in

Apple’s Q3 financial report is out! Strong iPhone demand, Mac revenue down 10%, bullish on fourth-quarter operations

On July 28, Apple announced its financial results for the third quarter of fiscal 2022. In this quarter, Apple’s revenue reached $83 billion, a year-on-year increase of 2%, and its net profit reached $19.4 billion. It beat Wall Street’s sales and profit forecasts but showed slower growth for the iPhone maker. Among them, the specific business income is as follows:

1. iPhone revenue: $40.67 billion, up 3% year-over-year

2. Service revenue: US$19.60 billion, a year-on-year increase of 12%

3. Other product revenue: US$8.08 billion, down 8% year-on-year

4. Mac revenue: $7.38 billion, down 10% year over year

5. iPad revenue: $7.22 billion, down 2% year over year

Apple CEO Tim Cook said that despite seeing some signs of weakness, revenue growth is expected to accelerate in the next quarter. Cook said the iPhone continues to attract Android consumers to shift positions, with record numbers of people switching (operating systems) and double-digit growth. At a time when overall smartphone sales are declining, Apple’s vision for the future of smartphones has become the future. Apple CTO Luca Maestri said it was a challenging operating environment and that iPhone demand has not slowed despite weaker economic data around the world.

He revealed that the impact of component shortages on Mac and iPad sales has lessened. According to Apple’s report, the third quarter’s revenue loss due to China’s lockdown was less than US$4 billion, which was lower than the previously announced US$4 billion to US$8 billion. The loss in the third quarter may be lower than that in the third quarter.

In the service business, which has played a major role in operations in recent years, revenue growth in the third quarter dropped sharply to 12% to US$19.6 billion, far lower than 33% in the same period last year, and also lower than market estimates of US$19.7 billion.

This was the slowest growth in Apple’s services business since the fourth quarter of 2015, and Maestri said that considering the economic situation and the appreciation of the dollar, services business growth in the fourth quarter may be less than 12%.

Apple said it saw weakness in advertising, accessories and household products. Apple has also not been immune from the dollar’s appreciation, forecasting a 6% drop in fourth-quarter revenue due to currency fluctuations.

Cook said that, like other companies, Apple is also feeling the pressure of inflation, but will continue to invest. “Our cost structure is feeling the impact of inflation, including logistics, wages and certain chip components,” he said.

Apple’s revenue in the Greater China market fell 1% to $14.6 billion, which was better than analysts’ previous expectations. Cook emphasized that this is the performance submitted by China during China’s lockdown. Apple generates nearly 20 percent of its revenue in Greater China, where a slowing economy is taking a toll on its sales.

This article was originally created by electronic enthusiasts, please indicate the above source for reprinting. Wechat zy1052625525. If you need to join the group for communication, please add WeChat elecfans999, and if you need to submit an interview, please send an email to huangjingjing@elecfans.com.

Share this: