Apple is expected to set a new record in terms of revenue in the final quarter of 2021 thanks to improvements in iPhone production and the performance of its various services.
The information comes from Morgan Stanley lead analyst Katy Huberty (via Apple Insider) who further reports that she expects total revenue of $122.3 billion for Q4 2021, with a gross margin of 41.9% and earnings-per-share (EPS) of $1.97.
The prediction is 3% ahead of Wall Street’s figures for the same because of a number of promising data points including lesser manufacturing disruptions and strong demand in markets like China.
Huberty also believes that the iPhone lineup mostly outperformed consensus estimates, selling 83 million units in the December quarter. Her Mac estimates are a bit ahead of the consensus as well, although the iPad shipment forecast has been reduced from 17 million units to 14.9 million units.
As for Services, the analyst believes that Apple will report revenue of $19.2 billion, which means massive YoY growth of 21.7%. The reason for this is strong App Store growth in Q4 2021 along with notable growth in the company’s licensing segment that also includes Google’s search engine payments to Apple.
For the first quarter of 2022, Huberty expects a total of 55 million units of iPhone units sold, which is slightly ahead of what build numbers would suggest.
RELATED:
- Apple iPhone SE with 5G support could launch in April or May this year
- Apple is now offering a lower trade-in value for your old Android phone
- Apple iPad 10th gen to reportedly launch at end of 2022, will reuse old design
- Some iPhone 13 users complain about screen randomly turning pink
- Apple’s entry-level iPad with 10.2-inch display could get 5G support this year
