Apple has reported its [fiscal] Q2 2017 earnings, offering a look at its performance over the last 3 months. During the period the company sold 50.8 million iPhones, 8.9 million iPads and made $52.9 billion in revenue.
Hon Hai Precision Industry, also known as Foxconn Technology Group, counts Apple as its key client. Foxconn assembles iPhones and their Apple contract accounts for more than half of the Taiwanese company’s earnings. Yesterday, Foxconn reported both its highest-ever holiday quarter net profit and highest-ever gross margin since first-quarter 2013.
Apple announced the financial results for its fiscal first quarter of 2017 this afternoon, and the numbers for the holiday period are pretty good. The company beat Wall Street estimates by putting up a record 78.3 million iPhone sales and more than $78 billion in revenue.
Following the release of its earnings, CEO Tim Cook and CFO Luca Maestri hopped on a conference call to talk about their company’s performance over the last 3 months, and offer up some insights into its future. Here are some of the most interesting points from the call.
Apple on Tuesday reported its [fiscal] Q1 2017 earnings, offering a look at its performance over the all-important 3-month holiday quarter. To the surprise of many analysts, the company beat Wall Street’s expectations by posting a record 78.3 million iPhone sales and $78.4 billion in revenue.
Despite seeing its brand tarnished and anywhere between $2 billion and $5 billion wiped off its operating profit in the aftermath of Note 7 fiasco, Samsung of South Korea has managed to boost its fourth quarter earnings on the back of its semiconductor division and strong sales of the Galaxy S7 and Galaxy S7 Edge flagship devices.
Operating profits rose to $7.2 billion over the last three months of 2016 on sales of about $45.8 billion. Samsung’s mobile division captured $2.1 billion in operating income, a four percent year-over-year profit increase.
Samsung Mobile expects sales of its low-cost phones in the Galaxy A and J series to grow in the coming months. All in all, this was Samsung’s most profitable quarter in three years as the company has clearly bounced back from the global Note 7 recall.
Apple is planning to announce its earnings results for Q1 of [fiscal] 2017 on January 31. The company on Wednesday updated its investor website to show that it will be hosting a conference call to discuss the quarter that Tuesday at 2:00pm PT.
Apple’s first quarter is of course its holiday quarter, which covers the popular 3-month holiday shopping period between October and December. And as usual, all eyes will be on the company to see if it was able to solve its recent growth problems.
On Tuesday, Apple afficionados were treated to a new wave of white shell iPhone 7 mock-ups and purported leaks hitting the internet, advancing the notion that the Cupertino-based company could plan to release a white counterpart to their Jet Black coating some time around March 2017.
From an aesthetic standpoint, everyone is going to have their two cents on the necessity of it in the grand scheme of things. Simply by moving the discussion from the fashion sphere to the finance department though, the ambivalence in regard to whether or not this iPhone release is genuinely necessary quickly crumbles and clearly comes down on one side of the fence.
As we will learn in late January, Apple’s first quarter of the fiscal year 2017 is going to look after itself nicely, but in view of the Q2 figures and a long summer following, Jet White definitely needs to happen. Two key reasons must be paid attention to in order to understand the imperative of a Jet White iPhone for a healthier bottom line in the fiscal year of 2017.
Foxconn Technology Group, the world’s top contract manufacturer and the biggest assembler of Apple products, reported rising revenues for the September quarter and a decline in net profit. Revenue for the July-September quarter climbed from NT$1.066 trillion ($33.43 billion) a year earlier to NT$1.075 trillion ($33.7 billion) thanks to brisk sales of the iPhone 7 and iPhone 7 Plus.
However, losses produced by Foxconn-owned electronics maker Sharp caused net profit to fall to NY$34.6 billion ($1.09 billion) from NY$37.9 billion ($1.19 billion) a year earlier.