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Apple Q1 Sees Record Revenue, Profit

Updated! Apple reported its largest quarter by revenue ever today, with a Q1 total of $75.9 billion for a net profit of $18.4 billion.

The quarter covered the debut of the iPhone 6s and 6s Plus as well as the holiday selling season. The company sold 74.8 million iPhones, 16.1 million iPads and 5.3 million Mac computers for the period. That compares with the holiday quarter a year prior, when Apple reported $74.6 billion in revenue, $18 billion in profit, and sales of 74.4 million iPhones, 21.4 million iPads and 5.5 million Macs.

Despite the record top line, the results fell short of analysts’ predictions and didn’t allay fears that Apple is over-reliant on iPhone following a flat holiday season and a soft forecast for China.

The company did not break out Apple Watch sales for “competitive” reasons.

iPhones almost flat: Though total revenues were up 1.7 percent, iPhone sales were almost flat, and sales of tablets and Macs were down on a year-over-year basis.

Unit iPhone sales were up 0.003 percent to 74.8 million compared to year-ago record-quarter sales of 74.5 million, with revenues up 0.01 percent to $51.6 billion. iPad unit sales fell 25 percent to 16.1 million,  and revenues fell 26.8 percent to $7.1 billion. Mac sales fell 4 percent in units to 5.3 million and by 2.9 percent in dollars to $6.75 billion.

What’s Up: Sales of other products rose 43 percent to $4.35 billon. They include Apple TV, Apple Watch, Beats products, and Apple-branded and third-party accessories. Services were up 26 percent to $6.1 billion and include revenue from a patent-infringement suit,  Apple Pay, Apple Care, licensing,  and Internet services.

Americas sales: Revenues in the Americas fell 4 percent to $29.3 billion, but on a constant-currency basis, sales were off only 1 percent to $30.2 billion, the company said.

Apple’s total global revenues on a constant-currency basis would have been up 8 percent if not for major currency fluctuations, the company said, but it also forecast a possible 8 percent decline in the current quarter amid global economic uncertainty, described by CEO Tim Cook on an earnings call as “extreme conditions unlike anything we’ve seen before.”