Notes from earnings call/transcripts:

  • 40% GM with 20% rev growth!
  • Rev up 21% YOY to $111B (Annual Rev: $300B)
  • EPS up 35% YOY
  • Operating Cash Flow: $38.8B
  • Gross Margin: 40% (39.8%, up 0.16 pts, products GM: 35.1%)
  • R&D Spend Last Qtr (Sep 30, 2020) grew at 21% YOY
    • Was 11% in June Qtr
    • This continues to be predictive…
  • USA sales: 36% of rev (64% international)
  • Installed Base: 1.65B devices
  • Services: $16B revenue (65% GM)
  • iPhone: 17% YOY Growth (installed base 1B)
    • #thought iPhone 12 looks visibly different ∴ China sales up
      • Also China, Korea => 5G well established; all new phone sales need 5G, which could have driven upgrades. USA, EU well behind, could have upgrade growth in the coming quarters.
      • Confirmatory Kremlinology; “I think you’ve seen that our performance has been particularly strong in China” – Luca
    • Vol growth is underestimate because of late launch; this is insane growth.
    • Both switchers and upgraders grew!
    • Mix skewed to higher ASP models (Pro, Pro Max). Oddly the iPhone 12 despite being fantastic value seems be under-represented
    • Tim Cook sees “opportunity” in India? HUH? 1% penetration, so where is this opportunity? 5G from Airtel + Jio (too small?), why was this bought up/mentioned?
  • iPad: 41%
    • #thought WFH favours iPads? It’s great for Zoom calls, great for kids schools. Was it something else? “And as COVID-19 kept us apart, we saw the highest volume of FaceTime calls ever this Christmas.” from Earnings Call Transcript
  • Mac: 21% ✔
    • M1 getting started, next qtr they will fix the touchbar, magsafe and the then it’s gonna be perfect 👌
  • Wearables+Home: 30% (WFH?)
  • Search Advertising: aka blackmail biz: going strong dude, thx for asking! (per Tim Cook)
  • Cash: $200B (approx)
  • Projections: Next Qtr:
    • Wearables+Home will be weaker;
    • AirPods Pro / Max will do great (supply constrained)