The new models of Apple’s iPhone will not go on sale this September as usual. Apple anticipates that the devices will only be available “a few weeks later,” says CFO Luca Maestri.
In view of the stoppages in the Chinese manufacturing industry due to the corona crisis, speculation had already started in spring. Apple is again expecting several iPhone models with different screen sizes this year. According to media reports, they will support superfast 5G data radio for the first time.
Apple has been launching new iPhones for years in September. There was an exception in 2017 – At that time, the then top iPhone X model only came on the market in November.
Apple’s sales exceeded analysts’ expectations
With the announcement, the group prepared investors for the fact that the usual increase in sales due to the new models will not occur in the current quarter. In the past quarter, current iPhones have sold better than analysts – and the company itself – expected.
Sales of Apple’s key product increased 1.7 percent year over year to $ 26.4 billion ($ 22.2 billion). Analysts had expected iPhone sales of only $ 21 billion.
The new edition of the cheaper model iPhone SE seems to have played an important role. According to calculations by the market research company IDC, Apple increased iPhone sales in the past quarter by a good eleven percent to 37.6 million devices. The difference between the growth in unit numbers and sales indicates that more affordable devices were sold than a year earlier. In any case, the significant increase in sales is remarkable in a market that, according to IDC figures, shrank by 16 percent overall. It was the biggest drop in the long booming business so far.
Apple’s business very resilient to the crisis
The group itself no longer reports sales figures. CEO Tim Cook only said: “The iPhone SE definitely helped our results.” Among other things, many previous users of Android smartphones had bought it. Analysts already anticipated that consumers in the corona virus crisis will increasingly opt for cheaper smartphone models in the face of economic uncertainty and loss of income.
In the German smartphone business, Apple’s market share rose to 26 percent, according to calculations by the market research company Kantar – from around 20 percent a year ago.
However, Apple’s business was also generally very resilient in the corona crisis. All product areas grew. Consolidated sales increased eleven percent to $ 59.7 billion in the past quarter – a record for the June quarter. Profits grew twelve percent to $ 11.25 billion.
The numbers exceeded analysts’ expectations. The stock gained more than six percent in after-hours trading on Thursday, trading above $ 400 for the first time. Apple also announced a 4-to-1 stock split to make the paper more affordable. In the split, shareholders will receive four new shares for each of their shares.
Mac computers’ sales jumped by around 22 percent to a record $ 7 billion. The service business with subscriptions for music or storage space as well as Apple’s revenue from the App Store once again proved to be an important source of money with an increase in sales of around 15 percent to just under $ 13.2 billion. Apple now has a total of 550 million subscription customers in its various services.