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fancyfacebook

25% increase in macs sold is huge, not sure if this was just a weird spike or not but that really stands out

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25% increase in revenue. 10% increase in units.

Must have been due to huge increase in Mac profit margin per unit.

It's Mac revenues. Average selling price hasn't changed much.

If the units have only gone up 10% but revenue has gone up 25% then absolutely, yes, profit per unit has gone up, across the board.

Technically, unit price has gone up for sure. Profits also depend on costs, so it probably went up, but you can't say for sure just from this data.

True, but in the context of the parent post, "average sale price hasn't changed much", then if we assume the following:

unit price remains stable, unit sales have increased 10%, unit revenue has increased 25%, then profit has absolutely increased (and as you say, only due to a decrease in costs).

But revenue is not profit. If units are up 10% and revenue is up 25% then there must have been an increase in average selling price.

That alone doesn’t tell us anything about whether profit went up or down.

I believe you'd could get the same ratios when unit costs go down (e.g., raw materials costs drop, fixed costs such as tooling are amortized, and so forth).

No, you could see those ratios with net income or profit but revenue is simply numUnitsSold*avgSellingPrice. It doesn’t take unit costs into account.

Ack. Yes. This is why my girlfriend is the one on track to become a CPA, not me!

This article has a chart of the Mac's average selling price and fairly constant its been: http://www.asymco.com/2017/07/31/how-much-will-the-new-iphon...

It ticked up a bit recently because of the MacBook Pro with TouchBar; the iMac Pro[1] ships next month at a starting price of $4999; we know there will be a revised Mac Pro[2] in 2018 that will be similarly priced for starters but probably go significantly higher depending on the configuration.

[1] https://www.apple.com/imac-pro/specs/

[2] https://www.macworld.co.uk/news/mac/new-mac-pro-2018-latest-...

So the average selling price and units will continue to increase due to the pent-up demand for pro-level Macs.

From 2016 to 2017 they increased the price of the latest generation of MacBook Pros by a couple hundred dollars. It wasn’t so noticeable because they also added some lower spec models to the lineup in 2017. For example, a base non-touchbar 8|256 mbp in 2016 was about $1300, but about $1450 in 2017. Yet you could still get a $1300 model in 2017, it just had half the storage of the 2016 $1300 model at 128GB.

Another amazing stat: the Mac will be 34 years old in a couple of months and yet is having its best sales ever.

Except for the iPhone, the Mac generates more revenue than any other single product Apple sells.

Tim Cook said it was due to China.

10% increase in macs sold - 25% increase in revenue from those mac sales.

Is the reverse true for iPhones? Like even with the (granted not that many) $1,000+ iPhone X's, there was only a 2% increase in revenue, so I wonder if Apple is starting to sell more lower-end iPhones as a percentage of its total iPhone sales.

Considering that preorders just started last week and it goes on sale tomorrow, I doubt it had much of an impact. More will probably show up next quarter. I'd guess that less 8 and 8 Plus were sold due to people waiting on X. That's what I'm doing, anyways

Presumably the revenue wouldn't be recognized until the phone was shipped so the direct impact of the iPhone X would be zilch. As you say, to the degree it has an impact at all, it's probably negative as, in the short term, there would be more 8/8+ sales if there weren't an X coming in the relatively near term.

[ADDED: And as others have noted, no iPhone X sales happened anyway before the end of the quarter being reported and only about a week of iPhone 8 sales.]

Quarter ended before they sold any iPhone Xs.

No - iPhone X did not sell in Q4 and is not reflected in these numbers at all.

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