Despite all the uncertainties in the global market in 1 (2022) Full Pinoy Moviean ongoing trade war between the U.S. and China (and everyone else, to a lesser degree), Apple just booked another solid quarter, and it doesn't seem too phased about the future.
The company's quarterly revenue was 95.4 billion, up 5 percent year-over-year, with a $24.78 billion net income, a 4.6 percent increase compared to the same period last year.
The company's next quarter will be a tricky one, given that the Trump's administration levied high tariffs on China, where Apple produces most of its iPhones. But it seems that the company is well positioned to weather any negative impacts from tariffs.
Apple CEO Tim Cook told CNBC that the company is sourcing "about half" of the iPhones that it sells in the U.S. from India. As far as other U.S.-bound products go, including Macs, iPads and AirPods, and the Apple Watch, Cook says that for "almost all" of them the country of origin is Vietnam.
Of course, this doesn't mean Apple doesn't need to worry about tariffs at all. The U.S. also recently levied tariffs on Vietnam and India, and Cook said that Apple still produces the "vast majority" of its products bound for countries other than the U.S. in China. All in all, Apple expects tariffs to add $900 million in costs for the current quarter, though Cook said these costs are "very difficult" to predict.
Cook's statement is interesting given the Financial Times' recent report that Apple plans to manufacture all of its U.S.-bound iPhones in India by the end of 2026. It appears that the company is well on its way to achieving that goal.
Topics Apple
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