Apple's wearables revenue grows 60 percent in June quarter

Posted:
in Apple Watch edited July 31
Sales of Apple wearables like AirPods and the Apple Watch grew 60 percent year-over-year during the June quarter, CEO Tim Cook said in announcing results on Tuesday.

Apple Watch and AirPods


As usual, Cook didn't provide any model-specific unit or revenue figures. The company did however say that its "Other Products" category, of which wearables are a part, brought in $3.74 billion -- and that in the last four quarters, wearables revenue topped $10 billion. The Watch saw mid-40s percent growth in the June period, according to Cook.

The Watch and AirPods were likely the main revenue drivers, but the company also presumably saw plenty of help from recent Beats headphones like the Powerbeats3 and BeatsX, which like AirPods use Apple's W1 wireless chip for easy pairing with Apple devices and more reliable connections.

"It reminds me of the early days of the iPod," Cook said during today's conference call. "When I saw those white earbuds everywhere I went."

Apple's June 2018 quarter smashed internal records with $53.3 billion in overall revenue. This was driven largely by sales of 41.3 million iPhones, which pulled in $29.9 billion.

Mac and iPad revenues were down, but another positive contribution came from services, which jumped 31 percent to about $9.5 billion.

Comments

  • Reply 1 of 18
    Very happy with my AirPods & Apple Watch Series 2!
    The Millenese loop sealed the dead!
    watto_cobrachasm
  • Reply 2 of 18
    StrangeDaysStrangeDays Posts: 5,837member
    Love my Series 3 and AirPods. The AP I got almost day one in December 2016, and used them almost daily since...batteries seem to be wearing out faster than advertised now tho.
    watto_cobra
  • Reply 3 of 18
    FolioFolio Posts: 393member
    These wearables starting to reach a critical mass in US, ready for growth surge. Commonly see watches and AirPods in the wild in East Coast cities.  Women wearing AirPods with earrings! I didn't think it'd come this fast, honestly. Thought we'd have to wait for sleeker watch and maybe black AirPods.
    JWSCwatto_cobrachasm
  • Reply 4 of 18
    mknelsonmknelson Posts: 258member
    I like that analogy with the early days of the iPod. I've starting noticing AirPods in people's ears on the news, etc.
    watto_cobrachasm
  • Reply 5 of 18
    blastdoorblastdoor Posts: 1,882member
    Watch, AirPods, and BeatsX are all really great products! The ecosystem surrounding the iPhone is clearly very strong. 

    The iPad is coming along pretty well. 

    The Mac needs help. 
    watto_cobra
  • Reply 6 of 18
    mac_128mac_128 Posts: 3,242member
    mknelson said:
    I like that analogy with the early days of the iPod. I've starting noticing AirPods in people's ears on the news, etc.
    The AirPods is where I'd say most of the growth is coming form. Anecdotally they do seem to be ubiquitous, much more so than the Apple Watch.  What's interesting is that Apple keeps throwing more and more into this category, and there is excellent growth, but not necessarily counting for all the products it represents equally. And I certainly wouldn't discount the value of Beats as a contributor to this sector.
    cornchipclaire1watto_cobra1983
  • Reply 7 of 18
    bageljoeybageljoey Posts: 1,740member
    mac_128 said:
    The AirPods is where I'd say most of the growth is coming form. Anecdotally they do seem to be ubiquitous, much more so than the Apple Watch.  
    Interesting.
    I see the AirPods around too, but I’ve been seeing the Apple Watch a great deal this year as well!  I was the first person at work to get one and now they are all over. 
    At a family gathering I noticed 10 Apple Watches out of 20 people. 
    cornchipwatto_cobrachasm
  • Reply 8 of 18
    cornchipcornchip Posts: 1,112member
    But is is a stable business yet...
    watto_cobra
  • Reply 9 of 18
    Those of you who are the fence about the AirPods should make the leap when the new case comes out. 

    They just 'perch' in your ears. I'm a trail runner here in the AZ desert and they have never fallen out of my ears. You don't even know they are there.

    I've heard a lot of Podcasters (Dan Moren) say, 'I'm not a big fan for the Apple wired EarPods.' The AirPods are nothing like them. :)

    Best product Apple has introduced in years! :)

    Best

    rattlhedbrucemcJWSCwatto_cobra
  • Reply 10 of 18
    If you are a runner, you need the AirPods and the AppleWatch.

    The AirPods replace the iPod, iPhone and wired EarPods. It's brilliant combination! :)

