Transcript: Apple CEO Tim Cook on the company’s 2018 Q1 earnings
- feb
- 01
Apple's first-quarter results for 2018 are in. Here's our transcript of the call.
Apple CEO Tim Cook and CFO Luca Maestri spoke with analysts during the company's Q1 2018 earnings call. Here's our ongoing live transcript of their remarks! If you want more info on Apple's results, we recommend checking out the awesome charts from Six Colors.
Cook's opening remarks
Tim Cook
Before we dive into the quarter, I'd like to take a moment to talk about a significant milestone we recently crossed. Apple's active installed base reached 1.3 billion devices in January and is at an-all time high for all of our major products. 1.3 billion devices represents an astonishing 30% growth in just two years. It speaks to the strength and reliability of our products in our ecosystem, as well as the loyalty, satisfaction, and engagement of our customers. It's also fueling tremendous growth in our services business, which I'll talk about a little later in the call.
Turning to the December quarter, we're thrilled to report Apple's biggest quarter ever which set new all-time records in both revenue and earnings. We generated revenue of 88.3 billion dollars which is above the high end of our guidance range, and it is up almost 10 billion dollars or 13% over the previous all-time record we set a year ago. It's also our fifth consecutive quarter of accelerating revenue growth with double-digit growth in each of our geographic segments around the world. What makes this even more remarkable is that the quarter we're reporting today was 13 weeks long, while the year ago quarter was 14 weeks. When we look at the average revenue per week and the December quarter this year compared to last year, our growth was a stunning 21%. Our growth was broad based and a key driver was iPhone which generated its highest revenue ever. iPhone X was the best-selling smartphone in the world in the December quarter according to Canalis and it has been our top-selling phone every week since it launched. iPhone 8 and iPhone 8 Plus rounded out the top three iPhones in the quarter. In fact, revenue for our newly launched iPhone's was the highest of any lineup in our history, driving total Apple revenue above our guidance range.
I want to take a moment to recognize the tremendous amount of work that went into creating iPhone X. Our teams carried out an extremely complex launch from both an engineering and operations perspective, executing an outstanding product ramp that required years of research and development. One that introduced innovative features like an edge-to-edge Super Retina Display and the True Depth camera which enables Face ID. Our customers love these new features and the new gestures, like simply swiping up from the bottom, which make using iPhone even more intuitive and enjoyable. Our team has put the technology of tomorrow in our customers hands today, set the standard for the next decade of smartphones, and we are very proud of their achievements. It was another very strong quarter for services with revenue of 8.5 billion dollars up 18% over last year and we're on pace to achieve our goal of doubling our 2016 services revenue by 2020.
We're transcribing the call live so be sure to check back for updates!