Apple Hits $10B in Revenue From Services Like iTunes

Revenue for the fiscal fourth quarter grew 20 percent to $62.9 billion.

Revenue from services like Apple Music, iTunes and Apple Pay reached an all-time high of $10 billion during Apple’s most recent quarter.

The milestone, which represents growth of 27 percent from $7.9 billion during the same period last year, shows that the iPhone and MacBook maker is successfully diversifying from the hardware that was once its bread and butter.

Though that doesn’t mean the sale of devices doesn’t still fuel Apple’s business. The Cupertino, Calif., company brought in quarterly revenue of $62.9 billion for the its fiscal fourth quarter, up 20 from the same period last year. That was well above the $61.57 billion that Wall Street, as polled by Thomson Reuters, was looking for. Earnings were $2.91 per share, above the $2.78 expected.

The revenue gains came despite a lower-than-expected 46.9 million iPhone sold during the period. Investors had been looking for sales of 48.4 million, but the phones that did sell were at the new higher price points.

“We’re thrilled to report another record-breaking quarter that caps a tremendous fiscal 2018, the year in which we shipped our 2 billionth iOS device, celebrated the 10th anniversary of the App Store and achieved the strongest revenue and earnings in Apple’s history,” said CEO Tim Cook. “Over the past two months, we’ve delivered huge advancements for our customers through new versions of iPhone, Apple Watch, iPad and Mac as well as our four operating systems, and we enter the holiday season with our strongest lineup of products and services ever.”

Apple shares closed the day up over 1 percent to $222.22.

More to come.

This article was originally published by The Hollywood Reporter.

%d bloggers like this: