Apple surpasses 900 million paid subscribers as Services revenue increases 5% YoY
CFO Luca Maestri provided further information regarding the company’s growth in terms of premium services during Apple’s Q4 earnings call. Apple currently has more than 900 million paying members, approaching the one billion mark.
Apple’s Services revenue for its fiscal Q4 performance increased 5% YoY to $19.19 billion. The amount of users that subscribe to services like iCloud storage, Apple Music, Apple TV+, the Apple One Bundle, and other items is a significant factor in that.
Apple’s CFO, Luca Maestri, revealed on the earnings call that the company’s services exceeded 900 million paying customers in Q4. Normally, Apple doesn’t provide specific figures for its various services.
Maestri also pointed out that it is up 154 million from a year earlier. Apple said that it reached 825 million paying users in April and 860 million in July, providing further detail.
Apple is anticipated to reach 1 billion paying subscribers in 2023 if the current growth rate continues, which is an increase of about 35–40 million consumers every quarter.
In a similar move, Apple this week announced pricing increases for its bundles of Apple Music, TV+, and One.
APPLE’S TOTAL APP SUBSCRIPTION IS MASSIVE
Any subscriptions made on Apple platforms are included in the calculation of the overall user base. This covers the App Store’s app subscriptions, entertainment applications, and Apple services. With very few exceptions, the business receives a commission from each purchase or subscription made on its platform, thus it may see each subscription as contributing to its bottom line. According to Apple Chief Financial Officer Luca Maestri, its services continued to expand, with services hitting a record for revenue for the September quarter, up 5%. owing to great client loyalty and satisfaction.
According to Apple’s fiscal 2022 fourth fiscal quarter and full-year financial report, its total net revenue for the quarter was $90.146 billion. Comparing this to $83.360 billion in the same time the previous year, there has been a rise of 8%. $20.721 billion was its net profit. Diluted profits per share for the firm were $1.29. This is a 4% increase above $1.24 from a year ago. In Greater China, Apple’s fourth-quarter sales were $15.470 billion, up 6% from $14.563 billion during the same time in 2017. The business is doing fairly well and benefits greatly from its devoted customer base. For several years, the corporation will probably maintain its dominance.