Decrease in iPhones delivered and Apple revenue continues
Apple has recorded a decline in the number of iPhones delivered for the second quarter in a row. The turnover of the past quarter was also lower than in the same quarter last year. Apple does see a significant increase in sales from the App Store.
In the past quarter, Apple shipped 40.4 million iPhones. Although Apple CEO Tim Cook calls the release of the iPhone SE a success, iPhone sales are down nearly 15 percent from the same quarter last year. This also results in a lower turnover of 42.4 billion dollars, compared to 49.6 billion last year. The biggest drop in sales is 33 percent in China.
The financial result is in line with the expectations that Apple previously announced. According to Apple, the company is doing good business when it comes to services. The turnover from this has increased by 19 percent compared to last year. Among other things, the company categorizes the revenue from the App Store under the heading services.
Apple does not disclose how many units have been sold per model, but the figures show that the average price per delivered iPhone in the past quarter was $595. That is considerably less than the same quarter last year, when an average of $660 was paid per iPhone. The drop in the average price seems to show that the cheaper iPhone SE is selling well.
The number of iPads and Macs delivered also decreased compared to the same quarter last year. 9.95 million tablets were delivered, 9 percent less than last year. Tablet sales were 7 percent lower, suggesting a higher average retail price, which will be driven by the iPad Pro models. Apple shipped 4.25 million Macs, 11 percent less than in the comparable quarter last year.
The Cupertino company does not disclose figures about the Apple Watch. However, the quarterly figures show that turnover from the ‘other’ category, which includes the watch together with products such as the Apple TV, has fallen by 16 percent.
In April, Apple noted a decline in the number of devices delivered for the first time since the introduction of the iPhone. This also resulted in the first quarter in thirteen years with declining turnover. It was already expected that the figures of last year would not be surpassed this quarter either. The decline is mainly attributed to saturation in the smartphone market.
Apple expects the decline in sales to continue. The company forecasts revenue of $45.5 billion to $47.5 billion in the next quarter. Last year it was $51.5 billion. With this, the iPhone manufacturer seems to indicate that the release of the iPhone 7 cannot change the declining deliveries. Apple is expected to release the new iPhones in September.