First year-on-year iPhone sales decline ever tipped for Q1 2016, return to growth expected in Q3

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We’re only a week or two away from Apple’s detailed financial report of the just-ended holiday quarter, and iPhones could post a new all-time record… or their first yearly drop in history. It’s close, but Gene Munster, the managing director and senior research analyst at Piper Jaffray, expects the former scenario to materialize, as unit shipments may have topped 75 million after all.

Still, that would largely mark box-office stagnation for Cupertino’s main cash cow, which should generate quarterly revenues of around $77 billion. Stagnation is better than a decline, but oftentimes, it signals an imminent free fall, and Munster forecasts just 55 million iPhone sales between January and March, down from the optimistic previous projection of 62.5M.

55 mil would also be considerably down from the 61.17 million iPhones Apple moved in Q1 2015, likely anticipating another quarterly and yearly dip, to 45M between April and June. Fortunately for the industry’s most profitable outfit, the July – September and October – December quarter scores will probably be improved by 5 percent each as the 6c (5e?), 7 and 7 Plus enter the picture.

Meanwhile, the Apple Watch might “break out” in 2016, following its best quarter yet, Q4 2015, when it purportedly sold 6 million copies, with 20 mil shipments for the whole current year, and a stellar 40M in 2017.

iPads and Macs didn’t exactly thrill or disappoint in the final 90-day timeframe of 2015, likely selling in 17.5 and 5.8 million copies respectively, and contributing to overall gross margins of 40 percent. So, yeah, there are good news and bad news for Apple on the money front, but even the bad would be deemed amazing by virtually all its rivals.

Source: AppleInsider

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About The Author
Adrian Diaconescu
Adrian has had an insatiable passion for writing since he was in school and found himself writing philosophical essays about the meaning of life and the differences between light and dark beer. Later, he realized this was pretty much his only marketable skill, so he first created a personal blog (in Romanian) and then discovered his true calling, which is writing about all things tech (in English).