Authorization

Apple will stop sharing numbers on how many devices its selling

Apple shared its latest quarterly earnings report today, but during its call with investors the companys CFO Luca Maestri also delivered an unexpected announcement: it wont be sharing unit sales of its iPhone, iPad or Mac anymore.
This gives analysts (and the public) one less item to determine the health of the company, but according to Apples leadership, devices sold arent a very good indication of the companys financial health anymore because the company is selling devices at so many price points.
Our product ranges for all the major product categories have become wider over time and therefore a unit of sale is less relevant for usatthis point compared to the past because weve got these much wider sales pricesdispersion, Maestri said in the call. Sounit of saleper se becomes less relevant
The move perhaps reflects just how much Apples pricing has stretched towards the high-end in the past year.
The iPhone XS Max starts at $1,099, the Apple Watch Series 4 starts at $399, the new iPad Pro starts at $799 and the new MacBook Air starts at $1,199. The company is keeping prices pretty consistent on the low-end for iPhone and iPad as it continues to sell older units, that isnt as true of Mac which has seen a fairly uniform price bump in the most recent generations of devices (with a $4,999 iMac Pro rounding out the high-end).
Unit sales tell a small part of the story. While Apple shipping46.89 million iPhones this quarter represented flat unit growth, the companys iPhone revenues jumped 29 percent. Thats because the average sale price of the iPhone went from$793 versus $618 a year ago.
Maestri noted in the call that some of the companys biggest competitors in smartphone and tablet sales (Google, Samsung) do not break out unit sales in their quarterly earnings reports either. Nevertheless, more data on a companys performance is better for analysts, so the lack of transparency from Apple here leaves some room for speculation on why theyre making this change now.

Apple beats on Q4 earnings thanks to price hikes, stock still falls 7% after-hours
See also:
Leave a comment
News
  • Latest
  • Read
  • Commented
Calendar Content
«     2019    »
 1
2345678
9101112131415
16171819202122
23242526272829
3031