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Apple Reports Expectations-Beating Q4 2022 Results of $90.1 Billion

Foreign exchange headwinds dampened Apple results. Source: Apple.

Foreign exchange headwinds dampened Apple results. Source: Apple.

Today, Apple announced its fourth quarter 2022 earnings, exceeding Wall Street expectations and setting a record for Q4 results. During the quarter, Apple recorded $90.1 billion in revenue, an 8% year-over-year increase. Annual earnings per diluted share were $6.11, which is an increase of 9% year over year. In after-hours trading, Apple’s stock was trading down.

Apple's quarterly revenue.

Apple’s quarterly revenue.

According to Apple’s CFO Luca Maestri:

Our record September quarter results continue to demonstrate our ability to execute effectively in spite of a challenging and volatile macroeconomic backdrop. We continued to invest in our long-term growth plans, generated over $24 billion in operating cash flow, and returned over $29 billion to our shareholders during the quarter. The strength of our ecosystem, unmatched customer loyalty, and record sales spurred our active installed base of devices to a new all-time high. This quarter capped another record-breaking year for Apple, with revenue growing over $28 billion and operating cash flow up $18 billion versus last year.

Services were down for the quarter.

Services were down for the quarter.

Looking at the results, Services revenue declined slightly, and iPhone sales were less than analysts expected, both of which contributed to the decline in Apple’s stock price after hours. iPad sales were down too. Although Apple just recently refreshed the iPad lineup, none of those sales were part of today’s results.

Mac had a good quarter, while iPad sales were down a bit, changing the overall mix of the company's revenue sources.

Mac had a good quarter, while iPad sales were down a bit, changing the overall mix of the company’s revenue sources.

Foreign currency exchange rates had a significant impact on Apple’s latest results too. Tim Cook, who was interviewed by CNBC, told Steve Kovach:

The foreign exchange headwinds were over 600 basis points for the quarter. So it was significant. We would have grown in double digits without the foreign exchange headwinds.

To help control ongoing costs, Cook also revealed to CNBC that it has slowed hiring.

Despite some areas of softness, the results reported by Apple were positive overall, especially compared to other recent earnings misses in the tech world. Yesterday, Meta announced a significant earnings miss that led to a nearly 25% drop in its stock price today. Then today, Amazon came up short compared to Wall Street expectations leading to a 16% dip in its stock price.

Additional details regarding Apple’s fourth-quarter performance, including its consolidated financial statement are available on the company’s website. If you missed the earnings call, you can replay it on Apple’s Investors site or read the transcript prepared by Jason Snell at Six Colors, where you’ll also find additional charts.


Apple Previews Redesigned iCloud.com Website

Today, Apple launched a preview of changes coming to iCloud.com, the website that allows users to access their iCloud data and apps, including Mail messages, notes, photos, tasks, and more. The new card-like UI is available to anyone who wants to try it by visiting beta.icloud.com and logging in with your Apple ID.

The cards are laid out in a grid with a rectangular and square tile per row on larger screens and a single column of cards on narrow screens like the iPhone. When you first launch the preview page, you’ll see your Apple ID profile picture, email address, and type of iCloud account, plus several app tiles.

iCloud.com's new profile page.

iCloud.com’s new profile page.

However, other than your profile tile, everything on the preview page is fully customizable. Currently, there are tiles available for Mail, Photos, Notes, Reminders, iCloud Drive, Calendar, Numbers, Pages, and Keynote. Contacts and Find My are also accessible from the preview page but don’t have their own tiles.

iCloud.com's menu for accessing apps and other features.

iCloud.com’s menu for accessing apps and other features.

Editing and arranging iCloud.com's tiles.

Editing and arranging iCloud.com’s tiles.

To customize the page, select the button in the top right corner that looks like a grid of icons, and the webpage’s UI will go into a jiggle mode similar to when you long-press on an iPhone or iPad’s Home Screen. From here, you can rearrange existing tiles, remove ones you don’t want, and add new tiles.

Each tile works a lot like a Home Screen widget, displaying recent data stored in that app. Click on the tile, and the full web app opens. Clicking on your profile tile offers details about your iCloud subscription and links to related actions. The same button you use to access the preview’s customization features also provides access to all of the iCloud web apps, iCloud+ features, like Hide My Email, and more. Finally, there’s also a dedicated ‘Plus’ button for creating new items or documents in many of the iCloud web apps without the need to launch the associated app first.

My rearranged page.

My rearranged page.

I like the preview’s design a lot. It beats the static grid of web app icons of the existing site, which is still available if you don’t use the preview, by providing an overview of recent data in each apps. I’m also a fan of the page’s customization tool, which makes it simple to organize the page with an emphasis on the apps you use most.

Based on my very limited testing, the preview page is quite stable too. I did run into an error accessing my iCloud Drive documents, but that’s been it so far. Once finalized, the new iCloud.com page is going to be a very nice upgrade for anyone who needs to access their account and data from a device that’s not their own, such as a work PC.

