Switch off the editor’s digest free of charge
Roula Khalaf, editor of the FT, selects her favorite stories in this weekly newsletter.
Despite lower iPhone sales, the quarterly profits and sales of Apple came past the Wall Street forecast with the assembly status in China.
On Thursday, the group reported a turnover of $ 124.3 billion for the December quarter, about the estimates of the analysts in a Bloomberg survey with $ 124.1 billion and an increase of 4 percent compared to the same period in the previous year. The net income rose by about 7 percent to USD 36.3 billion, also $ 35.5 billion.
However, the iPhone turnover of $ 69.1 billion was light and below the forecasts of around $ 71 billion.
Income for the China region in which Apple has increased Competitive pressure Around 11 percent fell from local smartphone manufacturers such as Huawei and Xiaomi to $ 18.5 billion.
Apple said that in March quarters, low sales growth with a low to medium single-digit sales expected, despite the expected negative effects of around 2.5 percentage points of foreign exchange overconditions.
The December quartal was the first since then Apple The introduction of Apple Intelligence, its suite of artificial intelligence functions that include a partnership with Openaai. The functions still have to be introduced in languages beyond English, with the company pursuing a staggered approach. Other languages are to be added in April.
Kevan Parekh, Chief Financial Officer from Apple, told the Financial Times that the company was “incredibly optimistic about the profound effects of AI”. Parekh joined the role this year and took over Luca Maestri, who had been in the position for a decade.
The performance of the Ai-capable The iPhone 16 was stronger than in markets in which Apple Intelligence was not available, Parekh said, indicating that the suite had aroused consumers’ interest. When calling with analysts, Apple Chief Executive Tim Cook said that the trend was a “positive indicator”.
“They still stick to Apple Intelligence as a driver for sale and say that they have the data to support them,” said Gene Munster from Deepwater Asset Management.
According to Munster, the instructions of Apple were encouraging for the current quarter that the negative effects on his shares from his iPhone sales error may compensate for. The stocks rose by around 3 percent in the trade with after-hours.
The Apple’s Services Business, which includes the App Store, Icloud and Apple Pay, achieved a record turnover of USD 26.3 billion in December. The iPad and MacBook products have drawn two-digit growth.
The results come when concerns about the effects of Donald Trump’s trade policy. This week, the US President promised Taiwaner -Halbeiter manufacturer Zölle. Apple’s supply chain is strongly based on exporters in Asia.
Parekh rejected it to comment on potential college and said that the company “carefully monitored the situation”.
The results of Apple follow a week of turbulence for Tech shares, whereby the shares of Nvidia are driven by anxiety around the AI Breakdowns by Chinas Deepseek.
The shares were isolated from the wider tech market Rout, and the loss of USD 600 billion against Nvidia’s market capitalization this week leaves the iPhone manufacturer as the world’s most valuable company with around 3.6 participants.
Before Apple’s earnings report, the analysts were considered whether Apple Intelligence, with its staggered rollout, which still did not reach English speakers, had delivered a sensible thrust for the sales of hardware in the shorter term.
