Apple saw a dip for its Q1 2023 fiscal quarter, with just over $117 billion in revenue - down 5% YoY compared to its record for fiscal Q1 in 2022 which saw $123.95 billion in revenue. However, the company pointed out two bright spots with 2 billion of its devices now in use and a new revenue record for its Services.

Record Apple Devices in Use

Last year, Apple shared that it hit 1.8 billion active devices. That means it added more than 200 million Apple devices in the previous 12 months to surpass the 2 billion mark - an impressive feat since its installed base was growing by around 100-150 million new devices per year since 2019, and active devices doubled from 1 to 2 billion in just seven years. CEO Tim Cook and CFO Luca Maestri credited the installed base growth to high customer satisfaction and loyalty along with a record number of customers switching to Apple from competitors.

Record Services Revenue

As for the Services, it saw a record $20.8 billion in revenue for the quarter, slightly beating the $19.5 billion estimate. That was delivered by 935 million paid subscriptions, up 150 million from a year ago. “We set an all-time revenue record of $20.8 billion in our Services business, and despite a difficult macroeconomic environment and significant supply constraints, we grew total company revenue on a constant currency basis,” said Luca Maestri, Apple’s CFO. “We generated $34 billion in operating cash flow and returned over $25 billion to shareholders during the quarter while continuing to invest in our long-term growth plans.”