The enormous influence of the Mac and the iPhone 13 could help Apple generate record profits in the first quarter of this year.
In a recent memo, Morgan Stanley analyst Katy Huberty analyzed Apple’s fiscal second quarter (January-March 2022) and predicted a blockbuster earnings report for the company. She believes global iPhone 13 and Mac sales this quarter will offset relatively weak iPad and App Store sales in the quarter.
The analyst believes that the demand for the iPhone 13 is stronger than expected with a remarkable scale of growth around the world. She estimates that the number of iPhone shipments worldwide is up 10% compared to the same period last year. In the US, the iPhone 13 series was the “best-selling” smartphone for all three months, with the iPhone 13 being the “most expensive.” As a result, Huberty increased his estimate of the average selling price of iPhones to USD 878 – VND 20.16 million (previous estimate was USD 848 – VND 19.47 million).
Also in the first quarter of 2022, Huberty estimates that iPad and wearable device sales will be lower than expected. As a result, the iPad’s average selling price fell 3% to $610. Analysts expect iPad sales to hit $7.1 billion. Wearables will cut revenue to $9.1 billion, up 16% year over year.
However, the MacBook made up for that drop. According to IDC data, in the first three months of the year, MacBook shipments reached 7.2 million units, up 5% from a year earlier, far exceeding its previous estimate of 6.0 million units. Free. The above figure could generate revenue of $9.5 billion, marking the second consecutive quarter of increase.
Morgan Stanley’s Apple Services revenue estimate was revised down 3% to $19.7 billion. Still, Ms. Huberty expects app store revenue to accelerate in the second half of fiscal 2022. For the full year, Huberty has lowered her Services revenue estimate to $80.7 billion, a rate of 18 percent growth. % . compared to last year.
Overall, Ms. Huberty expects record sales in the first quarter of this year. Overall, the analyst predicts that Apple will report revenue of $94 billion in the first quarter of 2022 and a profit of $40.5 billion. However, Wall Street’s estimate for the quarter is lower: $90 billion.
Previously, in the first quarter of 2021, Apple achieved revenue of $89.6 billion and reached $38.1 billion in profit.
For the second fiscal quarter of 2022, Huberty expects “The Half-Bite Apple” to generate $83.3 billion in revenue, below Wall Street’s current estimate of $86.7 billion. The downward adjustment was mainly due to the unpredictable impact of the COVID epidemic in China.