“‘We remain extremely bullish on China, and we’re continuing to invest,’ said CEO Tim Cook on Apple’s third-quarter conference call, in which the firm reported that iPhone sales saw a 112 percent year-over-year increase there. About 27 percent of Apple’s revenue for the quarter came from China, though it was down about 21 percent from the previous quarter,” Maggie Overfelt reports for CNBC.
“‘Nothing that’s happened has changed our fundamental view that China will be Apple’s largest market at some point in the future,” said Cook on the call,” Overfelt reports. “China, with a swelling middle class, is the world’s largest smartphone market, representing roughly 30 percent of global sales in the second quarter, according to research firm Gartner. With big expansion plans on tap for the region — Apple hopes to have 40 Apple stores open there by the middle of next year, up from 22 in the third quarter — the question isn’t about whether or not Apple’s growth in China will continue. It’s about how much to bet that it will grow as fast as it has been, given the many headwinds associated with that particular market.”
Overfelt reports, “When Apple releases its results Tuesday afternoon, tech watchers will be looking for any hints that point to how China’s economic backdrop could impact Apple’s December quarter — the company’s most important, given holiday buying and the typical iPhone refresh period.”
Read more in the full article here.
MacDailyNews Take: With massive expansion and investment into the country ongoing, we expect Cook will remain extremely bullish on China looking forward.
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