Apple's M1 Mac shines as iPhones fly off (virtual) store shelves
Apple says a combination of enthusiasm over 5G wireless and working from home is driving demand despite a global chip shortage.
Ian SherrFormer Editor at Large / News
Ian Sherr (he/him/his) grew up in the San Francisco Bay Area, so he's always had a connection to the tech world. At CNET, he wrote about Apple, Microsoft, VR, video games and internet troubles. Aside from writing, he tinkers with tech at home, is a longtime fencer -- the kind with swords -- and began woodworking during the pandemic.
Now those Mac computers are having a bit of a moment. The company's trademark
notched their best sales quarter ever during its second fiscal quarter, which is the three months ended in March. That amounted to $9.1 billion in sales, higher than the
, Apple Watch or
"Demand feels very strong right now," said Apple CEO Tim Cook while discussing the company's results. He attributed the spike in part to the new technology built into the Mac (of course). He also said that working and learning from home played a part, and noted that with many people likely returning to a hybrid work setup when the pandemic ends, this trend may continue. "iPad and Mac continue to be critically important tools for our customers," he said.
The results were the highlight of a strong earnings report from the company, in which its profits more than doubled from the same time last year, and revenue jumped 53%. Sales of iPhones jumped too, up 65%, and the Mac and the iPad both saw sales increase by more than 70%.
Apple said it didn't know how long the chip shortage would keep supply from meeting demand, but it expects to be "supply-gated, not demand-gated" for the foreseeable future. That's in line with what other companies are saying too.
By the numbers
The strong Mac sales mirrored the success of the iPhone, which notched $47.9 billion in sales during the second fiscal quarter, up 65% from the year prior. While the company is still highly dependent on the iPhone, which makes up more than half of its revenue, other businesses have stepped up.
Apple's iPads rang up $7.8 billion in sales, and the Mac hit $9.1 billion in sales, both up more than 70% when compared to last year.
All told, Apple said it raked in profits of $23.6 billion, more than double what it was the same time last year. That translates to $1.40 per share in profit. It posted revenue of $89.6 billion, up 53% from the $58.3 billion it reported last year. It also blew way past analyst estimates, which were 99 cents in profit per share on $77.4 billion in sales according to surveys published by Yahoo Finance.
The company's stock rose a little more than 2% in after-hours trading after closing down nearly 1% to $133.58 per share during market hours. The company's shares have risen about 3% so far this year.