iPhone sale in China beats US: gift-buying for Chinese New Year helps
Apple Inc beat Wall Street’s revenue by selling more iPhones in China than the US for the first time. Apple’s iPhone sales in China soared, increasing its revenue in the country 71% to $16.8 billion, although that was helped by gift-buying for Chinese New Year.
A strategy professor of California university told that, for the first time in several quarters Mac sales are now higher than the iPad sales but it is the iPhone that continues to beat all expectations. 71% increase in China, is just phenomenal so basically now the Chinese market has become more important than the US market and to a great extent the Chinese market is still untapped. It’s not a mature business, it’s a growth business.
Chief Executive said that China’s expanding middle class is fueling iPhone sales there, which is the bulk of the company’s sales. The iPhone 6 was launched last autumn in China with a number of carriers. Apple sold 61.2 million iPhones in the quarter, up 40 percent from the year-ago quarter, but down from the record-breaking holiday quarter. It sold 12.6 million iPads, down 23 percent from a year ago. Apple’s big screen iPhone 6 and 6 Plus have been popular with customers world-wide, helping the company overtake rival Samsung in global smartphone sales last quarter.
The most valuable publicly traded U.S. company raised its quarterly dividend 11 percent to 52 cents per share and boosted its share repurchase programme to $140 billion from $90 billion announced last year. Together, Apple estimated that would mean returning $200 billion to shareholders by the end of March 2017. It ended the quarter with $193.5 billion in cash and marketable securities, up more than $15 billion from the last quarter.
Apple said it expected fiscal third-quarter revenue of $46 billion to $48 billion, in line with analysts’ average forecast of $47 billion.