London Daily

Focus on the big picture.
Thursday, Oct 15, 2026

Surge in iPhone sales sees Apple's profits double

Surge in iPhone sales sees Apple's profits double

A surge in iPhone sales, especially in China, has led to a doubling of profits at Apple since the start of the pandemic.

The results reflected "optimism" about the days ahead, Apple's boss said.

Rival tech firm Facebook also reported bumper revenues and profits.

But the social media giant warned Apple's latest software release could undermine its prospects later in the year.

Apple has seen sales of its phones, apps and other devices rise throughout the pandemic, as consumers spent more time working, shopping and seeking entertainment online.

Customers continued to upgrade to Apple's new 5G phones which were rolled out last year, and also bought Mac computers and iPads to tackle working and studying from home, the firm said.

Fitness and music apps also saw a lockdown boost.

Sales to China nearly doubled, leading to overall revenues for the first three months of this year of $89.6bn (£64.2bn), more than 50% up compared to a year earlier.

Profit was $23.6bn, up from $11.3bn for the same period last year.

"This quarter reflects both the enduring ways our products have helped our users meet this moment in their own lives, as well as the optimism consumers seem to feel about better days ahead for all of us," said chief executive Tim Cook.

Paolo Pescatore, analyst with PP Foresight, said it was "another blowout quarter" for Apple.

"The iPhone remains a core product and gateway to the Apple universe," he added, providing Apple with "a key launchpad" to sell further services.

Sophie Lund-Yates, Equity Analyst at Hargreaves Lansdown said customers had proved willing to "splurge on big-ticket items thanks to a global shift to working from home, and the fact people have found comfort in treating themselves".

"The sheer scale of Apple's sales is testament to the grip that shiny embossed piece of fruit has on global consumers," she added.

Facebook, which relies on sales of advertising rather than consumer electronics, also saw bumper revenues and profits in the first three months of the year.

The time spent by consumers at home, and the spending power that shifted online, translated into revenues of $26.17bn, outpacing analysts predictions. Profit was also higher than expected at $9.5bn.

Facebook said in coming months it expected revenue to be stable or grow moderately, and admitted a new feature released this week by Apple - an option for users to prevent apps from collecting user data - could "significantly" hurt its business.


It's not just Apple and Facebook who have posted astonishing profits this week. Google and Microsoft announced eye-watering quarterly figures yesterday too.

That may not be surprising to many. Global lockdowns have made people work and play more online. What's less clear though was whether this was a pandemic bounce? Or have people permanently changed their behaviour? These figures certainly suggest the latter.

Apple's figures across multiple sectors, across the world, are exceptional. In places like China, which has mostly been lockdown-free in recent months, sales were up dramatically. Facebook's figures too, show that advertisers are feeling bullish about online spending.

Almost all of Facebook's revenue is from ads, so when Facebook is doing well, that usually suggests we're buying more things on the internet. Amazon's quarterly figures are out tomorrow, and they too are expected to have had a bumper quarter. Big Tech's pandemic bounce is increasingly looking like a trend.

The two companies are locked in a stand-off after Apple announced the latest version of its iOS operating system this week.

A new feature will prompt device users to decide whether they are happy for their data to be collected by apps. Many are likely to say no.

But user data is a large reason why Facebook's ad-based business model is so profitable. It allows advertising to be targeted and monitored for efficacy.

Facebook saw a rise in monthly active users, however, which were up by 10% at 2.85 billion.

On Tuesday Google's parent company Alphabet reported a record profit in the three months to March as its advertising revenue swelled by a third.

The firm credited "elevated consumer activity online" for its results as populations around the world spent more time indoors at home to avoid the spread of coronavirus.

