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The iPhone giant’s revenue of $83 billion was up 2 percent from the same period last year. Despite the company’s strong revenue figures for the third quarter of the fiscal year, it showed a sharp slowdown compared to the 36 percent revenue growth in the previous year.
Sales in Greater China, once one of the company’s most promising regions, fell 1% in the quarter.
Still, Apple beat Wall Street’s expectations for both sales and profits. Apple shares were up 4 percent in afternoon trading on Thursday following the results.
The company said its active device installed base reached an all-time high in every product category during the quarter. Quarterly sales of Apple Services, a key part of the company’s strategy for future growth, rose 12 percent to $19.6 billion, slightly below analysts’ expectations of $19.7 billion.
The company now has more than 860 million paid subscriptions across its various services, an increase of 160 million from last year, Apple CFO Luca Maistri said on a conference call with analysts Thursday.
“Our June quarter results continue to demonstrate our ability to effectively manage our business despite a challenging operating environment,” Maestri said in a statement accompanying the results.
Apple’s results come as many tech companies struggle to maintain strong growth amid rising inflation and interest rates, fears of a deeper recession and the ongoing war in Ukraine.
The company declined to share revenue guidance for the current quarter due to economic uncertainty. However, Maistri said Apple expects revenue growth to accelerate in the September quarter, assuming the macroeconomic conditions and Vivid-related impacts do not worsen on the business. He added that supply constraints are expected to be lower than in the June quarter.
Maistri also highlighted the company’s efforts to make shopping easier for customers, including expanding payment plans and trade-in programs around the world.
Responding to the economic uncertainty, CEO Tim Cook said that Apple itself “plans to hire people and invest in certain areas” but will be “more intentional” in doing so.
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