{"id":460795,"date":"2018-02-02T13:15:10","date_gmt":"2018-02-02T13:15:10","guid":{"rendered":"https:\/\/ghana-mma.com\/2018\/02\/02\/apple-sells-fewer-phones-but-profits-rise\/"},"modified":"2018-02-02T13:15:10","modified_gmt":"2018-02-02T13:15:10","slug":"apple-sells-fewer-phones-but-profits-rise","status":"publish","type":"post","link":"https:\/\/www.ghanamma.com\/2018\/02\/02\/apple-sells-fewer-phones-but-profits-rise\/","title":{"rendered":"Apple sells fewer phones but profits rise"},"content":{"rendered":"

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\"Renault\"\/<\/div>\n<\/div>\n

Apple sold slightly fewer iPhones in the final three months of 2017 than it did the year before, but higher prices compensated for the dip.<\/p>\n

The firm reported a record $20bn (\u00a314bn) in quarterly profits, driven by strong growth in Japan and Europe.<\/p>\n

The results were the first official glimpse of sales figures for Apple\u2019s expensive iPhone X.<\/p>\n

Chief executive Tim Cook said demand for the product, which starts at about $1,000, had surpassed expectations.<\/p>\n

Quarterly sales at the firm climbed by 13% year-on-year to a record $88.3bn.<\/p>\n

After an initial fall, Apple shares climbed more than 3% in after-hours trade.<\/p>\n

Apple released the iPhone X in November, coinciding with the 10th anniversary of the device.<\/p>\n

And while the overall number of iPhones sold in the period slipped by 1% year-on-year to 77.3 million, the iPhone X had been the top-selling Apple handset every week since its launch, Mr Cook said.<\/p>\n

However the tech giant also issued a weaker-than-expected sales forecast for coming months, which appears to reinforce investor concerns that demand for Apple products may be dimming.<\/p>\n

\u2018Extremely engaged\u2019<\/h2>\n

Mr Cook said he was not over-concerned by the dip in handset sales, adding that the 1.3 billion active Apple devices around the world provided a strong customer base for the firm\u2019s services businesses, which include Apple Pay.<\/p>\n

Analyst Carolina Milanesi, of California-based Creative Strategies, tweeted<\/a> that \u201c1.3 billion users most of whom are extremely engaged with their devices is why the services numbers will be more and more interesting going forward\u201d.<\/p>\n

Apple has been under a cloud after revealing that it deliberately slowed batteries in older phones, prompting investigations in several countries.<\/p>\n

It has since apologised, offering customers cheaper batteries and other modifications, though analysts have said that could reduce replacement purchases, potentially affecting the firm\u2019s bottom line.<\/p>\n

Future growth<\/h2>\n

Jeff Fieldhack, research director at technology consultancy Counterpoint, said while Apple\u2019s opening quarter was \u201cfantastic\u201d for its new devices, it may struggle to keep sales levels up.<\/p>\n

\u201cBecause of the higher prices, it will be a challenge to keep those volumes going,\u201d Mr Fieldhack said.<\/p>\n

He added the firm\u2019s performance in China, India and other emerging markets would also be crucial to future growth.<\/p>\n

Apple has struggled to lure customers away from several rivals in China, the world\u2019s largest smartphone market, as it competes against more affordable devices.<\/p>\n

It faces similar challenges in India, where the firm currently has just 2% market share . Growing its Indian customer base will be important for future sales, Mr Fieldhack said.<\/p>\n

Source: BBC<\/p>\n

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