“Last quarter, Apple’s services business generated $7.27 billion in net revenue, representing 22% growth year-over-year,” Eassa writes. “Over the last nine months, Apple’s services business has grown by 19% over the first nine months of the prior fiscal year, making it the company’s fastest growing business over that time.”
“So not only is Apple’s services business a consistent performer, but its revenue growth in the quarter was faster than its revenue growth over the past nine months, which suggests that this business is enjoying revenue growth acceleration,” Eassa writes. “The strong app store performance alone is encouraging for a couple of reasons. First, it suggests that Apple’s customers want to get the most out of their devices and are therefore willing to pay for apps that add additional value and functionality to their devices. Put another way, Apple’s products aren’t just being used as glorified web-surfing devices.”
Read more in the full article here.
MacDailyNews Take: Barring any major issues with China, Apple’s services business is an unstoppable locomotive that, someday, even Mr. Market might fairly value.
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