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Apple Expects iPad Revenue to Decrease Next Quarter

On Thursday, Apple reported fiscal Q4 2023 profits, with revenue of $89.50 billion between July and September. Apple reported iPad revenue of $6.4 billion, down from $7.2 billion in the same quarter the previous year. Apple CEO Tim Cook predicted that iPad revenue will “decelerate significantly” in the coming quarter because the business did not release any new iPads this year.

 

During a conference call with investors, Cook emphasized that, despite a 10% drop in revenue year over year, the iPad still “sets the gold standard for tablets.” The executive stated that comparing these eras is “difficult” because of supply difficulties that hampered the company in 2022, resulting in pent-up demand that was met in the September quarter.

 

Nonetheless, Cook noted that, unlike last year, Apple has not announced any new iPads this year. He confirmed that Apple will not release new iPads in November or December, stating that iPad revenue will “decelerate significantly from the September quarter due to a different timing of product launches.”

 

Of course, Apple claims that macroeconomic factors and foreign currencies can also hurt its income. Back to the iPad, we last saw new models quite some time ago. According to Cook, the most recent iPads will be released in October 2022. The most recent iPad Air 5 was released in March 2022, whereas the iPad mini has not been updated since September 2021.

 

Due to the lack of new releases, Apple anticipates a decline in iPad revenue in the upcoming quarter and will report $89.50 billion in revenue for Q4 of 2023.

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