Apple see growth in last quarter of 2016
Having experienced a decline in some of its product lines, Apple seem to have turned a corner with net sales of $78.4bn for the last three months of 2016. The result indicates a 3% increase on last year’s figures, and represents their strongest ever quarter.
Much of this revenue has been generated by the release of the iPhone 7, which has proved popular with customers. The iPhone has been in a period of decline, with many of its competitors catching up with its early innovations. The iPhone represents an incredible two thirds of apples income, with total sales at 78.3m for the final quarter of 2016, up from 74.8m in 2015.
Following the strong results, Apple’s shares increase by 3% in after-hours trading. Investors will feel some relief, with recent product launches not setting the world on fire like some others from previous years.
Adding further to Apples revenue stream was its growing services sector. Revenues from Apple Music, App Store and iCloud finished the quarter at $7.1bn. With demand for services continuing to grow, it could soon overtake Apple’s Mac products as the second most valuable source of income.
It will be interesting to see how Apple’s new launches perform, with the iPhone entering its 10th year. Setbacks from other competitors have further boosted Apple’s brand, but these setbacks will only be temporary.