Apple reports strong Q3 revenue growth on steady iPhones, surging iPads, record services
The worst is most likely behind Apple already in terms of the Cupertino-based tech titan’s financials. That is, if we can call a few quarters of marginal year-on-year revenue decline “the worst” when profits stayed in the billions of dollars.
Either way, the ship has been swiftly “righted”, once again sailing towards certain and constant annual growth. The latest quarterly numbers are almost outside the range forecasted three months back, also coming in at the high end of analyst expectations.
We’re talking a cool $45.4 billion revenue and $1.67 earnings per diluted share for the fiscal 2017 third quarter ended July 1, up sharply from $42.4 billion and $1.42 respectively a year ago.
While Apple doesn’t put the spotlight on its April – June 2017 net income score in a customarily terse press release, $8.7 billion of outright profits are nothing to sneeze at, comfortably beating the $7.8 billion earned in the same 90-day period of 2016 after expenses, taxes and all that.
Granted, it’s now official that Samsung made more money than its arch-rival for the first time ever this past quarter, though you obviously have to take into account the Galaxy S8’s recent launch and the iPhone 8’s unavailability until later in the year.
Speaking of iPhones, the handheld family’s previous generations also surpassed predictions by the tiniest of margins, totaling 41 million unit sales, compared to 40.4M during Q3 2016.
iPads predictably shined on the heels of the new 10.5-incher’s commercial debut, surging from 9.9 to 11.4 million shipments year-on-year. Last but not least, the “Services” department posted an all-time record revenue of over $7 billion, proving iOS apps, games, Apple Music subscriptions and iCloud storage, among others, can come together to form a thriving business on their own, offsetting the occasional hardware demand slowdown.
Up next, the game-changing iPhone 8 may or may not hit stores by the end of September, but regardless, Apple expects its quarterly revenue to rise to anywhere between $49 billion and $52 billion, with gross margin of around 38 percent.