iPhone X sales disappoint, but Apple makes bigger profits

On the night from Thursday to Friday, Apple announced its first quarterly earnings of the new year. While analysts previously predicted that the numbers would disappoint thanks to low sales performance of the expensive iPhone X, Apple proved otherwise. At least, as far as the numbers are concerned.

iPhone (ni)X?

By now, everyone knows the device. Apple’s flagship presented last fall seemed at first glance to be a must-have. A borderless screen and thus a whole new user experience, wireless charging,
Animoji
, facial recognition and much more.
All these features
also make the iPhone X a real must-have, but for the better off in this world. Accordingly, the starting price of the beast is no less than €1160.45. Partly because of this high selling price and a few small
start-up problems
were
expectations
that iPhone sales would be lower than in the first quarter of last year.

And the experts got that right, too. Indeed, Apple sold over a million fewer iPhones, which therefore includes the new 8 and 8+. But despite disappointing iPhone sales figures, the tech giant still managed to bring in more money than in the first quarter of 2017.

iPad sales rise

Despite the fact that iPhones are almost the same size these days and you can’t even make phone calls with an iPad, the tablet is still unprecedentedly popular. Sales have been rising consistently for almost a year. The reason is the popularity of the huge iPad Pro and its relatively low selling prices. Amazing given that Apple saw iPad sales decline for a period of 13 quarters (?!).

Mac sales decline

The device with which the late Steve Jobs made the Paolo Alto-based tech company great, the Mac has not been a reason for rising sales and profits for years at least. The laptop and desktop market is shrinking thanks in part to tablets. Perhaps a new line of Macs could cause a spike in sales, only where there are normally all sorts of rumors circulating about new Apple products, the Mac has been anxiously silent for months.

Services and other products increase

These categories contain the largest increase when it comes to sales. Sales from the App Stores, Apple Music, iCloud and Apple Pay (unfortunately not in the Netherlands), among others, showed growth of 18%.

Also, what else does Apple have on offer that could fall under other products? Well, Apple TV, Apple Watch, Earpods, Beats by Dr. Dre and more. Sales from these products increased by as much as 36%.

Putting things into perspective

As mentioned, sales of the iPhone 8, 8+ and the iPhone X declined, but it should be noted that last quarter was a week shorter (13 weeks) than the same quarter a year earlier (14 weeks). This will not eliminate the difference, but it will reduce it. And yet Apple earned more from their iPhones than the same quarter in 2017. Reason: the very high selling price of the iPhone X.

To show exactly what kind of numbers we are talking about we list all the numbers: