IPhone sales grows 2% to $26.4 billion, new SE a booster: Cook
Aug 01 2020
On Thursday, Applereported its second quarter earnings, which reveal sales of the product were up 2 percent year over year, despite the economic impact from COVID-19.
In a call following the release of Apple's Q3 earnings, the company's CFO Luca Maestri shared that compared to the September 2019 release of iPhone 11 models, Apple is expecting this year's supply of new iPhones "to be available a few weeks later".
FOX Business' Susan Li gives more information on Apple's stock split, recent earnings report, and how CEO Tim Cook is feeling about the coronavirus economy. The company posted revenue of $59.7 billion.
With 60% of sales coming from global markets, the Cupertino, California-based company posted iPhone revenues of $26.42 billion, $4 billion above analyst expectations, according to IBES data from Refinitiv.
The continued growth in services and accessories also showed the durability of the company's brand, which has prompted investors to view it as a comparative safe haven and pushed up share prices since March. The Americas also still represents the highest-grossing region at $27 billion in revenues.
This is Apple's first share split since 2014.
Profits for the quarter also grew to $11.3 billion, up 12 per cent year-on-year. Wall Street was looking for a much lower figure of $22.4 billion and the reported amount was 1.7% ahead of the revenue generated by the iPhone during the same quarter a year ago.
It has previously been suggested that Apple will issue four versions of the iPhone this year - the 12, 12 Max, 12 Pro and 12 Pro Max, with screen sizes of 5.4, 6.1, 6.1 and 6.7 inches, respectively. Because of the uncertain economic climate, Apple once again declined to offer detailed guidance for the coming quarter.
"Both had some really significant product announcements at the end of March, beginning of April", Cook told Reuters.
The pandemic is keeping people at home, which has spurred demand for Apple devices to help millions of consumers use the internet to keep in touch with friends, family and co-workers.
This performance can be attributed to a glorious rise in iPhone and iPad sales, along with revenue generated from services like AppStore and Apple Music.
Users gearing up to buy the latest iPhones are going to have wait longer than they did a year ago.