Hello everyone. Apple reports FY2Q23 earnings (results from January to March) on Thursday. We kick off today’s update with Neil’s big picture thoughts and expectations heading into Apple’s earnings. The discussion includes a look at the U.S. dollar’s performance relative to other currencies and the impact a weaker dollar has on Apple. We will go over Neil’s granular Apple financial estimates tomorrow. Neil’s revised Apple earnings model will also be ready.

Setting the Stage for Apple Earnings

It’s been a while since Apple reported a clean quarter with revenue reflecting underlying customer demand. Supply shortages, COVID interruptions, inflation, and multi-year strength in the dollar have contributed to noisy results. Excluding the headwinds, normalized revenue growth was trending up 10% or so in the first half of 2022 with signs of things slowing to more like flat revenue growth at the end of 2022.

Heading into Thursday’s results, expectations are for

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