Apple revenue could grow again thanks to the iPhone 7 – TechCrunch
Apple will report its holiday quarter earnings tomorrow. Once again, all eyes will be on the iPhone. The device now represents the vast majority of the companyâ€™s revenue. So anything that can affect iPhone sales is a big deal.
And if youâ€™ve been paying attention to Appleâ€™s past earnings, you know that Apple has had a complicated year. In short, revenue has been down for three straight quarters. Analysts have been wondering whether Appleâ€™s incredible run was over. Maybe Appleâ€™s revenue has peaked?
It turns out that this quarter should be the first quarter during which Appleâ€™s revenue grew again. Analysts are currently expecting $77.4 billion in revenue compared to $75.8 billion last year (up 2.1 percent). This is in line with Appleâ€™s own forecasts as the company said it was expecting between $76 billion and $78 billion during last quarterâ€™s earnings release.
iPhone sales should be up slightly with 78 million iPhones sold during the holiday quarter compared to 75 million a year ago. Itâ€™s hard to grasp such a big number. Analysts think that Apple has sold roughly 590 iPhones per minute. I donâ€™t even know how Apple can produce them so quickly.
So thatâ€™s the big picture. If youâ€™re not really into numbers, there are a few things that are going to be interesting. The MacBook Pro got a big refresh. It wasnâ€™t available until the middle of the quarter, but it could have a significant impact on Mac sales in general. Itâ€™s been a bit stale on this front for quite a while, so this could be exciting.
The Apple Watch also received an update. But Apple doesnâ€™t generally break out Apple Watch sales numbers. In December, Tim Cook said that Apple Watch sales were doing just fine. An IDC report wasnâ€™t so optimistic about wearables in general. Itâ€™s clear that the Apple Watch isnâ€™t going to change â€œthe iPhone companyâ€ into a company with multiple widely successful products.
Finally, Apple likes to brand itself as a product and service company now. Letâ€™s see how Appleâ€™s services are doing this quarter. With Super Mario Run and a ton of new iPhones, revenue from services should be up. But does it represent a significant chunk of Appleâ€™s bottom line? Not yet, probably.
Iâ€™m particularly excited about the earnings call with Apple executives. There are so many burning questions with Apple right now. Tim Cook wonâ€™t answer them all, but at least we might get a few hints. In particular, I want to know more about all the recent Apple car rumors, demand in China, the Qualcomm lawsuit and (yes) Trump.
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