Apple’s Q2 2014 Earnings Call By the Numbers Plus Interesting Tidbits

Earlier today Apple revealed their Q2 2014 earnings, which saw 43.7 million iPhones sold, exceeding the expectations of Wall Street. The company also increased their stock buyback program to over $130 billion, on top of announcing a 7 for 1 stock split; all this drove the stock up around 8% in after hours trading.

In the earnings call, let’s take a look at some of the numbers and other gems mentioned by Apple CEO Tim Cook, as per this transcript via MorningStar:

  • Smartphone share gained in Canada, along with other developer and emerging markets
  • 800 million iTunes accounts, most with credit cards
  • 2/3 of people registering an iPad in the past 6 months were new to iPad; over 1/2 of people registering iPhones were new to iPhone
  • 24 companies acquired in the past 18 months
  • Over 210 million iPads sold in four years; iPad holds 95% share in education
  • 98% of Fortune 500 are using iPad; 91% of tablet activations in enterprise were iPad
  • Tim Cook: “I am very bullish on iPad”
  • All-time record revenue in greater China: $9.8 billion in the quarter; iPhone sales up 28%
  • 20 million Apple TV units sold to date
  • Former Burberry CEO Angela Ahrendts is starting her role as retail chief next week
  • 87% of iOS devices running iOS 7
  • $150.6 billion in cash plus marketable securities; 88% of cash offshore
  • “We continue to advocate for comprehensive corporate tax reform and streamlining the tax code which we believe would be of great benefit to the U.S. economy.”
Here’s a chart of Apple’s revenue per quarter, via MacStories:

1398304872 RevbyQtr

As you can see from the chart, the numbers don’t lie—Apple isn’t doomed, but revenue continues to grow, albeit at a slower pace than before (they still have $150.6 billion in cash lying around). Tim Cook has set the stage for Apple’s new products to arrive this year, which also brings expectations of what’s to come.

We can assume we’ll see the iPhone 6, refreshed iPads, refreshed Macs (thinner 12-inch MacBook Air?) and maybe a new iPod touch (although we haven’t heard any solid leaks—yet), plus previews of iOS 8 and OS X. The wildcards are whether we’ll see an iWatch or some sort of Apple Television. We’ll have to wait and see.

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