Apple notes in their earnings report that Services revenue in their fiscal 4th quarter of 2017 included "a favorable one-time adjustment of $640 million due to a change in estimate based on the availability of additional supporting information". The device category rose about 2% during Q4 as compared to previous year, which seems like a modest amount considering no one expected the iPhone 8 and iPhone 8 Plus to do as well as they did. This quarter's earnings will give a glimpse into the first week of sales for the iPhone 8, one of Apple's newest devices.
Apple shares have hit records this week, with investors predicting demand for the handset will continue in future quarters.
Analysts were projecting Q1 revenue of $85.31 billion.
Most Australians buyers are expected to buy the premium iPhone X on a contract, however, which could prove more challenging.
Optus product managing director Ben White also warned "we expect our initial iPhone X stock to sell out very quickly" as supplies were "limited".More news: "Operation Troop Treats" Encourages Local Children to Give Back to Troops
GBH Insights analyst Daniel Ives said strong worldwide demand for the new smartphone, along with "complex production issues", meant the iPhone X would remain in short supply until April or May next year.
In the year-ago quarter (Q4 2016), Apple earned $46.9 billion in revenue.
Each year Apple's sales quarters generally follow a pattern - or have over the past 6 years or so.
Analysts believe Apple can pull off the juggling act.
Still, with a little reading between the lines, Apple's fiscal fourth-quarter performance may hint at whether consumers are waiting on the new phone to splurge during the all-important holiday season. By comparison, Apple shipped almost 217 million iPhones in its just-completed fiscal 2017.
The company's net income rose to $10.71 billion, or $2.07 per share, in the quarter, from $9.01 billion, or $1.67 per share, a year earlier.