Watch CBS News

iPad Slipping, But Apple Still Rocks 1st Quarter Earnings On Growth In China

CUPERTINO (CBS SF) - Apple did the usual and knocked one out of the park in the recent quarter.

The company's profit soared to 13.6-billion, a record for the quarter, while revenue rose 27.1% to $58-billion.

The iPhone is the key, with 61-million sold, better than was expected following the massive holiday quarter for the 6 and 6-Plus, which CEO Tim Cook said during the conference call that 20-percent of Apple's iPhone base has now upgraded to the newer phones.

The iPad continues to regress in a sea of tablets, with sales down 29-percent to $5.4-billion, while Mac revenue was up 2% to $5.6-billion and Services - which comprise Apple Pay, iTunes the App store - was up 9% to $5-billion.

Apple's not having any problems in China, where analysts have been pessimistic about the company's premium pricing. Sales to greater China, which includes Taiwan and Hong Kong, soared 71-percent higher from a year ago, and were responsible for nearly one third of the company's $58-billion in revenue in the quarter.

You would think Apple's stock would soar on those numbers, but that's not the case; it slipped $2 Tuesday. Of course, Apple's shares have soared 60% higher over the past year, so building on that isn't easy.

View CBS News In
CBS News App Open
Chrome Safari Continue
Be the first to know
Get browser notifications for breaking news, live events, and exclusive reporting.