Apple Reports Biggest Revenue Growth Since December 2021 (cnbc.com) 13
Apple reported its strongest quarterly revenue growth since 2021, with iPhone sales jumping 13% and total revenue up 10%. CEO Tim Cook also announced increased AI investments and hinted at future acquisitions to accelerate Apple's AI roadmap. CNBC reports: "It was an exceptional quarter by any measure," Apple CEO Tim Cook told CNBC's Steve Kovach. Cook said that about 1% of the company's 10 percentage points of revenue growth could be attributed to customers buying more products to get ahead of potential tariffs. The company's most important business remains the iPhone, which saw 13% growth on an annual basis during the quarter to $44.58 billion in sales. Cook said that iPhone revenue was strong because the iPhone 16 is more popular compared to the iPhone 15 devices on sale last year at the same time. Cook said iPhone 16 sales were up "strong double digits" versus its predecessor. Cook specifically highlighted popularity among current iPhone users upgrading to a new one.
Apple's Mac business grew the fastest of any of Apple's units during the June quarter, growing nearly 15% to $8.05 billion in revenue. Apple released updated MacBook Air laptops, its best-selling Mac, just before the quarter started. The company's services business, which includes the company's warranties, content subscriptions, licensing deals with Google, and iCloud continued to grow to $27.42 billion in the period, a 13% increase. Cook highlighted growth in the company's iCloud subscriptions and said App Store revenue grew "double digits" during the quarter.
The two tougher spots in Apple's report were iPad sales and the company's other products division, which it sometimes calls its wearables. It consists of Apple Watch, AirPods, and other accessories. Revenue for iPad was down 8% to $6.58 billion, despite the company launching a low-cost iPad in March. Apple's wearables unit declined 8.64% to $7.4 billion during the quarter. Apple also saw success in China during the quarter, with sales rising 4% on an annual basis to $15.37 billion. Apple reports its sales from China, Hong Kong and Taiwan in the same unit. It's a reversal from the past two quarters, where Apple's China sales declined 2% in Apple's second fiscal quarter and 11% in the first quarter. Cook said a Chinese subsidy for some devices helped Apple in the region. "The subsidy does apply to some of our products, and it clearly helps," Cook said.
Apple's Mac business grew the fastest of any of Apple's units during the June quarter, growing nearly 15% to $8.05 billion in revenue. Apple released updated MacBook Air laptops, its best-selling Mac, just before the quarter started. The company's services business, which includes the company's warranties, content subscriptions, licensing deals with Google, and iCloud continued to grow to $27.42 billion in the period, a 13% increase. Cook highlighted growth in the company's iCloud subscriptions and said App Store revenue grew "double digits" during the quarter.
The two tougher spots in Apple's report were iPad sales and the company's other products division, which it sometimes calls its wearables. It consists of Apple Watch, AirPods, and other accessories. Revenue for iPad was down 8% to $6.58 billion, despite the company launching a low-cost iPad in March. Apple's wearables unit declined 8.64% to $7.4 billion during the quarter. Apple also saw success in China during the quarter, with sales rising 4% on an annual basis to $15.37 billion. Apple reports its sales from China, Hong Kong and Taiwan in the same unit. It's a reversal from the past two quarters, where Apple's China sales declined 2% in Apple's second fiscal quarter and 11% in the first quarter. Cook said a Chinese subsidy for some devices helped Apple in the region. "The subsidy does apply to some of our products, and it clearly helps," Cook said.
Re: DOOMED!!!! (Score:2)
Replacement parts? (Score:2)
I recently read somewhere that Apple charges outrageously high prices for replacement parts.
I wonder if that is related somehow....
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Almost certainly not. Buying Apple certified parts is indeed INSANELY expensive, but they're probably not taking much of a profit on it. While they obviously do break and need to be fixed now and then, iPhones tend to be relatively durable and people just like buying them. iOS 26 is still going to run on the iPhone 11, so I think it would be hard to make a case that this is just planned obsolescence or whatever. (I still have a working iPhone 11, in fact. Kept a decent case on it and it was great for years.
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Thanks for getting me.
"When I was a little boy and told people I was going to be a comedian, everyone laughed at me. Well, no one's laughing now." -- The Joker
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I was pretty sure you were joking, but man, you can never really tell on the internet. :D
Re: Replacement parts? (Score:1)
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I certainly hope they do. I hope they make a metric shit ton of money doing it too.
Yes!!! (Score:2)
I'll be using some of that money for our new deck.
Yup, upgraded to new Mac mini from 2017 iMac... (Score:2)
The coming crash is gonna be epic. (Score:2)
Lots of people are buying lots of things right now to get ahead of the coming tariffs. When the tariffs hit, if they stay in place long, we're gonna see consumer spending drop like a rock, right at the same time prices start climbing. How many of the big businesses that are currently gleefully slurping the President's backside are gonna feel the crunch when it comes? And how long will it take them to start screaming bloody murder over the Trumpinator's financial stupidity?