Apple Announces 29% Revenue Growth, but Missing the Market Expectations on Sales
Apple reported a revenue growth by 29% for its 4Q fiscal year, but sales missed expectations from the market due to supply constraints.
Apple Inc. announced a 29% growth in its fiscal fourth quarter of 2021 at $83.36 billion from a contribution of revenues from iPhones, services and other products while gross margin moved up to 42.2%, compared to 38.2% a year ago.
However, most of the revenues reported even though an increase from last year, still lower than estimations. The total revenue of $83.36 billion was lower than $84.85 billion estimated, while iPhone revenue of $38.87 billion for the quarter was lower than the $41.51 billion estimations as supply constraints knocked $6 billion off the company’s top line in the quarter.
Apple’ stock, AAPL, was down 5% after trading hours following the announcement.
The market is now eyeing not on the iPhone sales, but the chip shortage crisis and how the company will progress next year. According to the report from international media, Apple was cutting orders for the iPhone 13 by 10 million units in early October and the chip shortage crisis is unlikely to ease anytime soon.
