Apple’s Q2 iPhone Shipments in China Likely Soared 25% – Analysts
2022.07.21 15:18
Apple’s (AAPL) Q2 iPhone Shipments in China Likely Soared 25% – Analysts
By Senad Karaahmetovic
New data showed that China’s smartphone shipments soared in June, following two difficult months for tech companies amid COVID lockdowns.
Shipments were up 9.2% in June on a year-over-year basis with Apple (NASDAQ:AAPL) and Samsung (KS:005930) leading a rebound. Last month, smartphone shipments were soft in China (down 9% YoY).
Apple posted a strong monthly performance with iPhone shipments reportedly up 227% YoY, although the comps were relatively easy. Strong performance in June prompted a UBS analyst to project that Cupertino-based titan shipped nearly 25% more iPhones in the June quarter.
“We estimate Apple’s share of China smartphone shipments in the June quarter was 11.4%, up from 8.0% a year ago. Given the strength in China and our checks, we believe our 42 million June quarter iPhone estimate (down 9% YoY) is likely conservative and already captures the earlier COVID disruptions suggesting upside is likely ahead of earnings next week,” the analyst told clients in a note.
An analyst from Goldman Sachs agrees and adds that “this strength sets up well for Apple’s June QTR earnings print.”
“We calculate that iPhone shipments were up +25% Y/Y in CQ2 accelerating from +4% Y/Y growth in CQ1. This is consistent with our checks suggesting very strong luxury goods demand in China as lockdowns eased. It is also consistent with our constructive view of Apple’s demand in the June quarter,” he wrote in a research note.
