Apple managed to sell a lot of iPhones during the second quarter of the year, but apparently, not enough to impress Wall Street. The tech giant recently reported its second quarter earnings (actually Apple’s fiscal third quarter results), and the numbers surpass many analysts’ forecasts, with revenues mainly meeting expectations. But the latest figures were not the blowout performance that Wall Street was anticipating.
Also, it turned out that Apple projected weaker sales for the fourth quarter than expected. For the current period, the company is expecting revenue to be within the $49 billion to $51 billion range. That is just slightly lower than what many analysts have projected, which is at $51.1 billion, according to a poll conducted by Thomson Reuters.
For the quarter spanning April, May, and June of this year, Apple had sold 47.5 million units of its iPhone smartphones. That is up 35 percent compared to the same period in the previous year, but not more than the 49.4 million units expected by analysts, according to a poll conducted by Fortune. iPhones account for 63 percent of the tech giant’s total sales in the period, similar to the previous two quarters. As for Apple’s share, they dropped 7.5 percent to $121 per share in after hours trading on the lower-than-expected iPhone sales figures.
These latest sales figure does suggest that even Apple is not immune to the recent slowing down of the global market for smartphones. Sure, iPhone sales have increased, but they were not as high as what industry watchers have anticipated. And considering that Apple itself is expecting a weaker third quarter (July, August, and September months) only reinforces the idea that there are indeed challenging times ahead for mobile manufacturers. This is intriguing because in the coming months, new releases, such as Apple’s own iPhone 6S, are going to be introduced to the market, and it would be interesting to observe if it can boost Apple’s current sales and the global smartphone market.
Tim Cook, chief executive officer of Apple, remains in high spirits, however. According to Cook, despite failing to meet analysts’ expectations, the company still did remarkably well in terms of iPhone sales. Cook further highlighted the fact that iPhone revenues are up 59 percent compared to last year’s, and Apple still managed to achieve strong sales for its Mac and Apple Watch products.
Certainly, the next focus for Apple now is how to sustain its current performance in the next quarter and in the closing months of 2015. Amid the slowdown in the global mobile market, Apple still has a good chance of finishing the year with flying colors.
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