Apple revenue forecast tops expectations, iPhone business stabilises

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Apple Inc's quarterly profit and revenue beat Wall Street targets on Tuesday and its forecast for fourth-quarter sales topped expectations as ...

REUTERS: Apple Inc's quarterly profit and revenue beat Wall Street targets on Tuesday and its forecast for fourth-quarter sales topped expectations as well, with Chief Executive Tim Cook telling Reuters that"marked improvement in greater China" drove the results.

"We actually grew in mainland China," Cook told Reuters."Non-iPhone revenue grew 17per cent. We grew in every category outside of iPhone." Apple did not give the number of active Apple devices, but in January said it was 1.4 billion, with 900 million of those being iPhones. Investors used the number, called the installed base, as a proxy for how many subscribers it can gain for its services business. In April, Apple disclosed that it has 390 million paid subscribers to its own services and third-party apps. The company has set a goal of 500 million by 2020.Apple reported results as U.S.

Apple's market share in China declined to 5.8per cent from 6.4per cent, according to market research firm Canalys, in part because smartphone rival Huawei Technologies Co Ltd gained market share to become the top handset seller in the country. Apple shares have gained more than 20per cent since early June, when shares dropped on news that the U.S. Department of Justice had jurisdiction over the company in a potential probe as part of a broader review of whether technology giants engage in anticompetitive practices.

 

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