IPhone

Apple iPhone sales drop again but not as bad as expected

The US base giant Apple Company sold 40.4 million iPhones in third quarter which is slightly above its predictions of 40.02 million. Apple chief executive Tim Cook said that the result is quite satisfactory and this result replicate high demand of products.

The company expected that its sales can again fall in the fourth quarter and it estimates between 45.5 billion.

Demand for Apple product has been dropping down slowly when the firm reported the first drop in iPhone sales since their 2007 launch.

Dropping in iPhones sales sent down profits 28% to $7.7bn in the three months to 25 June, while revenues fell down 14.6% to $42.4bn.

Apple’s sales in China, Hong Kong and Taiwan plunged 33% as reported by the company.

The company blamed for economic uncertainty and people ignorance for their phones upgrading as reason for the drop of sales.

China has highest sales, more than all of Europe combined and China market is very important for it.  “This result undoubtedly shows that there are some symbols of financial slowdown in China, and we are trying to overcome these problems. Similarly we understand China and we remain very hopeful about the future there,” said Apple chief financial officer Luca Maestri.

Apple chief financial officer Luca Maestri.

Apple chief financial officer Luca Maestri.

Apple shares that the results were also due to the impact of dollar raise.

Shares which have fallen almost 20% over past year, rise again by 7% which was not as bad as experts expected.

Mr Maestri said comparisons to the 2nd quarter last year, when iPhone 6 sales rushed 35%, made its performance seem worse than it was.

He also highlighted the bright point includes the App Store, Apple Pay, iCloud and other services.

The modification is good news for the company because it is making more money from its users. Let’s hope the improvement of iPhones future.

 

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