Apple posts record quarterly revenue of $111.4 billion due to iPhone 12

Apple posted a record quarterly revenue of $111.4 billion, well above the $103.3 billion Wall Street analysts had predicted, due to strong iPhone sales.

The company's earnings report for the three months ended December 26, was it's first since the iPhone 12 went on sale.

iPhone sales grew over 17 percent on-year to nearly $65.6 billion, surpassing the $59.8 billion analysts had expected.

According to CEO Tim Cook, the total active installed base of iPhones globally is now over 1 billion, due to strong demand for the iPhone 12.

Morgan Stanley analysts see the iPhone 12 as Apple's most successful product launch in the last five years.

Apple's stock has largely been surging in recent weeks, with its market cap reaching a record of over $2.4 trillion. However, the strong results did not keep Apple's stock from falling by over 2 percent in after-hours trading Wednesday.

The iPhone 12 because it's the first Apple device that can connect to the superfast 5G network.

Tyler Ellegard, an investment analyst at Gradient Investments, pointed out that sales growth may not all be attributed to 5G, as some consumers wanted other perks, such as the iPhone 12's impressive camera features.

Apple's overall product sales totaled nearly $95.7 billion in the fourth quarter, and its total installed base of devices grew to 1.65 billion.