Apple Q3 sales fall, TV on agenda
July 27, 2016
Apple has revealed results for its 2016 third quarter ended June 25th, posting quarterly revenue of $42.4 billion (€38.5bn) and quarterly net income of $7.8 billion. These results compare to revenue of $49.6 billion and net income of $10.7 billion in the year-ago quarter.
“We are pleased to report third quarter results that reflect stronger customer demand and business performance than we anticipated at the start of the quarter,” said Tim Cook, Apple’s CEO. “We had a very successful launch of iPhone SE and we’re thrilled by customers’ and developers’ response to software and services we previewed at WWDC in June.”
But the results showed how tightly fortunes are tied to iPhone fortunes and sales have levelled off and lot rides on the iPhone 7 re-establishing the brand’s reputation for innovation.
Meanwhile Cook played up TV; Apple’s introduction of the latest version of Apple TV and its tvOS software last October mark “the foundation” for bigger plans in this space, he said. He made reference to a TV-related release “this fall” and said the company is “building the foundation for what we believe can be a broader business over time”.
Speculation has circled for years about Apple’s plans in the TV space, with the firm reportedly suspending plans last year to launch a live, OTT TV service after struggling to agree terms with media partners.