14 DAY TRIAL // Apple has ignored doomsayers with better-than-expected results for the second quarter of 2018, reporting $61.1 billion in revenue and $13.8 billion in profit.
This is an increase from $52.9 billion and $11.03 billion, respectively, in the same quarter a year ago. Apple’s performance was mostly driven by the iPhone, whose sales also beat forecasts and reached 52.2 million units, up from 50.7 million units in 2017.
Apple also sold more iPads as compared to the year before, 9.1 million units versus 8.92 million units, but fewer Macs (4.07 million units versus 4.19 million units).
These results indicate a decline versus the previous quarter when Apple reported $88.3 billion in revenue, $20.1 billion in profit, 77.3 million iPhones, 13.2 million iPads, and 5.1 million Macs sold. Sales in the first quarter benefitted from growing demand during the holiday season, as well as the increasing inventory of iPhone X.
iPhone X selling well despite gloomy forecasts
Apple CEO Tim Cook says this is the best March quarter in the history of the company, which shows that despite all the bad news lately, iPhone X is selling strong.
“We’re thrilled to report our best March quarter ever, with strong revenue growth in iPhone, Services and Wearables,” said Tim Cook, Apple’s CEO. “Customers chose iPhone X more than any other iPhone each week in the March quarter, just as they did following its launch in the December quarter. We also grew revenue in all of our geographic segments, with over 20% growth in Greater China and Japan.”
Analysts suggested that sales of the iPhone X are well below expectations due to the high price, revealing that Apple reduced orders for parts at its suppliers in anticipation of even slower demand. Furthermore, people with knowledge of the matter said Apple was even planning a potential demise of the iPhone X this year, as the company wanted a full reset and focus entirely on the 2018 trio of models.