To give it a try yourself, go to iCloud.com, log in with your Apple ID, and use the link above your profile picture on the existing page design, or go straight to beta.icloud.com and log in there.


iOS 16.1 and Apps with Live Activities: The MacStories Roundup, Part 1

The headlining feature of iOS 16.1 is Live Activities, which allows apps to display status information in the Dynamic Island and on the Lock Screen after a user closes an app. I’ve looked at over 40 new and updated apps and instead of just listing them, I thought I’d share a collection of the most innovative and useful ones that I’ve tried so far. This is just part 1 of this story. I’ll be back soon with even more as I continue to test the apps I’ve discovered.

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AppStories, Episode 302 – Stage Manager in iPadOS 16

On Episode 302 of AppStories, we explored Federico’s story about Stage Manager in iPadOS 16, including its bugs, missing features, and design flaws.

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On AppStories+, Federico provided a behind-the-scenes look at the difficulties of covering Stage Manager, a feature that, until recently, was barely unusable.

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Apple Adds Nintendo Online Classic Controller Support to the iPhone, iPad, Mac, and Apple TV

It seems that Apple slipped a little extra controller support into yesterday’s updates to iOS, iPadOS, macOS, and tvOS: Nintendo Online classic controller support.

Nintendo sells wireless versions of its classic NES, SNES, and Nintendo 64 controllers, plus the Sega Genesis controller for use with its Nintendo Online Service for Switch. The controllers are a fun way to play the games from those old systems that are offered as part of Nintendo Online and its Expansion Pack add-on service. Yesterday, Steve Troughton-Smith tweeted that the classic SNES controller works with iOS and tvOS 16.1:

https://twitter.com/stroughtonsmith/status/1584684763042189312

Sure enough, it does, along with iPadOS 16.1 and macOS Ventura. With each OS, the controller shows up as ‘SNES Controller’ in Bluetooth settings when in pairing mode. Federico has confirmed that the Nintendo 64 controller works, too, but neither of us has an NES or Sega Genesis controller to test.

The Nintendo 64 controller paired with the new iPad.

The Nintendo 64 controller paired with the new iPad.

This isn’t the first time Nintendo’s wireless versions of classic controllers have been adapted for use beyond the Switch. Steam added support for the controllers in July.

Pairing my SNES wireless controller to my iPhone 14 Pro Max.

Pairing my SNES wireless controller to my iPhone 14 Pro Max.

Apple has gradually added deeper and deeper support for third-party controllers over the past few years. The latest official additions, which were first announced at WWDC, are the Nintendo Joy-Con and Pro Controller. Some third-party controllers like the 8BitDO SN30 Pro+ that emulates other controllers can be paired with Apple devices, too, but they show up as generic controllers.

I love many of the retro games available on Apple’s platforms that are inspired by Nintendo’s early systems. What’s great about the support for the wireless controllers is that now they can be played with the controllers of the systems that inspired them. The Nintendo 64 controller is perpetually out of stock, but if you’re interested in picking up any of the others, they are available on Nintendo’s online store.


Stage Manager in iPadOS 16

AppStories+ Deeper into the world of apps

AppStories Episode 302 - Stage Manager in iPadOS 16

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56:42

AppStories+ Deeper into the world of apps

For today’s second episode of AppStories, Federico and John explore Federico’s story about Stage Manager in iPadOS 16, including its bugs, missing features, and design flaws.

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512 Pixels’ macOS Screenshot Library Updated with Ventura Screenshots

Every year, our pal Stephen Hackett updates his macOS Screenshot Library with images from the latest macOS release. Today, on 512 Pixels, he released an extensive set of light and dark mode screenshots from macOS Ventura, which joins sets for each release extending all the way back to the Mac OS X Public Beta.

The Snow Leopard desktop. Source: 512 Pixels.

The Snow Leopard desktop. Source: 512 Pixels.

The collection is a terrific resource for anyone researching the evolution of Apple’s design language over the decades or if you just want to have your own Snow Leopard Moment.

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The New iPad and iPad Pro Review: Mixed Signals

AppStories+ Deeper into the world of apps

AppStories Episode 301 - The New iPad and iPad Pro Review: Mixed Signals

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39:48

AppStories+ Deeper into the world of apps

This morning, Federico and John get into the details of Federico’s review of the latest iPad Pro and the new 10th generation iPad.

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macOS Ventura: The MacStories Review

macOS Ventura is a hard release to pin down. I’ve been running it for months, and it’s been running well for all my everyday work and personal tasks. Features like Continuity Camera, iCloud Shared Photo Library, and the many system app updates have, on the whole, been stable, worked as advertised, and helped me do more with my Mac. So, from an everyday workflow standpoint, Ventura is an excellent release that delivers on the promise of an OS that moves in step with Apple’s other OSes and erases artificial barriers to users coming from iOS and iPadOS. And yet, I worry about the clouds on the horizon.

