TechBookyBusiness
No Result
View All Result
Wednesday, July 6, 2022
  • Login
  • Home
  • TechBooky
  • Africa
  • TV
  • Startup
  • Earnings
  • Crypto Price
  • Submit Article
  • Contact Us
  • About Us
Subscribe
TechBooky Business
No Result
View All Result
Home Earnings

Apple Sees A Decline In Fiscal Fourth Quarter Revenue Due To Supply Chain Challenges

Ibhadojemu Sunday Oseyemere by Ibhadojemu Sunday Oseyemere
October 29, 2021
in Earnings
Share on FacebookShare on Twitter

Tech giant Apple has reported results for its fiscal fourth quarter which fell behind Wall Street expectations. Apple’s Chief Executive Officer Tim Cook blamed the underperformance on the greater-than-expected supply-chain disruptions which hindered the production of iPhones, iPads, and Macs.

“We had a very strong performance despite larger than expected supply constraints, which we estimate to be around $6 billion. The supply constraints were driven by the industry-wide chip shortages that have been talked about a lot, and COVID-related manufacturing disruptions in Southeast Asia,” Tim Cook said.

The company’s overall revenue however increased by 29 percent and each of its product categories grew on an annual basis. Apple’s revenue was $83.4 billion versus $84.85 billion estimated, up 29 percent year-over-year. The company’s iPhone revenue was $38.87 billion versus $41.51 billion estimated, up 47 percent year-over-year. Revenue for iPad was $8.25 billion versus $7.23 billion estimated, up 21.4 percent year-over-year. The gross margin was 42.2 percent versus 42.0 percent estimated.

Apple’s Macs did not increase impressively, growing by only 1.6 percent annually, but the quarter did not include sales of new MacBook Pro models that were announced in October. Apple’s iPads grew 21 percent year-over-year, although they were supply-constrained. Apple’s Other Products category, which includes Apple Watch and AirPods models, grew 11 percent.

Aside from the sales of its products, Apple experienced very strong growth in its services business, which includes sales from the App Store, music and video subscription services, advertising, extended warranties, and licensing. Apple’s services grew 26 percent annually, which Tim Cook said was higher than what the company expected. Tim Cook said that Apple has 745 million paid subscriptions, which not only includes first-party services like Apple Music but also subscriptions through Apple’s App Store. “That’s up 160 million year on year, which is up five times in five years. So it’s been quite the growth cycle,” Cook said.

Apple warned that the current quarter will bring increased supply challenges, but also said that the company was expected to experience “solid year-over-year revenue growth” in the December quarter. According to Apple, the December quarter will be the largest in terms of revenue in its history. The anticipation of strong sales growth implies that Apple is significantly experiencing more demand for its new iPhone 13 models than it can supply. Its fourth-quarter only included a few days of iPhone 13 sales as it ended on the 25th of September.

Apple’s Chief Financial Officer, Luca Maestri, said that iPad sales would decline year-over-year in the December quarter due to supply constraints, but that other product categories would grow. According to Chief Executive Tim Cook, the supply issues were with chips on “legacy nodes,” or older chips, instead of the technologically advanced processors at the core of Apple’s devices. 

This quarter marks the first time since April 2016 that Apple has failed to surpass revenue expectations, and it is the first time since May 2017 that Apple’s revenues have fallen behind estimates, according to Refinitiv data.  Following the results announcement, Apple shares fell nearly 5 percent in after-hours trading.

Total
0
Shares
Share 0
Tweet 0
Pin it 0
Share 0

Related Posts:

  • Apple Reports Impressive Quarterly Results, Tim Cook Says The Covid-related China Lockdowns Didn’t Affect The Company In The Quarter
    Apple Reports Impressive Quarterly Results, Tim Cook Says…
  • Apple Reports Its Largest Single Quarter In Terms Of Revenue, Beats Analysts Estimates In Nearly All Categories
    Apple Reports Its Largest Single Quarter In Terms Of…
  • Cisco Reports Lower-than-expected Earnings Results For Fiscal Third Quarter, Issues Weak Guidance
    Cisco Reports Lower-than-expected Earnings Results For…
  • Rivian Stock Drops On Disappointing Fourth Quarter Earnings
    Rivian Stock Drops On Disappointing Fourth Quarter Earnings
  • Alibaba's Fiscal Fourth Quarter Results Surpasses Analysts' Expectations
    Alibaba's Fiscal Fourth Quarter Results Surpasses Analysts'…
  • Apple Inc. Beats Analysts Estimates With Sales Of 5G iPhones, Services, Others
    Apple Inc. Beats Analysts Estimates With Sales Of 5G…
  • e-Commerce Giant Amazon Reports Q3 Earnings That Failed To Reach Analysts’ Expectations
    e-Commerce Giant Amazon Reports Q3 Earnings That Failed To…
  • Qualcomm Shares Soar After Reporting Better-than-expected Fiscal Q4 Earnings
    Qualcomm Shares Soar After Reporting Better-than-expected…
Tags: appleearningsFiscal Q4revenuetech
Previous Post

e-Commerce Giant Amazon Reports Q3 Earnings That Failed To Reach Analysts’ Expectations

