Photo: Oleg Ivanov/Unsplash License
Apple’s installed base has exceeded two billion active devices, as revealed by CEO Tim Cook during today’s financial earnings call and press release. Although revenue in this first quarter came $6.7 billion short of last year, the continued growth helped Apple achieve what Cook called “a truly incredible milestone.”
Customer loyalty and satisfaction push Apple forward
In Cook’s opening remarks for the call, he revealed that just seven years after passing one billion active devices, Apple has doubled that figure to two billion. Tim cited “our deep commitment to innovation, incredible customer loyalty and satisfaction and a large number of switchers” as reasons for their success.
CFO Luca Maestri continued in his own opening remarks, saying that “our installed base of active devices grew double digits and achieved all-time records in each geographic segment and in each major product category,” citing “extremely strong” customer satisfaction and loyalty as well.
Not enough for AAPL investors
While the number of active devices continues to climb, the rate of growth has slowed down. Although iPad revenue has grown 30%, Mac revenue is down 29% and iPhone revenue is down 8% compared to the same period last year.
Apple’s first quarter came up short compared to their previous holiday quarter. Cook cited three reasons in the call: foreign exchange headwinds, COVID-19 related challenges and “a challenging macroeconomic environment from inflation to war in Eastern Europe.” These challenges may have contributed to the delayed introduction of the Mac mini and MacBook Pro.
Despite warning investors of a challenging quarter in November, the decline in revenue shook Apple investors.