Business

Apple Services Revenue Hits $17.5B

Tim Cook
Frazer Harrison/FilmMagic

Tim Cook attends Apple's "Ted Lasso" Season 2 Premiere at Pacific Design Center on July 15, 2021 in West Hollywood, California.

Apple continues to grow at a torrid pace.

The company said Tuesday that its services business, which includes Apple TV+, Apple Music, the App Store and iCloud, delivered $17.5 billion in revenue in the third fiscal quarter of 2021, which ended June 30. That is up from $13.1 billion in the same quarter a year ago, and from $16.9 billion last quarter, and marks a new record.

As usual, Apple did not break down how its services revenue was distributed, or how many subscribers each service has.

Apple’s earnings report comes just a few weeks after Apple TV+ scored some 35 Emmy nominations, led by its comedy Ted Lasso. Apple CEO Tim Cook lauded the company’s Emmy noms on its earnings call, saying he was “proud” of the nominations, and that it “speaks to the quality of our programming and the enthusiastic reception from users and critics alike.”

Apple CFO Luca Maestri told analysts that the company had “more than 700 million paid subscriptions” across its services division, including Apple TV+, Apple Music, News and Games.

Maestri also said that while Apple expects its services revenue to grow next quarter, it does not expect the same level of growth it saw this past quarter. “We expect our services growth rate to return to more normal,” he added, noting this past quarter benefitted from a comparison to the same quarter a year ago, at the beginning of the COVID-19 pandemic, with Maestri specifically calling out the performance of the company’s advertising business and AppleCare.

Overall, Apple reported revenue of $81.4 billion, up 36 percent year over year, and quarterly earnings per diluted share of $1.30.

This article was originally published by The Hollywood Reporter.