    The charging case is a streak of genius! :)
    slprescottbrucemcwatto_cobrachasm
  • Reply 11 of 18
    MacProMacPro Posts: 17,727member
    I have a gold and stainless steel Rolex datejust I never took off for thirty years in a drawer.  I've never gone back since I got my wife's hand me down Watch v2 when I bought her the v3.  I can't see me going back, so what to do with the Rolex?
    bb-15watto_cobra
  • Reply 12 of 18
    DAalsethDAalseth Posts: 297member
    I've seen exactly one (1) AppleWatch in the wild. But that may just be the people I tend to be around. 
    We were at an AppleStore this week. We picked up a pair of BeatsX earbuds for my wife. The deciding factor was that with the string tying them together when they fall out they won't go far. They'll be harder to lose. Yes I know the "I run and do judo and skydive and they never fall out", crowd will pipe up saying it never happens, but eventually they will. Something will happen and they will fall out. Earbuds tied together will be easier to find in the lawn, in the bed, in the snow, wherever, than a single white EarPod. That was the deciding factor for us.
    While we were there we played with an AppleWatch. It's really cool. It is closing in on the point where we will get a pair of them for my wife and I. Looking forward to what they bring out this fall. 
    watto_cobra
  • Reply 13 of 18
    badmonkbadmonk Posts: 727member
    DAalseth said:
    I've seen exactly one (1) AppleWatch in the wild. But that may just be the people I tend to be around. 
    We were at an AppleStore this week. We picked up a pair of BeatsX earbuds for my wife. The deciding factor was that with the string tying them together when they fall out they won't go far. They'll be harder to lose. Yes I know the "I run and do judo and skydive and they never fall out", crowd will pipe up saying it never happens, but eventually they will. Something will happen and they will fall out. Earbuds tied together will be easier to find in the lawn, in the bed, in the snow, wherever, than a single white EarPod. That was the deciding factor for us.
    While we were there we played with an AppleWatch. It's really cool. It is closing in on the point where we will get a pair of them for my wife and I. Looking forward to what they bring out this fall. 
    As a day 1 AirPod early adopter, I have never had them fall out but the little known dark secret is that it is the case that is easy to lose.
    claire1watto_cobra
  • Reply 14 of 18
    badmonkbadmonk Posts: 727member
    Likewise, I work in a hospital and the most common wearable among nursing staff is the AW.  Over the last year there has been a massive adoption and fitbits are now rare.
    claire1christopher126watto_cobra
  • Reply 15 of 18
    claire1claire1 Posts: 478unconfirmed, member
    DAalseth said:
    I've seen exactly one (1) AppleWatch in the wild. But that may just be the people I tend to be around. 
    We were at an AppleStore this week. We picked up a pair of BeatsX earbuds for my wife. The deciding factor was that with the string tying them together when they fall out they won't go far. They'll be harder to lose. Yes I know the "I run and do judo and skydive and they never fall out", crowd will pipe up saying it never happens, but eventually they will. Something will happen and they will fall out. Earbuds tied together will be easier to find in the lawn, in the bed, in the snow, wherever, than a single white EarPod. That was the deciding factor for us.
    While we were there we played with an AppleWatch. It's really cool. It is closing in on the point where we will get a pair of them for my wife and I. Looking forward to what they bring out this fall. 
    Where the heck do you live? I can't go out on the town without seeing swarms of them and just turn on the TV and a lot of reporters etc. have them on.

    It reminds me very much of when the iPod was new.
    christopher126watto_cobraStrangeDays
  • Reply 16 of 18
    badmonk said:
    Likewise, I work in a hospital and the most common wearable among nursing staff is the AW.  Over the last year there has been a massive adoption and fitbits are now rare.
    My daughter is a doctor and she said her Apple Watch is invaluable in receiving texts from nurses and other doctors. :)

    edited August 1 claire1watto_cobra
  • Reply 17 of 18
    claire1claire1 Posts: 478unconfirmed, member
    badmonk said:
    Likewise, I work in a hospital and the most common wearable among nursing staff is the AW.  Over the last year there has been a massive adoption and fitbits are now rare.
    My daughter is a doctor and she said her Apple Watch is invaluable in receiving texts from nurses and other doctors. :)

    Perfect time for Apple to fully move into health!
  • Reply 18 of 18
    DAalsethDAalseth Posts: 297member
    claire1 said:
    DAalseth said:
    I've seen exactly one (1) AppleWatch in the wild. But that may just be the people I tend to be around. 
    We were at an AppleStore this week. We picked up a pair of BeatsX earbuds for my wife. The deciding factor was that with the string tying them together when they fall out they won't go far. They'll be harder to lose. Yes I know the "I run and do judo and skydive and they never fall out", crowd will pipe up saying it never happens, but eventually they will. Something will happen and they will fall out. Earbuds tied together will be easier to find in the lawn, in the bed, in the snow, wherever, than a single white EarPod. That was the deciding factor for us.
    While we were there we played with an AppleWatch. It's really cool. It is closing in on the point where we will get a pair of them for my wife and I. Looking forward to what they bring out this fall. 
    Where the heck do you live? I can't go out on the town without seeing swarms of them and just turn on the TV and a lot of reporters etc. have them on.

    It reminds me very much of when the iPod was new.
    Nanaimo BC. I work at an engineering company, a sea of Windows and Android. All the watches are mechanical, if they wear a watch that is, most don't. My friends are actors, musicians, and retired people, none of whom wear watches much at all. I see a goodly number of doctors regularly, so far only my Ophthalmologist has one. I haven't noticed them on the wrist of anyone else, nurses, surgeons, oncologists, and such. My GP doesn't have one but he was talking about the clinic and BC Health trying to integrate home sensor data into their records. So things like BP and Glucose readings would automatically be transmitted to the office before I go in. If they did that and Apple added some of these sensors to the AW, I'd get one in a heartbeat. 
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