What you need to know
- Apple will hold its quarterly earnings call on Thursday.
- Analysts expect Apple to post huge numbers despite the problems it has faced.
- A strong performance in China will offset supply issues and the ongoing COVID-19 pandemic according to analysts.
Apple will announce its quarterly earnings for the holiday period on Thursday and analysts expect strong numbers despite issues caused by supply constraints and the ongoing COVID-19 pandemic.
Analysts believe that strong iPhone 13 sales will have helped prop up Apple's numbers despite, at times, struggling to get products into stores due to supply constraints relating to the global chip shortage. Apple, like other companies, continues to contend with an uncertain business world amid the COVID-19 pandemic and new Omicron variant. A strong performance for the brand as a whole in China won't have hurt Apple's revenue, either. In fact, Apple enjoyed the best iPhone results since 2015 during the fourth quarter of 2021 according to one report.
Despite the problems it's faced, Apple is expected to post impressive holiday numbers according to a Reuters report.
"We expect Apple to reach its highest market share in China since Apple entered the market in 2008," said analyst Nicole Peng of Canalys.
Investment firm Wedbush Securities forecasts record iPhone sales of more than 40 million units during the holiday period from Black Friday to Christmas. Morgan Stanley estimates total holiday quarter iPhone shipments at 83 million, representing a 4% increase from the previous year.
Analysts believe Apple will likely post revenue of around $118.7 billion which will represent a 6.48% growth year over year.
You can listen to Apple's Q1 2022 earnings call on Thursday — things should kick off at 2:00 p.m. PDT / 5:00 p.m. EDT.