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Apple sees gains despite new iPhone 12 delay

Apple sees gains despite new iPhone 12 delay

Apple has seen year-on-year revenue gains across every category, despite new device models being delayed due to the pandemic.

The tech giant benefited from more people working and learning from home during the lockdown, prompting a boost in demand for iPads and Macs.

Chief financial officer Luca Maestri said the strong performance was expected to continue into the next quarter.

The next iPhone will arrive a little later than usual this year, Maestri said during a Thursday earnings call.

“As you know, last year we started selling new iPhones in September. This year, we project supply to be available a few weeks later,” he said. As a result, expect the rumoured iPhone 12 to land in October. Last year’s iPhone 11 went on sale on Sept. 20.

The delay likely has to do with Apple’s supply chain, which COVID-19 disrupted when the virus broke out across China in January. It’s also possible the company needs more time to iron out its components; the next iPhone is rumored to include 5G connectivity.

In the meantime, the pandemic isn’t stopping people from buying existing iPhones. The firm said sales of its iPad and Mac hit $6.58bn (£5bn) and $7.08bn (£5.4bn) respectively, beating expectations of $4.88bn and $6.06bn.

The smartphone market was slowing even before the coronavirus, resulting in Apple’s increasing focus on its services – the biggest component of which is its App Store, where it generates commissions of up to 30%.

Apple’s results were obviously significantly affected by the global health crisis, and the company did not issue financial guidance for the quarter in its previous earnings release on April 30, but results were generally ahead of Wall Street expectations.

“Apple’s record June quarter was driven by double-digit growth in both Products and Services and growth in each of our geographic segments,” said Tim Cook, Apple’s CEO. “In uncertain times, this performance is a testament to the important role our products play in our customers’ lives and to Apple’s relentless innovation. This is a challenging moment for our communities, and, from Apple’s new $100 million Racial Equity and Justice Initiative to a new commitment to be carbon neutral by 2030, we’re living the principle that what we make and do should create opportunity and leave the world better than we found it.”

Yoram Wurmser:, eMarketer principal analyst, said: “Apple had an outstanding quarter despite store closings in April and economic disruptions globally. Some of the disruptions may have benefitted Mac and iPad sales, which were very strong and will likely remain strong as people continue to work and study at home in greater numbers. Even iPhone, however, did well based on strong SE sales. Despite reports of supply problems slowing the introduction of the next iPhone launch, it looks like delays will be limited to a few weeks rather than months as some had suspected.”

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