Apple Reports $19.4B Profit & Record Q3 2022 Revenue Despite Supply Chain Disruption

BY Sriansh

Published 29 Jul 2022

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Apple has officially announced financial results for Q3, 2022 (second calendar quarter), covering the months of April, May, and June. The company has reported a revenue of $83 billion, a profit of $19.4 billion, and earnings-per-share of $1.20 for Q3, 2022.

Apple had not provided any guidance for financial results for Q3 2022 due to ongoing supply chain issues and disruptions caused by the COVID-19 pandemic. Analysts were also expecting an overall lower revenue and profit for the third quarter. Experts now claim that such issues have cost Apple somewhere between $4 billion to $8 billion in revenue this quarter.

Breaking down the revenue reports for this quarter, it is apparent that all the sectors, excluding iPhone and Services, have shown negative growth compared to the same quarter last year. For reference, Apple reported $81.43 billion in revenue and a profit of $21.74 billion for Q3 2021. While last year’s profit was boosted thanks to pandemic-induced spending, which was mostly driven by the iPad and M1 Macs, this year’s profit has gone down due to high inflation and inflated prices worldwide. Here’s the breakdown for the fiscal Q3 2022: 

  • iPhone: $40.67 billion (Up 3% YOY)
  • Mac: $7.38 billion (Down 10% YOY) 
  • iPad: $7.22 billion (Down 1.9%)
  • Wearables: $8.08 billion (Down 7.8%)
  • Services: $19.60 billion (Up 12% YOY)

Apple Q3 2022 Results: Services Sector Sees Huge Growth 

As evident from the breakdown given above, Apple Services, which include Apple Music, Apple TV+, Apple News, iCloud, and more, saw a huge growth year on year. Apple’s chief financial officer Luca Maestri announced that the company now serves over 860 million paid subscribers across.

Apple Services have added over 160 million subscribers in just 12 months. While the company doesn’t provide a detailed breakdown of its Services revenue, Maestri said it is seeing a huge increase in ‌Apple TV+‌ and Apple Arcade subscribers. Here’s what Apple CEO Tim Cook said about the company’s Q3 2022 results:

This quarter’s record results speak to Apple’s constant efforts to innovate, to advance new possibilities, and to enrich the lives of our customers,” said Tim Cook, Apple’s CEO. “As always, we are leading with our values, and expressing them in everything we build, from new features that are designed to protect user privacy and security, to tools that will enhance accessibility, part of our longstanding commitment to create products for everyone. 

Source: Apple