Apple Thrives Amid Global Trade Tensions
Apple reported strong third-quarter results, surpassing sales and profit expectations despite global trade tensions. The company successfully navigated tariff challenges by shifting production to countries like India and Vietnam. Apple's revenue rose significantly, driven by increased iPhone sales and growth in the services sector.
Apple has defied global trade challenges, posting a remarkable performance in its fiscal third quarter. The technology giant reported a 10% increase in revenue, achieving $94.04 billion, surpassing Wall Street expectations. This growth was largely driven by robust iPhone sales, which soared by 13.5% to $44.58 billion.
As part of its strategy to mitigate the impact of U.S. tariffs, Apple has been diversifying its supply chain. The company sourced iPhones from India and other products, like Macs and Apple Watches, from Vietnam, while reducing its share buyback program by $10 billion to maintain financial agility.
Despite challenges, Apple's services business, including the App Store, music, and cloud storage, saw significant revenue gains. However, in Europe, regulatory scrutiny threatens its lucrative App Store revenue. In China, Apple experienced sales growth, although facing delays in AI feature approvals.
(With inputs from agencies.)
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