For the current quarter ending in September, Apple said it expects revenue of $60 billion to $62 billion. Analysts surveyed by Zacks had expected revenue of $58.59 billion.
The results highlight Apple’s successful shift away from depending on selling more and more iPhones in order to grow its business.
Another development to consider: China’s Huawei has passed Apple to become the world’s second largest smartphone seller, according to research firms IDC, Canalys and IHS Markit.
Unit volume rose just 1 percent from a year ago to 41.3 million, which was expected, but the average selling price grew 20 percent to $724 per iPhone, up from $606 a year ago. That suggests that more consumers were buying its premium iPhone X, which starts at $999. The base models, the iPhone 8 and 8 Plus, also had $50 and $30 price increases compared with their predecessors.
Apple shares have climbed 12 percent since the beginning of the year, while the Standard & Poor’s 500 index has climbed slightly more than 5 percent. In the final minutes of trading on Tuesday, shares hit $190.29, a climb of 28 percent in the past 12 months.