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Apple posts record Q2 revenue, with strong iPhone sales

Apple has announced its financial results for Q2 of fiscal 2014, running up to the end of March, and more records have been broken with a revenue of $45.6 billion (£27.2 billion) and a net profit of $10.2 billion (£6.1 billion).

International sales represented the lion's share of 66 per cent of the quarter's revenue.

Revenue was up 4.6 per cent year-on-year, and profit was up 7.4 per cent, with Cupertino reporting surprisingly strong iPhone sales, shifting no less than 43.7 million units.

Since the end of last year, we've seen a slowdown in high-end smartphones – as quality handsets get cheaper and the budget market expands with offerings like the popular Moto G – so this is an unexpected uptick when it comes to Apple's smartphones.

Tim Cook was in a jubilant mood, unsurprisingly, and said: "We're very proud of our quarterly results, especially our strong iPhone sales and record revenue from services. We're eagerly looking forward to introducing more new products and services that only Apple could bring to market."

Is that a hint that we are indeed going to see something truly new this year – perhaps the fabled iWatch, even? The latter is probably unlikely, though – but we will see supersized phones and iPads, if the rumour mill is anything to go by.

Peter Oppenheimer, Apple's CFO, chimed in: "We generated $13.5 billion [£8.5 billion] in cash flow from operations and returned almost $21 billion [£12.5 billion] in cash to shareholders through dividends and share repurchases during the March quarter. That brings cumulative payments under our capital return program to $66 billion [£39 billion]."

In its guidance for Q3, Apple said it expected to hit a revenue of between $36 billion and $38 billion (£21.5 billion and £22.5 billion).