Apple's latest financial report shows the iPhone is still its cash cow. Meanwhile, the impact of its newest product, the Apple Watch, isn't clear. The California tech giant turned in another solid performance Tuesday, saying that it sold more than 47.5 million iPhones during the three months ending in June, or 35 percent more than a year ago.
Apple was less forthcoming about sales of the Watch, which started shipping during the June quarter. Apple Watch is the company's first entirely new hardware product since the iPad debuted in 2010. Top executives stood by their decision not to release sales figures for the product, saying the information could be used by competitors.
In one tantalizing clue, Apple reported $2.6 billion in revenue from the segment that includes the watch and several other products, or about $952 million more than the previous quarter, when the watch had not yet gone on sale. That's significantly less than the $1.8 billion in watch sales that analysts surveyed by FactSet were expecting. But Chief Financial Officer Luca Maestri told The Associated Press that revenue from the watch amounted to "well over" that $952 million increase. He said the category also includes revenue from iPods and accessories, which saw declining sales in the quarter.
"We beat our internal expectations," Maestri said, adding that the number of watches sold in the first nine weeks was greater than the number of iPhones or iPads that the company sold in a comparable period after those products launched.
Apple has previously said it sold 1 million iPhones in the first 74 days, or more than 10 weeks, after sales began in 2007. Apple has said it sold 2 million iPads in the first 60 days, with iPad sales hitting 3 million in 80 days after the iPad was launched in 2010.
In addition to the iPhone, Apple got a bump from its Mac business in the latest quarter. Mac shipments rose nearly 9 percent to 4.8 million.
The iPad, however, continued to lag. Tablet shipments fell 18 percent to 10.9 million — the sixth straight quarter of declines. Apple is said to be planning to unveil a new iPad with a larger screen later this year.