Apple has today reported its Q3 profits, with revenue from iPhone slightly rising year over year, from $39.5 billion it had last year to $40 billion.
The 3 percent jump from the same period in 2021, had the overall revenue beating the expectation and forecast of the Wall Street Journal. As things fared less across other categories of its products, the Mac, iPad and the combined wearables/home category all took a hit for the quarter.
The biggest hit came from Mac whose revenue dropped from $8.2 billion to $7.4 billion, a 10 percent drop, with Wearables/home/accessories, including the Apple Watch, AirPods and HomePods, dropping from $8.8 billion to $8.1 billion (approx 8%), while iPad dropped slightly from $7.3 billion to $7.2 billion.
The American multinational technology company had its own fair share of persistent supply chain issues, inflation that had a negative impact in not just buying habits, but its ability to get product in front of consumers as seamlessly as possible. It is hence a credit to the consumer electronics company that it maintained a fair economic standing despite the challenges. The increase in iPhone revenue may perhaps be the saving grace in the myriad of setbacks the company may have occurred.
The CFO of Apple, Luca Maestri ruminated on some of the challenges in a press release, when he wrote:
“Our June quarter results continued to demonstrate our ability to manage our business effectively despite the challenging operating environment. We set a June quarter revenue record and our installed base of active devices reached an all-time high in every geographic segment and product category. During the quarter, we generated nearly $23 billion in operating cash flow, returned over $28 billion to our shareholders, and continued to invest in our long-term growth plans.”
Buoyed by a 12 percent increase in service revenue, the company supervised a 2 percent year-over-year revenue increase, with the consumer electronics company increasingly banking in on the performance of content offerings like TV+ and Music, together with other software offerings, which included iCloud.
The upgrade of its Mac line may have coincided with the drop of the sales of its computers, despite an earlier boost occasioned by the rollout of the M1 chip, an ARM-based systems-on-a-chip (SoCs) designed by the company.
Apple is said to have high expectations on the acceptance of its incoming iPhone 14, with the company anticipating a good offering in sales, together with the rumoured redesigns of its popular Apple Watch wearable.
The slight revenue increase is sure a confident pedestal to dish out better, classic and exciting new offerings.