Mark Gurman and Jeran Wittenstein for Bloomberg:
When Apple Inc. launches a new iPhone, that usually means rising revenue. Chances are that won’t happen this year.
Apple reports fiscal third-quarter results on Tuesday, but all eyes will be on its forecast for the fiscal fourth quarter. That’s when the Cupertino, California-based technology giant is expected to release new versions of its flagship handset.
Analysts expect Apple revenue to be $61 billion in the fiscal fourth quarter, down about 3% from a year earlier. During the same iPhone-launch quarters in 2018 and 2017, revenue climbed 20% and 12%, according to data compiled by Bloomberg.
The major attraction in this year’s models lies in enhanced cameras: the two high-end models to replace the iPhone XS and iPhone XS Max will include three back cameras, up from two, and a successor to the iPhone XR will include a second back camera. Beyond additional cameras, the new iPhone models will look similar to the 2018 versions, which looked like the 2017 iPhone X. Apple is planning a more extensive revamp of the iPhone with an updated design, 5G connectivity, and new augmented reality cameras for 2020.
MacDailyNews Note: Bloomberg MODL numbers:
• Q319 GAAP EPS estimate: $2.10 (range $1.79 to $2.20)
• Q319 revenue estimate: $53.33 billion (range $52 billion to $54.22 billion)
• iPhone revenue: $26.54 billion
• iPhone units: 37.2 million (Apple no longer reports)
• iPhone ASP: $710.42
• Services revenue: $11.95 billion
• Q419 revenue estimate: $61.04 billion (range $58.95 billion to $64.23 billion)
• Q419 gross margin estimate: 37.8%