IPhone sales declined worldwide in the last quarter, not only in China



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As Apple has confirmed in its last two earnings calls, iPhone sales have been steadily declining since October. The Cupertino giant blamed this situation mainly on weak demand in China, but recent SEC reports show that this is not all.

Declining iPhone sales in all regions, including America

Spotted first by Worship of MacApple's recent Form 10-Q filed with the US Securities and Exchange Commission (SEC) contains a detailed analysis of the performance of the last six months by product category (iPhone, iPad, Services, etc.) and geographic region ( Americas, Europe) Greater China, etc.).

As mentioned above, iPhone sales have been falling for six months. The Greater China region, which includes China, Hong Kong and Taiwan, has undoubtedly most affected Apple's total shipments, but in reality, the company experienced "a decline in iPhone unit sales in all of geographical segments to declare "since October. Revenues decreased year-on-year in all regions except the Americas (North and South America), with Greater China being the most affected, followed by Europe and Japan. .
IPhone sales declined worldwide in the last quarter, not only in China

In almost every geographic area, Apple's decline in iPhone shipments was partially offset by improved performance in other product categories. For example, in Europe, the company's Services and Wearables business experienced significant growth, while in Japan, services and the iPad were essential. On the American continent, however, the strong performance of Services and Wearables helped to fully offset weak iPhone shipments and bring year-on-year growth to a decent 4%.

The situation in China finally seems to be improving

If we look at the performance of the company over the last three months instead of six, it seems that Apple's efforts in some areas are finally starting to bear fruit. Other markets, however, appear to be declining.

As Apple mentioned in its recent call for results, the company saw an increase in demand in Greater China towards the end of the quarter. He did not give further details on this, but it seems that the brand's financial results have improved slightly. For the quarter ended March 31, the decline in sales was 22% for the year. That's still pretty important, but that's an improvement over the -25% average that Apple has seen in the region since October.

Japan is another region that has improved. Over the last six months, Apple's sales have dropped an average of 2 percent, but in the first three months of 2019, they have increased by 1 percent. Similarly, the Americas continued to grow during the last quarter.

IPhone sales declined worldwide in the last quarter, not only in China

In Europe and the rest of the Asia-Pacific region, these two geographic segments have not had the same success. Since October, Apple has seen an average decline in revenue in these regions of 4% and 2% respectively. But in the first quarter of the year, these numbers dropped to 6% and 9%, mainly because of an even weaker demand for the iPhone.

IPhone sales are expected to remain stable throughout 2020

Regarding Apple's performance for the rest of 2019, the Cupertino giant now seems confident to improve the situation in Greater China and slow down its decline year-over-year. Nevertheless, a decline is still forecast for the current quarter and, with the apparent slowdown in business in Europe and the rest of the Asia-Pacific region, it remains to be seen how Apple will handle the situation.

By the end of 2019, Apple's new-generation iPhones should give a decent boost to demand. However, analyst Ming-Chi Kuo recently predicted almost zero growth. Kuo is expecting iPhone sales to increase by the end of 2020 with the first 5G models, which should include Samsung and Qualcomm modems.
IPhone sales declined worldwide in the last quarter, not only in China

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