Next Post

Microsoft’s Second Ignite Conference 2021: What To Expect

Next Post
Microsoft’s Second Ignite Conference 2021: What To Expect

Microsoft's Second Ignite Conference 2021: What To Expect

No Result
View All Result

Get top tech business news in your inbox

subscription from
Loading

Crypto Price List

  • USD
  • EUR
  • GPB
  • AUD
  • JPY
  • TadpoleTadpole(TAD)
    $7.32-1.74%
  • SEENSEEN(SEEN)
    $2.05-2.27%
  • EvedoEvedo(EVED)
    $0.082301-0.80%
  • MarginswapMarginswap(MFI)
    $0.184213-2.11%
  • SakeTokenSakeToken(SAKE)
    $0.0127135.28%
  • WTF TokenWTF Token(WTF)
    $0.0113500.17%
  • BNSD FinanceBNSD Finance(BNSD)
    $0.005461-5.83%
  • RobotinaRobotina(ROX)
    $0.00266138.50%
  • CageCage(C4G3)
    $0.005010-3.67%
  • YAM v2YAM v2(YAMV2)
    $4.70-1.41%

Recent Posts

  • Nigeria’s AutoChek Makes A New Acquisition In Francophone-focused Classified Ad Marketplace CoinAfrique
  • South African Crypto-focused Company H20 Water Securities Secures $150 Million Funding Via The Sale Of Its H20N Token
  • Financial Inclusion In Nigeria Grew To 45 Percent In 2021 – World Bank
  • Meta Is Shutting Its Novi Digital Wallet By September 1st
  • Crypto Is The Answer To Financial Inclusion, Central African Republic’s President Says Amid Huge Aversion For Its Adoption Of Bitcoin

Categories

  • Acquisition
  • Acquisition & Merger
  • App
  • Banking
  • Capital
  • Cryptocurrency
  • Earnings
  • Ecommerce
  • Economy
  • Enterprise
  • Event
  • Funding
  • Gadget
  • Government
  • internet
  • Investment
  • Market
  • Merger
  • Money
  • Partnership
  • Personnel
  • Service
  • Social Media
  • Startup
  • Stocks
  • telecom
  • Venture Capital

Get top tech business news in your inbox

subscription from
Loading

Popular Tags

Acquisition africa amazon apple bitcoin cbn china coinbase company crypto cryptocurrency e-commerce earnings earnings season elon musk facebook fintech Funding gadget google government india internet Investment ipo kenya microsoft money netflix nigeria payment payments Q1 revenue russia service shares social media Startup Stock tech tesla twitter Ukraine whatsapp

Calendar

July 2022
M T W T F S S
 123
45678910
11121314151617
18192021222324
25262728293031
« Jun    

Categories

  • Acquisition
  • Acquisition & Merger
  • App
  • Banking
  • Capital
  • Cryptocurrency
  • Earnings
  • Ecommerce
  • Economy
  • Enterprise
  • Event
  • Funding
  • Gadget
  • Government
  • internet
  • Investment
  • Market
  • Merger
  • Money
  • Partnership
  • Personnel
  • Service
  • Social Media
  • Startup
  • Stocks
  • telecom
  • Venture Capital

Recent News

  • Nigeria’s AutoChek Makes A New Acquisition In Francophone-focused Classified Ad Marketplace CoinAfrique
  • South African Crypto-focused Company H20 Water Securities Secures $150 Million Funding Via The Sale Of Its H20N Token
  • Financial Inclusion In Nigeria Grew To 45 Percent In 2021 – World Bank
  • Meta Is Shutting Its Novi Digital Wallet By September 1st
  • Crypto Is The Answer To Financial Inclusion, Central African Republic’s President Says Amid Huge Aversion For Its Adoption Of Bitcoin
  • Popular Bitcoin Family Reveals They’ve Had Bitcoin Losses Of Up To $1 Million This Year

© 2021 Techbooky Business - Design by Techbookyelite.

No Result
View All Result
  • Home
  • TechBooky
  • Africa
  • TV
  • Startup
  • Earnings
  • Crypto Price
  • Submit Article
  • Contact Us
  • About Us

© 2021 Techbooky Business - Design by Techbookyelite.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
  • bitcoinBitcoin(BTC)$19,997.422.53%
  • ethereumEthereum(ETH)$1,126.981.65%
  • tetherTether(USDT)$1.00-0.11%
  • usd-coinUSD Coin(USDC)$1.000.16%
  • binancecoinBNB(BNB)$235.413.85%
  • Binance USDBinance USD(BUSD)$1.00-0.02%
  • rippleXRP(XRP)$0.3218721.31%
  • cardanoCardano(ADA)$0.4539920.70%
  • SolanaSolana(SOL)$35.474.44%
  • dogecoinDogecoin(DOGE)$0.0671601.45%
  • polkadotPolkadot(DOT)$6.861.04%
  • Shiba InuShiba Inu(SHIB)$0.0000101.72%
  • AvalancheAvalanche(AVAX)$18.176.81%
  • matic-networkPolygon(MATIC)$0.512.70%
  • Terra Luna ClassicTerra Luna Classic(LUNC)$0.000071-5.36%
Posting....