Apple’s result exceeded the forecast thanks to iPhone sales and service revenue

Apple said Thursday that iPhone sales and revenue from services contributed to quarterly earnings that beat forecasts despite inflationary pressures and a slowing global economy.

The Silicon Valley titan reported a profit of $24 billion on revenue of $94.8 billion in the first three months of this year.

“We are pleased to report an all-time service record and a record March quarter for iPhone despite a challenging macroeconomic environment,” Apple CEO Tim Cook said in the earnings release.

iPhone sales totaled $51.3 billion in the quarter, surpassing the same period last year, according to earnings numbers.

Analysts said this was at least partly due to the reopening of China after prolonged corona restrictions hampered economic activity.

Although Apple has made noise with its expansion into India, China remains an important supplier and key market for the iPhone maker.

Apple was deeply affected by China’s years of coronavirus-related shutdowns, and only now is its complex supply chain returning to normal.

Total revenue for the period fell, although this was expected, and Apple shares rose about 1 percent in the aftermarket.

Mac sales fell to about $7.2 billion as belt-tightening worldwide hit the entire PC market.

Shipments of Apple Mac computers in the premium segment of the market shrank by more than 40 percent in the quarter, research companies IDC and Canalys have reported.

Although iPhones have been the heart of Apple’s money-making machine, the company has set its primary goal to bring in more revenue from content and services sold to users of its devices.

Apple said services revenue was $20.91 billion, defying expectations that demand for streaming entertainment will decline after the end of its limited life due to the coronavirus pandemic.

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