Earlier today, Apple announced its Q3 financial results which were even better than expected, sending its stock price surging to an all-time high. Part of the success was down to an unlikely product: the humble iPad.
In defiance of doom-and-gloom predictions, the original, “magic” tablet has managed to sell 14 per cent more units globally than it did last year. Could we be on the cusp of a tablet resurgence?
The tablet is dead. This is what the technology experts have been telling us ever since larger smartphone screens became the norm. With the exception of hybrids, it’s not difficult to see why they would come to this conclusion, especially when it comes to Android options. Simply put, very few people are buying them.
However, the original iOS tablet is beginning to buck the trend, with sales actually increasing over the past quarter. As the graph below shows, Apple sold a healthy 14 per cent more iPads than it did a year ago. This is especially impressive when you consider that Apple’s other product categories remained relatively flat over the same period.
Granted, this recent sales growth follows several years of decline. iPad revenue was also up only two per cent, which suggests the new entry-level model drove most of the sales growth. Nevertheless, the results clearly indicate that there’s life in the device yet.
We’re curious to hear what you guys think of standalone tablets. Do you ever use them? If so, is it more for work or entertainment? When it eventually carks it, do you anticipate buying another one? Share your thoughts in the comments!
For those interested, here are the rest of Apple’s key financial results:
- Q3 EPS (GAAP): $US1.67, up 17% year-over-year, vs expectations of $US1.57
- Q3 revenue: $US45.4 billion, up 7% year-over-year, vs expectations of $US44.95 billion
- Gross margin: 38.5%, up 1% year-over-year, vs expectations of 38.2%
- iPhone unit sales: 41.0 million, up 1% year-over-year, vs expectations of 41.1 million
- iPad unit sales: 11.42 million, up 14% year-over-year
- Mac unit sales: 4.292 million, flat year-over-year
- Q4 revenue guidance: $US49 billion – $US52 billion vs expectations of $US49.21 billion
[Via Business Insider]