Apple reported Q3 2016 net profit of $7.8 billion, down 27% YoY from $10.7 billion. Turnover was $42.4 billion, down 15% YoY from $49.6 billion. The quarter saw record-breaking App Store turnover.
Analyst Comment
Although Apple’s figures were down, they were more positive than most analysts had anticipated. The low-cost iPhone SE proved especially popular, although overall iPhone shipments fell 15% YoY (to 40.4 million).
iPad shipments were also down (9%), but revenues rose 7% to $4.9 billion as buyers focused on more expensive models like the iPad Pro.
Tim Cook also said that the introduction of tvOS and the latest version of Apple TV last October mark “the foundation” of bigger plans in the TV space for the company. He said that there will be a big TV-related release in the autumn, adding, “We’ve built a foundation that we can do something bigger off of.” (TA)
