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Apple posts record $109.4 bn revenue, warns of supply constraints
Apple posts record $109.4 bn revenue, warns of supply constraints
Apple posted a record June quarter revenue of $109.4 billion, up 16% year-on-year, beating analyst estimates. iPhone sales rose 21.7% to $54.25 billion, and Mac sales grew 28.66%. India, America, and Europe…
The Story in Brief
Apple posted a record June quarter revenue of $109.4 billion, up 16% year-on-year, beating analyst estimates. iPhone sales rose 21.7% to $54.25 billion, and Mac sales grew 28.66%. India, America, and Europe all set June quarter records. However, the company forecast September quarter revenue growth of 9-11%, below Wall Street's 12% target, citing severe supply constraints for advanced chipmaking technology and rising memory chip prices. Shares fell 6% in after-hours trade.
Apple CFO Kevan Parekh said memory costs would increase further in the September quarter, partly offset by carry-in inventory and lower non-memory component costs. CEO Tim Cook said the company is evaluating alternative suppliers. The services business grew 12.1% to $30.74 billion, missing estimates. Apple's gross margin was 50.1%, helped by tariff refunds. In India, analysts say the country offers a long runway for growth, but price hikes on Macs and iPads (20-42%) will test demand.
The Indian Opinion
The breathless coverage of Apple's record quarter and India's 'double-digit growth' misses the real story: a company that just warned its own forecast misses Wall Street targets, and that memory chip costs will keep rising. The narrative that Apple is invincible in India ignores the 20-42% price hikes on Macs and iPads already in place. The real test? Whether iPhone prices, still untouched, will rise in September, and whether Indian consumers will absorb that hike after the current buying flurry fades.
Sources (2): thehindu.com, thehindu.com (2)
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
