Apple Inc.

Good day and welcome to the Apple Q4 Fiscal Year 2022 Earning Conference Call. For information, this call is being recorded. At this time, for opening remarks and introductions, I would like to call over to Tejas Galla, Director of Investment Relations and Corporate Finance. Please go ahead.

Speaking first today is Apple CEO Tim Cook, and he'll be followed by CFO Luca Maestri. After that, we'll open the call to questions from analysts. Before turning the call over to Tim, I would like to remind you that approximately once every six years, we add a week to the December quarter to realign our fiscal periods with the December calendar. So this December quarter will span 14 weeks rather than the usual 13 and will end on December 31st. Please note that some of the information you'll hear during our discussion today will consist of forward-looking statements including, without limitation, those regarding revenue, gross margin, operating expense, other income and expense, taxes, capital allocation, and future business outlook including the potential impact of COVID-19 on the company's business and results of operations. These statements involve risks and uncertainties that may cause actual results or trends to differ materially from our forecast. For more information, please refer to the risk factors discussed in Apple's most recently filed annual report on Form 10K and the Form 8K filed with the SEC today, along with the associated press release. Apple assumes no obligation to update any forward-looking statements or information which speak as of their respective dates. I'd now like to turn the call over to Tim for introductory remarks.

Thank you, Tejas. Good afternoon everyone, and thank you for joining the call today. Over the past year, despite a range of challenges facing the world, our teams have come together in incredible ways to drive unparalleled innovation and deliver again and again for our customers. For the September quarter, we reported record revenue of $90.1 billion, which was better than we anticipated despite stronger than expected foreign currency headwinds. We set an all-time revenue record for MAC and September quarter records for iPhone and wearables, home, and accessories. Services notched a September quarter record as well with revenue of $19.2 billion and more than 900 million paid subscriptions. We reached another record on our install base of active devices thanks to a quarterly record of upgraders and double-digit growth in switchers on iPhone. Across nearly every geographic segment, we reached a new revenue record for the quarter. And we continue to perform incredibly well in emerging markets with very strong double-digit growth in India, Southeast Asia, and Latin America. I'm also happy to report that during the quarter, silicon-related supply constraints were not significant. I want to acknowledge that we are still living through unprecedented times. From war in Eastern Europe to the persistence of COVID-19, from climate disasters around the world to an increasingly difficult economic environment, a lot of people in a lot of places are struggling. Through it all, we've aimed to help our customers navigate through the challenges while giving them the tools to drive progress for themselves and their communities. At Apple, creativity and collaboration have always been at the core of who we are. That spirit of ingenuity and teamwork helped us provide our customers with incredible innovations this year and led to another yearly revenue record. In fiscal 2022, Apple achieved revenue of $394 billion, representing 8% annual growth. We set records for iPhone, Mac, wearables, home and accessories, and services while growing double digits in emerging markets and setting records in the vast majority of markets we track. Customers are loving our iPhone 14 lineup. Loaded with camera upgrades for sharper photos, action mode for smoother videos, and new safety features like crash detection and emergency SOS via satellite, iPhone is even more indispensable to our daily lives. iPhone 14 and iPhone 14 Plus come with a new dual camera system, industry-leading durability, incredible power, and amazing battery life. And our iPhone 14 Pro models are packed with even more groundbreaking innovations, including a new camera system, as well as always-on display, and the Dynamic Island, which offers a whole new way to interact with iPhone. Just yesterday, our most advanced iPad and iPad Pro ever landed in stores. With its all-screen design, advanced cameras, and faster wireless connectivity, the 10th generation iPad looks and performs better than ever. For creatives, iPad Pro, now turbocharged by the blazingly fast M2 chip, is the perfect device to make something amazing. Our Mac customers have already been raving about the power of M2 since the arrival of our newest MacBook Air and MacBook Pro this summer. Their incredible long battery life, stunningly rich display, and lightning-fast speeds are a signature part of the Mac experience and help drive an all-time record revenue for Mac during the September quarter. In wearables, home, and accessories, a wave of innovation spurred 10% year-over-year revenue growth during the September quarter. New features in Apple Watch Series 8, including temperature-sensing capabilities, retrospective ovulation estimates, and crash detection are helping to keep customers healthier and safer. And the updated Apple Watch SC is a great way for users to start their Apple Watch journey, delivering advanced features at a new low price. The biggest, brightest, and boldest Apple Watch ever made, Apple Watch Ultra, pushes the boundaries of what a smartwatch can do. Packed with innovations like advanced navigation tools and the new Oceanic Plus app, which turns it into a dive computer, Apple Watch Ultra has something for athletes and adventurers on land and sea. The second generation of AirPods Pro powered by the new H2 chip are