Newsletter

Related Articles

0:00
0:00
Close
MI5 Warns of Growing Russian Sabotage and Espionage Threats Across Britain
UK Prime Minister Andy Burnham Plans Brussels Talks to Renegotiate Post-Brexit Trade Deal
MI5 Warns of Rising Russian and Iranian Sabotage Threats to British Military Facilities
UK Prime Minister Andy Burnham Pledges Closer EU Ties as MI5 Reveals Russian Brexit Interference
UK Orders Security Review Following Reported Killing of Former Politician Ann Widdecombe
UK Prime Minister Andy Burnham Meets German Chancellor Merz to Strengthen European Security Ties
Nearly 100,000 NHS Patients Treated in Hospital Corridors as England Braces for Winter Pressures
UK Government Rejects US-Russia Diesel Agreement and Reaffirms Sanctions Against Moscow
UK and Germany Agree to Deepen Security and Economic Cooperation Following Berlin Talks
British Prime Minister Burnham Pledges Closer EU Ties During Visit to Germany
UK Announces New Sanctions on 17 Russia-Linked Entities During Foreign Secretary's Ukraine Visit
UK and Germany Finalize Kensington Treaty to Strengthen Defense and Technology Cooperation
Britain Maintains Diplomatic Mission in East Jerusalem Despite Israeli Closure Deadline
English Councils Push Government to Rethink Proposed Funding Cuts
Scottish Homebuilding Falls to Lowest Level in 11 Years
BBC Chief Matt Brittin Defends Restructuring as Staff Challenge Job Cuts
UK Finance Warns High Energy Costs and Bond Yields Are Complicating Fiscal Outlook
UK Adopts All 44 Recommendations on Regulating AI in Healthcare
Chancellor John Healey Prepares Autumn Budget as Borrowing Costs Strain Public Finances
UK Investigators See Strong Indications of Iranian Link After RAF Fairford Security Operation
Laura Trott Pledges Tighter Controls on Political Activism in UK Classrooms
Welsh Ministers Launch Long-Term Review of North Wales and Anglesey Crossings
Welsh Government Orders 18-Month Study of Road Solutions Around Newport
Reform UK MP Sarah Pochin Faces Scrutiny Over £800,000 Second Home Purchase
British Households Grow More Concerned About Fuel and Energy Prices
NHS Leaders Warn of Rising Winter Pressure on Emergency Departments
Kemi Badenoch Proposes £2.3 Billion Employer National Insurance Cut for Young Workers
Middle East Conflict Could Erase UK Fiscal Headroom, Economists Warn
Manchester City Found Guilty of Multiple Premier League Financial Rule Breaches
UK Security Services Find Strong Indications of Iranian Role in RAF Fairford Incident
Costa Coffee Returns to Operating Profit on Iced Drinks and Menu Changes
Asos Warns Customers After Unauthorized Access to Retail App and Data
Kemi Badenoch Puts Growth and Deregulation at Center of Conservative Conference
Campaigners Warn of Deepening Social Care Crisis for Disabled Adults
Study Finds Rising Early-Onset Cancer Rates Among Adults Under 50 in Britain
UK Coach Operators Warn High Diesel Prices Could Force Route Cuts
FCA Opens Independent Review Into Handling of Epstein-Linked Whistleblower Case
Argentina Vows to Block Falkland Islands Offshore Oil Development
UK Chancellor Prepares Fiscal Measures and Welfare Reforms Ahead of Autumn Budget
Sainsbury’s and Morrisons Explore Potential Multi-Billion-Pound Merger
UK Weighs Tariffs on Chinese Electric Vehicles to Align With European Union
UK Threatens Diplomatic Expulsions Over Planned Closure of East Jerusalem Consulate
UK Energy Price Cap Hits Three-Year High as Middle East Conflict Raises Costs
Seventh Arrest Made in Suspected Terror Plot at RAF Fairford
Systemic Education Collapse Sparks Mass Student Uprisings in France
Green Party Faces Backlash Over Resolution Equating Zionism With Racism
Conservatives Debate Scrapping Environmental Rules for New Homes
Cornwall Insight Warns UK Energy Bills Could Approach £2,000 This Winter
UK Coach Operators Warn of Service Cuts as Diesel Prices Exceed £2
Scottish Parliament Approves £68 Billion Budget With New Tax and Property Measures
×