Apple’s Q2 earnings topped Wall Street’s forecasts after revenue fell 2.5% to $94.8 billion in the April 1 quarter, topping predictions of a 4.4% decrease. Its profits per share were steady at $1.52, compared to $1.43 expected.
Apple’s iPhone sales surpassed expectations, increasing 1.5% to $51.3 billion, exceeding the 3.3% dip predicted. Despite rising inflation and decreased consumer and corporate expenditure, Apple increased its market share relative to its Android competitors. It has made significant inroads into other markets like India.
Despite a predicted drop in revenue, Apple’s CFO, Luca Maestri, indicated that gross profit margins for the current quarter will be higher than expected. Apple’s gross margin will be between 44% and 44.5%, higher than the 43.7% predicted.
However, Maestri expects Apple’s revenue to fall slightly, with analysts forecasting a 2.1% increase to $84.7 billion for the company’s fiscal third quarter ending in June. Apple’s stock gained 2% on the news, and it has outpaced the rest of Wall Street, up 28% year to yet.
Apple’s performance contrasted with the dismal data of major chipmakers due to China’s slower-than-expected economic recovery. According to Canalys, worldwide smartphone shipments declined 13% in the first three months of 2023, although Apple’s iPhone sales stayed stable.
The sources for this piece include an article in Reuters.