Apple sees sales drop 5% in the last quarter of 2022, a first since 2016
2022 ended on a sour note for Apple, which recorded its biggest drop in sales since 2016. In the last quarter, the apple brand indeed hit 117 billion dollars, or 5% less compared to the previous year, at the same time. Tim Cook puts the blame on three factors: the dollar, production problems and the macro-economic environment.
Apple had yet started the year 2022 on the hats of wheels, announcing record sales of 97.3 billion dollars, up 8.6% in one year. But the following months were particularly difficult for the company. Despite the release of its iPhone 14, the Cupertino company has not managed to reverse the trend during the last quarter. As a result, the company only received $117.2 billion, down 5% compared to the last quarter of 2021.
If this drop is to be put into perspective with the record sales made during the pandemic, it is still notable for the American giant. In fact, it is the biggest drop in turnover since 2016. Interviewed by CBNC, Tim Cook does not seem surprised by this result. According to him, these sluggish sales can be explained by three distinct factors: an aggressive dollar, production problems in China and a difficult macroeconomic environment.
Related: Apple Flops iPhone 14 Plus Sales, Change in Strategy for iPhone 15
Apple achieves worst revenue since 2016
It was last year’s soap opera. After new containment measures in China, experts wondered if Apple would manage to avoid the shortage of iPhone 14. Then, in the fall, violent protests broke out within production plants, further affecting the supply chain. Result: production fell by 20% and the last quarter of the year, generally favorable to Apple, did not achieve the expected results.
“We also recognize that the environment in which we operate is difficult”, explains Tim Cook to CNBC. In fact, the iPhone are not the only ones to have sold less at the end of the year. While MacBooks had a stellar third quarter, their sales plummet in the following monthsby 28.66% compared to 2021. Tim Cook reacted by announcing that he would slow down hiring for the coming period in order to limit the company’s expenses.
Source: CNBC
