Business

Tuesday 25 July 2017

Strong iPhone sales sees Apple's profits surge

Apple CEO Tim Cook introduces the Apple Watch during an Apple event in San Francisco
Apple CEO Tim Cook introduces the Apple Watch during an Apple event in San Francisco

Apple beat Wall Street's revenue and profit forecasts on Monday as it sold more iPhones in China than the United States for the first time, but the company gave no sales figures for its new Apple Watch.

Apple's iPhone sales in China soared, increasing its revenue in the country 71pc to $16.8bn, although that was helped by gift-buying for Chinese New Year. Overall profits for the firm were up by 33pc for the quarter that ended in March.

Chief Executive Tim Cook 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.

Wall Street hailed the results but share reaction was muted.

Its shares rose 1.6pc in after-hours trading to $134.52.

Apple sold 61.2m iPhones in the quarter, up 40pc from the year-ago quarter, but down from the record-breaking holiday quarter. It sold 12.6m iPads, down 23pc from a year ago.

Apple's big screen iPhone 6 and 6 Plus have been popular with customers worldwide, helping the company overtake rival Samsung in global smartphone sales last quarter.

Reuters

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