Apple Sees Record Revenues in Latest Quarter, with Services at $10B

“There are also signs that Apple is seeing more of a return on its Apple Pay mobile payments service…”

Apple’s face-scanning new iPhones are a big hit, if its latest quarterly update offers any indication: Revenues are up 20 percent, year-over-year.

The figure itself for those quarterly revenues is a stunner: $62.9 billion. And while iPhones certainly aren’t the whole story in those earnings, they are Apple’s flagship product, with its astronomical earnings suggesting that consumers have been enthusiastic about the new iPhones launched in September, as well as last autumn’s face-scanning iPhone X, which set the design template for this year’s models.

There are also signs that Apple is seeing more of a return on its Apple Pay mobile payments service, with the company reporting in a statement that revenues from services “reached an all-time high of $10 billion.” Apple Pay is presumably only a modest component of those services, which also include things like iTunes and the App Store; but the impressive overall growth certainly suggests that Apple Pay is doing well enough. (Apple has not issued a detailed breakdown of its revenues with respect to particular products and services, and has been notoriously tight-lipped about financial metrics concerning Apple Pay.)

Commenting on the quarterly results, Apple CEO Tim Cook noted that the quarter reflects “the strongest revenue and earnings in Apple’s history,” and highlighted the company’s most recent flagship offerings. CFO Luca Maestri, meanwhile, said that in the quarter Apple had achieved double-digit growth “in every geographic segment,” adding, “We set September quarter revenue records for iPhone and Wearables and all-time quarterly records for Services and Mac.”

Looking to its next quarter, Apple projected revenues between $89 billion and $93 billion, with a gross margin between 38 and 38.5 percent.