4 Things to Know About Apple's 'Best Quarter Ever' in China
(Updates with link to Bloomberg News story in 2nd bullet point.)
China remains a favorite growth story for Apple, even as the country's economic growth slows. Chief Executive Officer Tim Cook said on the earnings call today it was "our best quarter ever in Greater China."
As Apple dials down its overall forecast, here are some factors in China that could provide a boost:
- Revenue in China during the second fiscal quarter was $8.2 billion, according to data compiled by Bloomberg. That's more than the rest of the entire Asia-Pacific region. Including revenue from retail, Greater China's total was $8.8 billion, an 11 percent increase over the same quarter a year ago, Cook said.
- There are 11 Apple Stores in China, and the company expects to double that number within two years, Cook said. "Going forward we still see a significant opportunity in China," he said on the call. "It's a great market." As Bloomberg News reported, Apple will need to do more than open some new stores.
- The iPad is taking off in China. Sales during the quarter increased 138 percent compared to the previous year, Cook said. "We set new records for sell-through for iPhone and iPad during the quarter," he said.
- As rumors of a cheaper iPhone abound, China's budget buyers could be an important factor in Apple's growth there. "China has an unusually large number of potential first-time smartphone buyers, and that's not lost on us," Cook said.