receiving rave reviews for delivering an unmatched wireless earbud audio experience while canceling up to twice as much noise over the previous model. There's no better place to discover the rich spatial audio capabilities of AirPods Pro than Apple Music, the largest music catalog anywhere now with more than 100 million songs. And there's no other company that fuses best-in-class hardware with cutting-edge software and services to create a truly integrated and seamless experience. With iOS 16, we're giving customers more ways to personalize their iPhones through a customizable lock screen and focus filters. New features in messages and mail enable users to connect and collaborate like never before. Stage Manager in iPad OS 16 and Mac OS Ventura helps users stay more productive with smoother multitasking. And Watch OS 9 is empowering customers to live a healthier day through updates to the Sleep app, a new FDA-cleared AFib history feature, and the new Medications app. Across our services, we continue to see enthusiasm and strong engagement from our subscribers. Apple TV Plus hits like Severance, Bad Sisters, and Blackbird have taken center stage on screens around the world. And baseball fans were glued to their seats this season watching Friday Night Baseball. Meanwhile, Apple TV Plus productions continue to earn accolades. At the 74th Primetime Emmy Awards in September, Apple brought home nine statues, including a second consecutive win for Best Comedy Series for Ted Lasso. And soon, we're going to give audiences an even better entertainment experience when the all-new Apple TV 4K hits stores next week. We're also bringing Fitness Plus to more customers than ever by making our entire library of over 3,000 studio-style workouts and meditations available to iPhone users in 21 countries, even those without an Apple Watch. These updates are arriving just in time for a new Artist Spotlight Series with workouts featuring the music of Taylor Swift and a new workout program, Yoga for Every Runner, featuring and designed with one of the world's top ultra-marathon athletes, Scott Jurek. While Fitness Plus helps subscribers stay active, Apple Card is designed with our customers' financial health in mind. For the second year in a row, Apple Card has been ranked highest in customer satisfaction for midsize credit card issuers by JD Power. And our users' favorite Apple Card benefit just got even better with the upcoming addition of a new high-yield savings account to help them save and grow their daily cash rewards. Turning to retail, last month our team members welcomed customers to the all-new Apple Jam Sill in South Korea. And through today at Apple Creative Studios, we partnered with nonprofits in cities around the world to help young, diverse creatives pursue their passions and connect with local mentors. And our retail teams have done exceptional work helping customers explore our latest products and features. As we approach the holiday season with our product lineup set, I'd like to share my gratitude to our retail, AppleCare, and channel teams for the work they are doing to support customers. At Apple, we're proud of the ways we are able to help customers be productive, get healthy, stay safe, and unlock their creative potential. We also understand we have an important responsibility to the communities we serve. That's why we continue to invest in education, racial equity and justice, and the environment. And we are making important progress toward a more inclusive and diverse workforce. Through our community education initiative, we're working alongside more than 150 partners to help students around the world learn new science and technology skills. This summer, we joined with community partners to support coding academies across the United States, from Code Academy in Nashville to One Summer Chicago to the Coding 5K Camp for Girls right next door in San Jose. We've also just expanded our racial equity and justice initiative into the UK for the first time. Alongside the South Bank Center, we're helping aspiring creatives develop their own voices and position themselves for long-lasting careers. Back in the US, we welcomed a new class of black, Latino, and indigenous entrepreneurs to Apple's second impact accelerator. This group of innovators is focused on using green technology to mitigate the effects of climate change and serve communities most affected by it. At Apple, we care deeply about protecting the planet for future generations. To that end, in support of our 2030 environmental goals, we have asked all of our suppliers to become carbon neutral across their entire Apple-related footprint by the end of the decade. We are also providing them with resources based on what we learned achieving net zero carbon in our own global operations. Across our entire product lineup, we also continue to source more materials through recycling while taking less from the earth. Every iPhone 14 is made with 100% recycled rare earth elements in all magnets, including those used in MagSafe. And in a first for Apple Watch and iPad, we're using recycled gold in the plating of multiple printed circuit boards in our newest devices. While we're working to reduce the footprint of our hardware, we're making changes to our software to be more environmentally friendly with the soon to be released clean energy charging feature for iPhone. Our 2030 goal is a reflection of our relentless focus on the future at Apple. The world continues to be unpredictable as old challenges evolve and new ones emerge. What remains constant is the ability of our teams to create great products, services, and experiences while being a force for good in the world. Whatever challenges lie ahead in the new year, we're moving forward as we always have, investing for the long term to deliver incredible innovations for our customers like only Apple can. And now I'll hand it over to Luca for more details on our performance.