The record-breaking quarterly profits Apple saw in the final three months of 2014 can really come as no surprise. The fiercely loyal followers of the tech super-giant could have been forgiven for fearing the worst when legendary visionary leader Steve Jobs, sadly passed.
But it was Jobs who insisted that no new consideration should be given to the size of the handsets his company developed, so was he holding them back? Of course not, but even the greatest minds can get it wrong sometimes, and it was his insistence that the smart phone-buying public had no interest in a larger screen size which was apparently preventing Apple from previously seeing the kind of growth results it has just published.
The iPhone 6 has surpassed all sales expectations, with 74.5 million handsets being sold between the months of October and December. This is the equivalent to a stunning 810,000 per day. As a result, Apple reported profits of $18 billion during that period, which is a world record for a public company. Their Christmas earnings were up 38% on the year, and with the Apple Watch due in April, there’s not really any bad news on the horizon for the company – or their shareholders.
Make it Bigger
It did take a while for Apple to accept that they needed to go bigger with their smart phone screen size, but it was the only feature they were missing, and its significance to the modern day user is illustrated in the record-breaking performance they have enjoyed.
Some analysts are voicing doubts about the ongoing performance of Apple for 2015, citing the slowing smart phone market and doubts about the Apple Watch capturing the imagination of the tech-savvy public, but retailers expect the watch to be a massive hit, and if it is, we could witness Apple become the first trillion dollar company. It’s currently valued at $686 billion, and has enough cash to buy up 483 0f the S&P 500. It’s a remarkable position to be in.
If the trend continues, a trend which saw a 90% increase in iPhone unit sales compared to the previous quarter and a 77% surge in iPads, the trillion dollar goal could be in reach within the next six months. With the App Store performing at record levels and Mac sales also on the increase, those who predicted the demise of Apple after the loss of their founding father would appear to be very much wide of the mark.
The breakthrough for Apple has come in China, as they witnessed a 157% quarter on quarter increase in sales. China and the Far East were once considered to be firmly in the hands of Samsung, but the strides Apple has made across the region means the territory looks set to surpass even Europe in sales during 2015.
CEO Tim Cook was quick to thank the Chinese consumers for their support, and rightly so, because with the backing of what will soon be the biggest global economy, the Apple juggernaut looks unstoppable.