The release of Ventura is just one moment in time along macOS’s evolutionary path, but it’s an important one. Each fall release is a marker laid down by Apple that says something about where the Mac has been and where it’s going.

The story of macOS Ventura didn’t begin at WWDC in June. As I wrote in last year’s macOS Monterey review, it started five years ago:

For the past few years, no narrative thread has been more important to the Mac and its operating system than their realignment within Apple’s product lineup. It’s a fundamental transformation of both hardware and software that has taken shape over years, beginning publicly with Craig Federighi’s WWDC Sneak Peek in 2018.

Before Mac Catalyst, there was Craig Federighi's 2018 Sneak Peek.

Before Mac Catalyst, there was Craig Federighi’s 2018 Sneak Peek.

Last year’s release of Monterey went a long way toward validating what came before with Catalina and Big Sur:

Monterey is one of the most tangible, user-facing payoffs of the past three years of transition. More than ever before, Apple is advancing system apps across all of its platforms at the same time. Finally, everything is everywhere.

Ventura is, in many ways, a continuation of Monterey’s storyline. Apple has delivered a second year of parallel development across its system apps, with the notable exception of Shortcuts, which I’ll cover later. That’s a big win for Mac users who, in previous years, waited multiple releases for apps like Maps and Books to catch up with their iOS and iPadOS counterparts.

The familiar interface and feature set across multiple platforms are one of the biggest and most tangible achievements of the past few years.

The familiar interface and feature set across multiple platforms are one of the biggest and most tangible achievements of the past few years.

So, with Monterey’s success of moving system apps forward in unison across all OSes looking more like a trend than a one-off novelty, what are the clouds I’m seeing on the horizon? There are three:

  • Stage Manager: Stage Manager is in far better technical shape on the Mac than on the iPad. In fact, I’ve been using it every day since WWDC and will continue to do so. There’s lots of room for improvement, which I’ll cover below, but my concern extends beyond the Mac-specific issues to what the feature’s problems on the iPad mean for Mac users long-term, which is something I covered last month for Club MacStories members and will expand on below.
  • Shortcuts: Shortcuts was in rough shape when it launched on the Mac last year. The app is in a much better place today, although bugs continue to be a problem. More concerning to me, though, is the lack of new system-level actions on the Mac. A lot of resources undoubtedly went into stabilizing Shortcuts on the Mac over the past year, which is understandable, but unfortunately, those efforts seem to have been at the expense of introducing new system-level actions or maintaining parity with new actions on iOS and iPadOS.
  • System Settings: So much of the design work we saw introduced with Big Sur was so carefully considered to harmonize macOS with iPadOS while retaining its Mac nature that System Settings is a shock to, well, the system. System Preferences was long overdue for a refresh, but System Settings isn’t the redesign we needed. Instead, it’s a clear example of why you can’t just graft iOS or iPadOS design onto macOS and call it quits.

Although each of the items above concerns me, it’s equally important to put them in context. For most users, macOS is in a very good place. My day-to-day work on the Mac isn’t affected by whether the iPadOS version of Stage Manager is buggy. I may feel constrained by the lack of some actions in Shortcuts on my Mac, but at the same time, I’ve got Shortcuts on the Mac, something I’d hoped for for years. And Systems Settings are, after all, just settings that may not be great to look at, but they still work.

However, while the issues with Ventura may not be immediate, they’re still important because they threaten the viability of the Mac in the midst of its hardware renaissance. I want to see the Mac continue to grow and flourish, and I’m convinced more than ever that aligning it and the iPad is one of the ways to accomplish that. Unfortunately, Ventura doesn’t move that ball forward in a meaningful way.

With Apple firing on all cylinders when it comes to hardware, now is no time to let macOS stall. Source: Apple.

With Apple firing on all cylinders when it comes to hardware, now is no time to let macOS stall. Source: Apple.

By tying the two together, Apple has set the stage for a healthier third-party app ecosystem that benefits both platforms by making it more economical for developers to create apps for both. I’m sent a lot of apps to try, and I can tell you that this is absolutely happening already. The vast majority of the apps I’m sent today aren’t Mac-only or iPad-only – they’re universal apps that work on both and usually the iPhone and Apple Watch too.

However, the work and the story that started with Federighi’s Sneak Peek aren’t finished. For the Mac and iPad to thrive, now is not the time for Apple to take its foot off the gas. Yet, that’s what Ventura feels like after several years of foundational changes to macOS. It’s not a bad update. There’s a lot to like among the system apps and other changes, but I can’t shake the nagging sense that Apple has taken its eye off the long-term vision for macOS with Ventura. That won’t affect your day-to-day use of the OS, but it’s certainly something worth keeping a close eye on as Ventura is updated and WWDC rolls around again next summer.

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