Notes of interest from Apple's Q1 2016 conference call

Participating in Monday's call were Apple Chief Executive Tim Cook, and Chief Financial Officer Luca Maestri.

Highlights

• To start the call, Cook highlighted currency fluctuations impacting Apple's results
• Revenue in China was up 14 percent year over year, representing Apple's best quarter ever
• Cook admitted there is some short-term volatility in China, but he's confident about the country's economy longer term
• Apple TV had its "best quarter by far," Cook said
• Apple Watch set a new quarterly record, with an especially strong December
• Apple has nearly $216 billion in cash, or $39 per diluted share of AAPL stock
• Product install base has grown to over 1 billion active devices

Apple's iPhone business

Cook cited stats that show iPhone satisfaction levels twice that of the next closest competitor.

Sales were up 300,000 from the same period a year ago.

ASP of iPhone was $690, up about $3 year over year.

Number of Android switchers was highest ever last quarter. Cook said Apple was "blown away" by the numbers.

Cook believes emerging markets and improving LTE penetration will help the iPhone going forward.

Cook admitted that Apple believes iPhone units will decline year over year, for the first time ever, in the current March quarter.

60 percent of Apple's install base has not yet upgraded to a larger iPhone 6, iPhone 6s, iPhone 6 Plus, or iPhone 6s Plus.

Apple's iPad business

Maestri cited stats saying that the iPad accounts for 85 percent of the U.S. tablet market.

Apple Watch

Apple once again declined to give any specifics on Apple Watch sales, but did say that the December quarter was the product's best yet.

Revenue in Apple's "other products" category was up 63 percent year over year, thanks to Apple Watch and the new Apple TV.

Apple's Mac business

Though Mac sales were down slightly year over year, Apple still gained overall marketshare amidst a slumping PC market.

Apple's next (Q2 2016) fiscal quarter

Apple is projecting revenue between $50 billion and $53 billion, with gross margins between 39 and 39.5 percent.

Operating expenses are expected to be between $6 billion and $6.1 billion, with other income of $325 million, and a tax rate of 25.5 percent.