Apple earnings beat forecasts on iPhone 17 demand

SAN FRANCISCO

Apple says it had its best-ever start to the year when it came to earnings, with iPhone demand and digital service sales helping it beat expectations.

The company reported profit of $29.6 billion on revenue of $111.2 billion in the recently ended quarter. IPhone sales made up the bulk of revenue, bringing in $56.99 billion.

This March, Apple introduced the new iPhone 17e and the MacBook Neo, an entry-level laptop, the company’s most aggressive attempts at moving into the affordable market.

"Today Apple is proud to report our best March quarter ever," chief executive Tim Cook said in an earnings call, noting revenue hit a record high for the three-month period. During the quarter, iPhone sales grew by double digits in just about every country where it does business, and its services unit reached an all-time high, according to Cook. 

The earnings come as Apple prepares for a changing of the guard, with Cook to step down as chief executive late this year.

John Ternus, 50, will take over as Apple chief executive in September, with Cook becoming executive chairman of the iPhone maker's board of directors.

"This is the most exciting time in my 25-year career at Apple," Ternus said on the earnings call, declining to disclose details of the company's roadmap.

"There are so many opportunities before us, and I couldn't be more optimistic about what's to come,” he said.