What’s keeping the CEO from the company that reported probably the most profitable quarter ever up during the night?
For Apple Inc.’s Tim Cook, it’s the “economic challenges around the world.”
“This can be a huge accomplishment for that company especially due to the turbulent world around us,” said Cook, soon after running through the company’s quarterly financial highlights around the business call.
Ever since the surprise devaluation from the Chinese yuan in August, the chance of a tough landing inside the world’s second- largest economy remains front-of-mind for investors.
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Cook didn’t do anything whatsoever to appease those concerns. While mentioning that Apple had been performing quite well in China last summer – unlike another firms – he suggested the forward outlook was not as bright.
“Notwithstanding these record results, we began to see some indications of economic softness in Greater China captured, especially in Hong Kong,” he said.
Meanwhile, other major markets for Apple, including Brazil, Russia, Japan, Canada, southeast Asia, Turkey, and also the eurozone happen to be roiled by slow economic growth, the downturn in commodities prices, and weakening currencies.
“Our email address particulars are particularly impressive because of the challenging global macroeconomic environment,” said Cook. “We’re seeing two extremes unlike anything we’ve experienced prior to over the place we glance.”
For Apple, which generates roughly two-thirds of the revenues from U.S., this can be no small matter. The lofty U.S. greenback crimped revenues received abroad, with Cook specifically citing the adverse effect of weakness within the British pound, euro, Canadian dollar, Aussie dollar, Mexican peso, Turkish lira, Brazilian real, and Russian ruble.
According to arrange, these forex fluctuations shaved Fifteen percent off revenues the tech powerhouse earned abroad according to its fiscal fourth quarter.
Bloomberg.com
