Apple Q3 2017 Results: $45.4 Billion Revenue, 41 Million iPhones, 11.4 Million iPads Sold

Apple has just published its financial results for Q3 2017. The company posted revenue of $45.4 billion. Apple sold 11.4 million iPads, 41 million iPhones, and 4.3 million Macs during the quarter.

“With revenue up 7 percent year-over-year, we’re happy to report our third consecutive quarter of accelerating growth and an all-time quarterly record for Services revenue,” said Tim Cook, Apple’s CEO. “We hosted an incredibly successful Worldwide Developers Conference in June, and we’re very excited about the advances in iOS, macOS, watchOS and tvOS coming this fall.”

Estimates and Expectations for Q3 2017, and the Year-Ago Quarter (Q3 2016)

Apple’s revenue guidance for Q3 2017 fell between $43.5 billion and $45.5 billion, with gross margin estimated to be between 37.5% and 38.5%.

Going into today’s earnings call, Forbes reported that there is a strong possibility of year-over-year improvement in iPad sales and that:

We expect iPhone shipments to remain relatively muted, amid weaker demand from Greater China and also as customers potentially hold off on upgrades as the launch of the new 10th anniversary iPhone – which is expected to sport Apple’s first design refresh in three years – draws closer. Average selling prices could also face some pressure, as Apple tries to reduce inventory of iPhone 7 and prior models via some discounting. That said, this could be partially offset by stronger demand mix for the larger iPhone 7 Plus models and a slightly weaker U.S. dollar. iPhone ASPs stood at about $655 during Q2 FY’17.

In the year-ago quarter (Q3 2016), Apple earned $42.4 billion in revenue, and $7.8 billion in profit. During that quarter Apple sold 40.4 million iPhones, 9.95 million iPads and 4.25 million Macs.

Graphical Visualization

Below, we’ve compiled a graphical visualization of Apple’s Q3 2017 financial results.

Apple Q3 2017 on Twitter

iPad unit sales actually up 15% y/y (28% was q/q change).

Still sticking with the WOW.

— Neil Cybart (@neilcybart) August 1, 2017

https://twitter.com/BenBajarin/status/892483341785546753

Notable: revenue and unit growth in all product categories: pic.twitter.com/QgjV23oMM0

— Jan Dawson (@jandawson) August 1, 2017

https://twitter.com/BenBajarin/status/892484020788903936

Apple is signaling a huge fourth quarter and Wall Street is loving it https://t.co/Zbaz728CnQ by @mattlynley

— TechCrunch (@TechCrunch) August 1, 2017

CNBC: Tim Cook “We have now achieved our goal of [services] being the size of a Fortune 100 company earlier than we thought.”

— MacJournals.com (@macjournals) August 1, 2017

Apple shares now up 5% to $158. All-time high.

— Neil Cybart (@neilcybart) August 1, 2017

First positive YoY iPad unit growth in four years, second YoY revenue growth in that period. ASPs down quite a bit YoY: $329 iPad pic.twitter.com/ouPQLvwSkQ

— Jan Dawson (@jandawson) August 1, 2017

CNBC: Tim Cook: iPhone demand was greater than sales indicate as channel inventory fell ~3M units.

— MacJournals.com (@macjournals) August 1, 2017

Apple Services revenue up at least 10% year-over-year in Greater China.

— Neil Cybart (@neilcybart) August 1, 2017

Apple Watch sales up over 50% in June quarter. Implies 2.7M units.

— Neil Cybart (@neilcybart) August 1, 2017

https://twitter.com/panzer/status/892493112773300224

https://twitter.com/BenedictEvans/status/892495394743107584