Let’s be honest, Q2 isn’t exactly the most exciting quarter for Apple.
It’s straight after Christmas, and no amazing new products are released during this period, so sales are naturally going to lag compared to the other quarters. But Apple watchers pay attention to the quarterly results because the figures offer guidance on what the technology giant may be planning for the rest of the year.
Here are five takeaways from Apple’s latest numbers:
1. Unlike last year, Apple’s Q2 revenue thrashed expectations
According to chief executive Tim Cook, revenue was buoyed by strong iPhone sales across the globe. Which leads on to the next point…
2. The iPhone is still by far Apple’s strongest, most promising product
At face value, it seems Apple’s iPhone 5S/5C product split strategy paid dividends for the company, but broadening international sales of cheaper older products, like the iPhone 4S, also helped to lift total sales in the period.
Of course, this figure places pressure on Apple to keep the momentum going with the next iPhone launch -- which typically happens around September. The current rumours around the upcoming product launch have centred around it having a larger (possibly) 5-inch screen. But will this latest success stop Apple from tweaking its seemingly winning iPhone formula? We’ll have to wait and see.
3. Changing the screen size hasn’t helped: iPad sales are starting to slip
It’s not all good news for Apple: Despite a strong performance over the Christmas period, iPad sales are starting to weaken, providing a hint that the newish iPad Mini may not be the hit that Apple hoped it would be.
4. Despite seasonal decline in most regions, revenue in Apple’s Greater China revenue segment grew
Despite Apple’s recent China Mobile deal, the Greater China region showed stronger sequential growth between the first and second quarters last year. But this graph hints at the hope Apple has for this segment: it’s defying international trends and turning out to be a strong area of growth for the company.
5. Meanwhile, ever since Apple split its China segment from APAC, Apple’s sales revenue in our region has stagnated
While Apple may be celebrating its win in China, its APAC sales figures are looking pretty flat. It’s difficult to make any concrete conclusions about the Apple lustre in the Australian market, as we’re lobbed into the same region as Indonesia, Singapore, New Zealand and Thailand -- all of which are very different markets.
And one last thing for Apple investors…
The company has boosted its share buyback program by $US30 billion. Cook says Apple is undervalued.
This is meant to be a bit of a quick take. If you’re after a more detailed analysis of this latest round of results, check out Supratim Adhikari’s piece on Apple’s latest numbers here.
Got a question? Ask the reporter @HarrisonPolites on Twitter or leave a comment below.