Apple Delivers Strong Revenues in the Third Quarter

In the second quarter of the financial year, the major tech giants experienced quite an economic blow that led to losses summing up to over $100 billion market value in a day. There has been a continuous race to reach the $1 trillion market in the United States between Apple (AAPL) and Amazon.com (AMZN) along with Alphabet (GOOGL) sometimes cropping up from the outside.

Currently, Apple has successfully managed to get a considerable lead over all others as the world’s most valuable company and as expected Apple became the first company of the United States to reach the $1 trillion mark. The revenues will also increase by leaps and bounds right after September when Apple will launch the latest iPhone. It is now also expected by the analysts that Apple will report their earnings by $2.19 per share were almost a year back, the earnings per share were of $1.69. It can be assured that Apple will experience an increment in the rise of the revenues after their latest instalment of iPhone launches in September.

The third quarter fiscal revenues are usually the slowest revenue for Apple and all the business investors keep an eye on the coming two-quarters of Apple’s sales which includes the fourth quarter and the holiday quarter. However, that does not mean Apple runs at losses during the third quarter. During the last year, Apple managed to generate $45.4 billion in revenue even at the end of the third quarter. Since then apple managed to garner a lot of profit because of the release of iPhone X which was heavily priced at $999.

In this fourth quarter, all the other companies usually take a back seat because there is a continuous underlying demand for iPhones which gets satisfied every September when Apple launches a new handset. This leads to an overall bump in the sales of iPhone units, its services trajectory and the entire gross margins. It is being predicted that there will not be much difference in the number of shares of Apple in the market. It is still reported that in 2018, Apple will hold their shares of 44.6 per cent against Android’s 53.3%.

The famous analysts from all over the world predicted that the solid iPhone sales of over 43 million units give an increment to earnings AAPL by 4% year over year. Apple does not restrict their focus only in manufacturing new iPhone handsets. They make sure to invest a lot of time and energy on improvising their services. These include focusing on the iOS App Store, Apple Care, iTunes, Apple Pay and Cloud Services. Their growth in services has currently outnumbered their iPhone sales. According to the expert business analysts, Apple’s services made service revenue of $9.3 billion last time and it keeps on increasing by 28% each year. Cumulatively, their current revenue is estimated to be at $52.9 billion in this quarter as compared to $52.4 billion in the last quarter.

You can now get alerts about all the earnings of Apple on stocksearning.com. There has been a steady increment in revenue growth of Apple since 2017 and it doesn’t look like the trend is going to reverse anytime soon either!

News Reporter