Apple produces and sells record quantities of â€œiPhoneâ€ phones, despite the lack of electronic chips
- 2022-01-29 00:14:02
- 25 views
A global shortage of electronic components is crippling many industries, from electronics to cars, but not Apple, which set new records during the holiday season, recording nearly 124 billion dollars in revenue. In three months.
iPhone sales exceeded $74 billion, driven by strong demand for iPhone 13 phones, particularly in China.
In total, the tech giant posted a net profit of $34.6 billion in the first quarter of its fiscal year that began in October.
"Despite the pandemic, we achieved the highest revenue in Apple's history," Tim Cook, president of the American giant, said Thursday during a conference with analysts.
"We set records in both developed and emerging markets and saw revenue growth in all our categories except for the iPad, which has been hobbled by supply chain challenges," he added.
Apple now has 1.8 billion devices in use worldwide.
The results for the iPhone maker were expected, given the global shortage of semiconductors caused by high demand for internet-connected devices and services and production delays in factories due to the pandemic.
"We believe Apple sold more than 40 million iPhones this holiday season, which is a record" for the group despite "shortages," Wedbush analyst Dan Ives said.
He considered that "the issue of electronic chips is temporary, in our opinion."
Apple, like other companies, was forced to lower its production targets until the end of 2021, especially for the iPhone 13 phones, which the company introduced in the fall.
In October, Tim Cook indicated that supply problems could reduce holiday revenue by $6 billion.
But it seems that the worst is over for the giant American group, which expects less difficulties during the current quarter compared to the previous quarter.
"So far, Apple has dealt with shortage issues better than most companies," said Yoram Wurmser, an analyst at eMarketer.
The popularity of “iPhone” phones has increased significantly in China, as “Apple” regained the lead in smart phone manufacturers in the country in terms of sales, for the first time in six years, according to a study conducted by Counterpoint Research and its results were published Thursday.
The American group accounted for 23% of total smartphone sales in this market in the last quarter, despite the decline in smartphone sales in general in the country (a 9% decline in one year).
Tim Cook praised the switch of many Chinese to use Apple smartphones. He said that "the four best-selling phone models in Chinese cities were iPhones."
In terms of services, Apple recorded revenues of $ 19.5 billion during the last period, an increase of 24% year-on-year.
Services are ranked second in terms of Apple's most revenue-generating activities, far behind the iPhone, which topped the list, but ahead of connected accessories.
For 2022 in the United States, eMarketer expects user growth of 3% for Apple Music, 7.5% for Apple Pay, and 9.7% for Apple TV +, or an expected 38.7 million subscribers for its streaming platform. Which is far below the number of subscribers "Netflix" (177 million subscribers) and Disney +, Amazon Prime Video and HBO Max with 93 million subscribers.
Dan Ives added, “We estimate the services arm to be worth $1.5 trillion. This source of annual revenue of $75 billion shows no signs of slowing down.
However, Apple expects lower growth during the current quarter, due to the unfavorable comparison with 2021 when "general closure measures have increased the time users spend on digital services," according to the company's chief financial officer, Luca Maestri.
In addition to responding to shortfalls, investors are also watching Tim Cook Group's performance on projects in the parallel world of "Metaverse" that, according to analysts, is shaping the future of the Internet and blending augmented and virtual reality.
Cook did not comment on rumors that Apple is preparing to release a virtual reality helmet this year, but said he sees "a lot of potential in this area" and "is investing in this field."
“We look closely at the areas that are at the intersection of hardware, software, and services. This is the magical realm.”