On today’s post-earnings conference call, Apple CEO Tim Cook and CFO Kevan Parekh shared a few interesting tidbits about who drove sales across the company’s major product categories. Here are the details.
iPad
When addressing iPad revenue, Parekh said that sales were flat compared to a year ago, citing a “difficult compare” against the same quarter last year, when new iPad Air and iPad Pro drove sales. Still, he noted that performance came in better than expected.
As for who drove performance during the last quarter, he said the following:
“The install base reached an all-time high with a September quarter record for upgraders and over half of the customers who purchased an iPad during the quarter were new to the product.”
In other words, upgrades hit a record high, but more than half of iPad sales still come from first-time iPad buyers.
Apple Watch
Rather than disclosing Apple Watch revenue separately, Apple groups it under a broader category called “Wearables, Home, and Accessories.” Still, Parekh made a claim that has become a staple in every post-earnings conference call: most Apple Watch sales were for new users.
Or, as he put it:
“Both the Apple Watch and AirPods install bases reached new all-time highs. Over half of the customers purchasing an Apple Watch during the quarter were new to the product. And we also set a September record for upgrades on Apple Watch.”
... continue reading