In its last quarter without the Apple Watch, revenue at the Cupertino, CA technology company surged 27 percent to a higher-than-expected $58 billion on soaring sales of the iPhone and the Mac and a record performance by the App Store. With 3,500 Apple Watch applications already in the iOS store, Apple is poised to expand sales of its long-awaited smartwatch to more countries, starting in late June. 

?We are learning quickly about customer preferences between the different [Apple Watch] configurations,? Tim Cook, Apple?s CEO, said of efforts to get Watch supply and demand in balance in a conference call to discuss the results. ?There?s a much larger breadth of possibilities here for customers than in our other products.

?In some cases we?re making adjustments to get in line with demand,? he said. But I?m really confident this is something we understand how to do.

?The responses from people who have gotten theirs over the weekend have been overwhelmingly positive,? he said. 

Apple is working to get its Watch supply and demand in balance by the end of the current quarter.

The wearable tech market has been difficult to read with consumer sentiment being somewhat nebulous, yet Apple?s watch managed to dominate the company?s news in the quarter. 

?So far there doesn?t seem to be a definitive product in the wearable tech space,? said Ken Wisnefski, founder-CEO of Webimax. ?If Apple can bridge the gap between the different reasons consumers have for purchasing a wearable, they can surely dominate the space.? 

The 3,500 apps that have been developed so far for the Apple Watch beat the 1,000 developed for the iPad at a similar stage and the 500 developed for the iPhone.

Apple?s app store generated 70 percent more global revenue in the March quarter than Google Play, Mr. Cook said, citing research from business intelligence firm App Annie.

Although problems grip the global smartphone market, Apple posted a 33 percent increase in net income to $13.6 billion, or $2.33 a share, amid strong demand for its larger-screened iPhone 6 and 6 Plus phones.

IPhone unit sales jumped 40 percent to 61.2 million, beating analysts? prediction. About 20 percent of the company?s active install base has upgraded to an iPhone 6 or 6 Plus. For the first time, iPhone sales in greater China outpaced those in the United States, helped by the Chinese New Year celebration.

?While most of Apple?s current buzz is centered around the iWatch, its workhorse in terms of sales remains the iPhone 6, which from a technology perspective continues to satisfy the consumer appetite for iPhones with bigger screens,? said Sami Kaipa, co-founder of mobile ad startup GlimpzIt. 

?The iWatch is significant still in that it makes Apple the first company to bring Internet Of Things to general consumers without them realizing it. 

?It?s tied heavily to the iPhone, which means it can develop its foothold by permeating the already ubiquitous use of mobile phones rather than trying to carve a unique space of its own,? the executive said.

Apple announced it would boost its capital-return program by $70 billion, amid its rising profit forecasts.

IPad sales dropped 23 percent to 12.6 million, marking the fifth straight quarter of year-over-year declines. Analysts had predicted a 17 percent drop.

Finding ways to jump-start iPad sales and sustain the Apple Watch?s momentum will be the biggest challenges Apple faces in the current quarter.

?While there are increasing numbers of features available, there are several things limiting the app ecosystem and thereby [Apple Watch?s] potential attractiveness,? said James Moar, research analyst with Juniper Research. 

?If Apple can easily ramp its features up through firmware releases like Android Wear has been, it may attract more buyers as the year goes on. Otherwise, the Watch risks stalling due to lack of appeal to consumers who are not wowed by the brand,? he said.