequentially, also driven by leverage and mix partially offset by foreign exchange. Services gross margin was 70.9%." |
| 2:15 pm | "Company gross margin set a September quarter record at 45.2%, up 70 basis points sequentially driven by leverage and favorable mix partially offset by foreign exchange." |
| 2:15 pm | "We reached all time revenue records in the Americas, Europe, and the rest of Asia Pacific, and a September quarter record in Greater China. We also set new records in every Services category." |
| 2:14 pm | "Our services revenue set an all-time record of $22.3 billion, up 16% year over year, with growth accelerating sequentially from the June quarter." |
| 2:14 pm | "Our total installed base of active devices reached an all time high across all products and all geographic segments thanks to our high levels of customer satisfaction. and many new customers, joining our ecosystem." |
| 2:14 pm | "We set a September quarter record in the Americas and saw strong performance across our emerging markets for both iPhone and services grew double digits." |
| 2:13 pm | "Revenue for the September quarter was at 9.5 billion down less than 1% from last year. Foreign exchange had a negative impact of over two percentage points. And on a constant currency basis, our revenue grew year over year." |
| 2:13 pm | CFO Luca Maestri is coming on the call to dive deeper into the financials. |
| 2:13 pm | "Apple is always looking forward, driven in equal measure by a sense of possibility and a deep belief in our purpose. We're motivated by the meaningful difference we can make for our customers, and keenly determined to push the limits of technology even further. And that's why I'm so confident that Apple's future is bright." |
| 2:12 pm | "Our first ever carbon neutral products represent a major milestone, and we're going to go even further. We plan to make every product across our lineup carbon-neutral by the end of the decade. And we're not doing it alone. over 300 of our suppliers have committed to using 100% clean energy for Apple production by 2030." |
| 2:12 pm | "Our environmental efforts are a great example of the intersection of our work and our values. Across Apple, we act on a simple premise. The best products in the world should be the best products for the world. We've made our environmental work a central focus of our innovation because we feel a responsibility to leave the world better than we found it. And because we know that climate change cannot be stopped unless everyone steps up and does their part." |
| 2:12 pm | Tim is talking about the unique features and products Apple makes, including Emergency SOS via Satellite, and talking about making sure Apple tech is accessible for everyone and to have a more inclusive workplace. |
| 2:11 pm | The first ever Apple Retail Stores in India opened, plus new stores in Korea, China, and the UK. Apple Online Store opened in Vietnam and Chile, and there's another retail store opening in China this week. |
| 2:10 pm | "With the playoffs now underway, we can't wait to see who takes home the MLS Cup." |
| 2:10 pm | He's touting new content on Apple TV+, including Martin Scorsese's Killers of the Flower Moon. Apple TV shows have received 1600 award nominations and nearly 400 wins. Mentioning MLS Season Pass, saying that subscriptions have "exceeded expectations." |
| 2:09 pm | "Services revenue set an all-time record of $22.3 billion, a 16% year-over-year increase, and we achieved all-time revenue records across App Store, advertising, AppleCare, iCloud, payment services, and video as well as a September quarter revenue record for Apple Music." |
| 2:08 pm | He continues by noting new features in iOS 17 and macOS Sonoma as more evidence of innovation. |
| 2:08 pm | On top of talking about the new Apple Watch products, Tim specifically calls out Apple's first fully-carbon neutral products. |
| 2:07 pm | "Across Wearables, Home and Accessories, revenue came in at $9.3 billion." |
| 2:06 pm | "iPad revenue for the September quarter was $6.4 billion." |
| 2:06 pm | "According to the latest data from StudentMonitor, nearly two out of three college students chose a Mac." |
| 2:06 pm | Tim is citing the new M3 Macs introduced earlier this week as evidence of the company's innovation and investment in the Mac. |
| 2:05 pm | "This was due to challenging market conditions, as well as difficult compares against the supply disruptions and subsequent demand recapture we experienced a year ago." |
| 2:05 pm | "Mac revenue came in at $7.6 billion, down 34% year over year, from the prior year's record quarter." |
| 2:05 pm | Tim is now touting the iPhone 15 lineup, introduced at the tail end of the quarter. |
| 2:05 pm | "iPhone revenue came in at $43.8 billion, 3% higher than a year ago and a new record for the September quarter." |
| 2:04 pm | "We've continued to invest in the future, and manage for the long term. We've adapted continuously to circumstances beyond our control, while being thoughtful and deliberate on spending. And we've carved a path of groundbreaking innovations and delivered with excellence every step of the way. That includes Apple Vision Pro, which has gotten such an amazing response from developers who are currently creating truly incredible apps. We're excited to get this magical product in the hands of customers, early next year." |
| 2:04 pm | "During the September quarter, we continued to face an uneven macroeconomic environment, including foreign exchange headwinds, and we've navigated these challenges by following the same principles that have always guided us." |
| 2:03 pm | "In services, we set an all-time revenue record with double-digit growth and ahead of our expectations." |
| 2:03 pm | "iPhone revenue came in ahead of our expectations, setting a September quarter record, as well as quarterly records in many markets, including China mainland, Latin America, the Middle East, South Asia, and an all-time record in India." |
| 2:03 pm | Tim Cook: "Apple is reporting revenue of $89.5 billion for the September quarter. we achieved an all-time revenue record in India, as well as September quarter records in several countries including Brazil, Canada, France, Indonesia, Mexico, the Philippines, Saudi Arabia, Turkey, the UAE, Vietnam, and more." |
| 2:02 pm | The call is beginning with a typical introduction from an Apple PR rep, warning that the call will include forward-looking statements about Apple's finances. |
| 2:01 pm | Apple's quarterly earnings call with financial analysts is beginning. Expected on the call are Apple CEO Tim Cook and CFO Luca Maestri. They will give an overview of the quarter and then answer questions from analysts. |
| 1:49 pm | Cook to Reuters: "In mainland China, we set a quarterly record for the September quarter for iPhone," Cook told Reuters. "We had four out of the top five best-selling smartphones in urban China." Cook also said two of Apple's new high-end handset models - the iPhone 15 Pro and Pro Max devices - are facing supply constraints. "We're working hard to manufacture more of them," he said. "We do believe that later this quarter, we'll reach a supply-demand balance." |
| 1:47 pm | Cook to CNBC: "If you look at iPhone 15 for that period of time and compare it to iPhone 14 for the same time in the year-ago quarter, iPhone 15 did better than iPhone 14," Cook told CNBC's Steve Kovach. He added that Apple’s more expensive Pro and Pro Max iPhones were supply constrained because of high demand. |
| 1:39 pm | After closing up around 2% in regular trading today, Apple's share price is down around 1.5% following the earnings release. |
