Apple's earnings report has seen a decline in iPad sales in fiscal 2022 in its fourth quarter. It shows that iPads have brought in $29.2 billion this year, lower than sales from 2021, which was $31.8 billion. This could be due to Apple not focusing on iPads this year, as well as supplies being constrained, according to MacRumors.
The company didn't add anything to the refreshed iPad Air other than the M1 chip. As for the iPad Pro, it has received updates, but the sales will not be counted for this year's Q4, but next year's Q1 instead. That leaves Apple's iPad sales at $7.2 billion, which was $8.3 billion in 2021.
Overall, the tech company has reported a revenue increase of 8%. That's $90.1 billion in its fiscal Q4, and a net profit of $20.7 billion. Considering the decline in sales for electronic devices, this is a win for Apple.
Balancing the Scale
Despite the decline in iPad sales, Apple has been successful with its other products. Since updating the MacBook Air and 13-inch MacBook Pro in June, Mac has seen steady sales this year even with just a few refreshes.
People have been interested in the M1, M1 Pro, M1 Max, M1 Ultra, and M2 chips. So, despite having similar supply constraints with iPads, Apple managed to pull through. Apple saw $11.5 billion in revenue for the fourth quarter of 2022, which has been up $2.5 billion year-over-year.
In 2021, the fiscal earnings for Apple's Mac were $35 billion, Since then, Apple has seen a $5 billion increase, totaling up to $40.1 billion in fiscal 2022. Mac has been attracting new buyers in the fourth quarter of 2022, with at least half being new to the product line.
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Contribution of Other Apple Products
Of course, it wasn't just the Mac alone that racked up Apple's numbers. The tech giant's mobile revenue saw a positive increase due to the release of the new iPhone 14. Apple's mobile revenue last summer was $38.8 billion, which climbed to $42.6 billion this fourth quarter.
Tim Cook, the Apple CEO, said that despite supply constraints, sales for the iPhone 14 and iPhone 14 Pro Max are still strong. They even claimed to have an all-time high number of active devices.
Other than that, Apple Music and TV+ set a new record, as Apple saw $19.2 billion in revenue. Although it's not that big of an increase compared to last year's $18.3 billion, it's an increase nonetheless. Sales for wearables like the Apple Watch and smart home devices have also seen increases, growing from $8.8 billion to $9.7 billion.
Apple still struggles with supply issues. According to an estimate mentioned in Yahoo, the PC market dropped 19.5% in the third quarter of 2022. Smartphone shipments also lowered by up to nine percent. Apply is flying by steadily, and is staying afloat by trying to avoid sharp declines.
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