Shulou(Shulou.com)11/24 Report--

CTOnews.com, Nov. 4 (Xinhua)-- Counterpoint Research released a research report today that Apple's revenue exceeded expectations despite foreign exchange disadvantages and supply constraints.

According to analyst HANISH BHATIA, Apple's revenue in the September quarter of fiscal 2022 rose 8.1% year-on-year to a record $90.1 billion, far exceeding Wall Street expectations, demonstrating Apple's resilience in dealing with a difficult macro environment and adverse foreign exchange trends. With the exception of iPad, Apple achieved strong revenue growth in all product lines. Exchange rate fluctuations continue to haunt Apple, as it enters the holiday season. At the same time, the shortage of silicon-related supplies in the third quarter did not have a significant adverse impact on Apple.

▲ Apple's overall revenue, operating profit margin, gross profit margin, data source: Counterpoint ResearchiPhone 14 shipments are still limited by supply shortages, at least for now, despite currency headwinds, Apple's iPhone revenue is still growing 9.7% year-on-year on the basis of last year's strong performance.

Apple's user base hit an all-time high, driven by record-breaking upgrades and double-digit growth in the number of new users switching to iPhone. CTOnews.com learned that this shows that users are continuing to move from Android systems to iOS systems.

Another major milestone worth noting is that growth has reached record highs even as the currencies of emerging markets, namely India, Indonesia, Thailand, Vietnam and Mexico, have depreciated, suggesting that there is plenty of room for growth in these regions.

According to a preliminary channel survey, there is a significantly higher proportion of Pro models and higher memory versions in iPhone 14 series shipments, which further increases the average sales price of iPhone.

In the first few weeks after the release of iPhone 14, sales were also limited due to supply constraints. Only after the first round of demand stabilizes can we predict the best proportion of sales of "Pro" and "non-Pro" models, as well as the impact of depressed macroeconomic factors.

Driven by supplementary channels, the completion of outstanding orders and the release of new products, Mac sales achieved unprecedented growth despite currency headwinds, with revenue from Mac rising 25.4% year-on-year to an all-time high of $11.5 billion.

The supply of Mac terminals has improved, allowing Apple to complete outstanding orders in the previous quarter and replenish channels ahead of the peak holiday season. Apple has also benefited from the release of new MacBook Air and MacBook Pro powered by M2 chips.

In the last quarter, the Mac and iPad product lines were affected by supply shortages, but Apple seems to have solved the problem before this holiday season.

The end-user base of Mac is also at an all-time high, attracting users to upgrade and use Mac for the first time.

More than half of the users who buy Mac are new users. This is crucial for Apple because it will continue to attract a community of creators and reach a wider audience.

The decline in iPad revenue was mainly affected by the release time, which was mainly affected by the product release time, with revenue from iPad falling 13.1 per cent year-on-year to $7.2 billion.

IPad's user base has also reached an all-time high, with more than half of iPad buyers being new users.

The iPad Pro (Gen 6), released in October, is equipped with Apple's latest M2 self-developed silicon chip, ProRes features, a new SmartHDR and faster network connectivity (Wi-Fi 6e is supported in the iPad model for the first time in the iPad model) for heavy users seeking top configuration.

Apple Watch supply is still limited, driven by demand for new Apple Watch SE, Watch 8 and Watch Ultra, and strong growth in wearable products, but supply of these products remained limited during the quarter.

This product category has grown despite exchange rate headwinds and the loss of business in Russia. It is worth noting that 2/3 of the users who buy Apple Watch are new users.

The new AirPods continues to contribute to the division's revenue, but is also affected by currency issues.

The service segment is expected to grow, but the risk is looming as the user base of iPhone and other iOS terminals reaches an all-time high, the related services business will show an upward trend, and the supercycle may come. However, the segment is still more exposed to risk than other market segments.

Despite the significant impact of adverse exchange rate factors, the revenue of the service division rose 5% year-on-year to US $19.2 billion in the current quarter. This is due to 900 million paid subscriptions. The number of paid subscriptions has increased by 155 million in the past 12 months.

Quarterly revenue from Apple's paid services such as iCloud hit an all-time high, but digital advertising and gaming services underperformed due to a difficult macro environment. This is likely to continue into December of this quarter.

Apple raised the price of Apple Music subscriptions because of the increased cost of licensing content. For Apple TV+, Apple has raised prices as it continues to expand its content library.

The corporate segment continues to win new business. The B2B segment, which targets large enterprises, is growing strongly.

Apple said Ford Motor Company is applying advanced camera systems from iPad and iPhone to the quality inspection of Ford's new Fmur150 electric pickup truck.

Apple's products also help companies such as Cisco attract new talent and retain employees.

The high preservation rate of Apple's products remains a key selling point for Apple to attract new customers. Apple's trade-in program further shortens the product update cycle.

Overall, Apple's firm grasp of the user base continues to drive business growth, while its "closed-loop ecology" strategy continues to increase user stickiness and introduce new users to the entire ecosystem. As Apple's user base continues to hit new highs, the current macro disadvantage is only a temporary obstacle in the face of long-term growth brought about by the supercycle.

Welcome to subscribe "Shulou Technology Information " to get latest news, interesting things and hot topics in the IT industry, and controls the hottest and latest Internet news, technology news and IT industry trends.