As it revealed earlier this month, Apple will have its quarterly conference call today at 2 PM Pacific/5 PM Eastern to discuss earnings from its fiscal year 2015 first quarter results. These results include sales 74.4 million iPhones, 21.4 million iPads, and 5.5 million Macs. Earlier today the company reported that it earned $74.6 billion in revenue during FY 2015 Q1.
While Apple’s previous quarter included the opening weekend of iPhone 6 and iPhone 6 Plus sales, today’s numbers include the bulk of the sales in the United States and the initial sales of the new models in key markets including China. Today’s reported numbers do include the first sales numbers for the iPad since Apple began shipping the iPad Air 2 and iPad mini 3, and the first Mac numbers since the Retina 5K iMac went on sale. Apple Pay will also be an area of interest for listeners as the mobile payment service only launched the day of the last quarterly conference call.
Investors and analysts will have an opportunity to ask Tim Cook and company questions during the earnings call, and we’ll be listening closely to bring you coverage.
– Welcome music is also live for any listeners. Follow along at home or refresh for highlights from the call here. Should begin at the top of the hour.
– To recap, $74.6 billion in revenue and 74.4 million iPhones.
– Apple up in after-hours trading:
– 7 minute warning!
– Here we go. Apple CEO Tim Cook will speak first, followed by Apple CFO Luca Maestri, then questions.
– Cook speaking now about interest in Apple products reaching an all-time high, notes record breaking iPhone sales for the quarter
– More than 34 thousand iPhones sold per hour, Cook says
– 1 billionth iOS device sold, a space gray 64GB iPhone 6 Plus says Cook, kept at Apple now
– Talking Swift language now, dev tools downloaded 11 million times
– HealthKit in 600 apps, Cook says
– Over 30 automotive brands delivering CarPlay in 2015, expects HomeKit products this year
– About 750 banks and credit unions signed to bring Apple Pay, $2 out of $3 spent using contactless payments made with Apple Pay
– Apple Watch shipping in April, Cook says based on current development rate
– Talking IBM partnership now, recapping apps released with IBM last year, says another 12 apps will be released this quarter in three new industries (healthcare, energy & utilities, and industrial products) bring app total to 22
– Talking ConnectED and Product(RED) projects for education and World AIDS Day, says Apple’s donation for RED set a new record
– Luca Maestri talking now, recapping earnings numbers
– Says supply and demand balance reached this month for iPhone
– 447 Apple Store locations, 182 outside of United States, planning to have 40 Apple Store locations in China by mid 2016
– Company has $178 billion in cash
– Question time!
– First question about currency: Luca says Q1 growth revenue would have been 4% higher without currency fluctuation
– Now asked about adjusting product pricing, Luca says prices usually adjust during new cycles with exception being massive shift in Russia leading to mid-cycle adjustments
– Question about iPhone 6 and iPhone 6 Plus mix, Cook won’t break out numbers but says iPhone 6 most popular iPhone last quarter, says some geographic areas prefer iPhone 6 Plus but not consistent around the world
– Cook asked about iPhone sustainability given previous quarter, Cook says Apple bullish on iPhone going forward
– Apple Watch question about timing and expectations, Cook says his expectations very high, he can’t live without it, Apple making great progress on development of it, many developers writing apps for it
– Cook says Early 2015 means first four months, Mid means next four months, Late means last four months…
– Online revenues in China more than sum of the previous 5 years
– Cook asked about iPad forecast, Cook says short run won’t see miraculous change but optimistic about future based on first time buyer rate
– Gene Munster asking about update on Apple TV and the living room, Cook says over 25 million of the current product sold, up from 20 million in April 2014, now talking Apple Pay, Cook says shocked how many merchants were able to implement Apple Pay during the holiday season, says this is the year of Apple Pay
– On iPhone growth, Cook says a small fraction of install base has upgraded (in the mid teens) so far, Android and non-smartphone owners big opportunity
– Cook says working with IBM helps facilitate creating specific apps for industries, will help drive iPad in the enterprise
– That’s a wrap! Replay will be available on iTunes shortly.