Apple sets record quarterly revenue of $53.8b in Q3 results report

SAN FRANCISCO - US tech giant Apple Inc Tuesday disclosed a record quarterly revenue of $53.8 billion for the third quarter ended on June 30, representing 1 percent year-on-year growth.

Apple CEO Tim Cook attributed the "biggest" quarterly gains to all-time high revenues generated from services that include Apple Pay, iCloud, Apple Music and Apple Care.

"This was our biggest June quarter ever -- driven by all-time record revenue from Services, accelerating growth from wearables, strong performance from iPad and Mac and significant improvement in iPhone trends," he said.

He told investors at a conference Tuesday that the company's service revenue amounted to $11.5 billion, an increase of 13 percent year over year.

Citing Apple Pay as an example, Cook said the Apple e-wallet, which was launched in 17 countries in the third quarter alone, is now completing nearly 1 billion transactions per month, more than twice the volume of one year ago.

Apple Pay has now fully covered the European Union and enjoyed in a total of 47 markets, he said, adding that Apple Pay also launched the payment card for China's Didi, the world's largest ride-hailing provider.

Apple generated $5.525 billion in sales from wearables, home products and accessories.

However, Apple's net income fell 13 percent to $10.44 billion, compared to the same quarter of 2018. It went down from $9.55 billion to $9.157 billion in the Greater China region.

Apple's sales for the iPhone dropped sharply from $29.47 billion to $25.97 billion, down 12 percent from last year's June quarter, due to the product's market saturation that cut into the company's hardware profits.

Despite the downfall of iPhone sales, Cook voiced optimism about the company's performance in Greater China, as it posted "significant improvement" compared to the first half of fiscal 2019.

"The combined effects of government stimulus, consumer response to trade-in programs, financing offers, and other sales initiatives, and growing engagement with the broader Apple ecosystem had a positive effect," he said.

Apple share rose 4.2 percent in after-hour trading Tuesday as the Cupertino, California-based company posted earnings per share of $2.18.