Apple's latest profits are a mixed bag, and the sales of iPhone slipped against the rise of revenue.
After the Bell on Thursday, the overall profit of the iPhone manufacturer in the first quarter of 2025, with the expectation of the Wall Street, was $ 124.3 billion at 4 % bump last year.
Apple reported a net profit of $ 36.33 billion, up 7.1 % to 7.1 % in the same period of the same year.
The company has increased despite missing the estimation of the iPhone. In China, sales of 11.1 % have lost $ 185.1 billion. Since DIP, nearly 13 % in the first quarter of 2024, it has been the largest decline in this important area.
Fierce competition with domestic manufacturers, including OPPO and Vivo, has proved that the world's largest smartphone market is becoming more difficult for companies. Huawei, which had dropped significantly in sales due to the first Trump administration by the Trump administration, has since increased rapidly in its home country.
In a conversation with the CNBC, CEO's Tim Cook, along with some other major markets, has been responsible at the feet of Apple Intelligence, which is currently unusable in China. Apple's small model AI platform is the biggest sales point of the iPhone 16 that debuted at the end of last year.
“In the market that was developing Apple Intelligence in December quarter, we found that the performance compared to the previous year in the iPhone 16 family was stronger than the market that did not develop Apple Intelligence,” said Cook. Masu.
AI platforms are currently available in English (Australia, Canada, Ireland, New Zealand, South Africa, UK, and the United States). Chinese is one of the languages that will appear in the latter half of this year, but Apple has not yet announced whether this feature will eventually arrive in mainland China.
Regulatory approval and security restrictions are one of the issues between Apple Intelligence and CHINA. The company is reportedly added to the domestic iPhone in collaboration with the domestic Internet major Baidu. However, the transaction clearly had its own obstacles.
Cook also pointed out a channel inventory that restricts the availability of new hardware in Japan.
Despite the company's expectations for the Apple Intelligence -driven boost, the sales of iPhone decreased slightly from the previous year. This platform was slowly deployed on iOS 18, and its functions arrived on the waves. Several functions such as news summaries also had rocky release. Apple has suspended its functions to address the problem of surface information.
Both Mac and iPad's revenue increased by 15 % in a quarter, thanks to the launch of new iPad mini, iMac, Mac mini, and MacBook Pro. Services such as Apple TV+, Apple Music, and iCloud have grown 14 % in this quarter.
Currently, the company has an installation base of 2,35 billion active devices, which has increased from 2.2 billion to 2.2 billion last year. Cook also noted that Apple boasts a 1 billion subscription to provide content and third -party apps.
As a whole, analysts have greeted the news positively, despite the headwinds, in some important categories. Earlier this week, Apple's delayed entry to the AI space of Apple also protected the company. The arrival of the Deepseekr1 platform has caused large -scale acquisitions of companies such as NVIDIA.