US iPhone shipments grew 16% YoY
Apple’s (AAPL) iPhone shipments grew 2.9% in fiscal Q2 2018[1. Fiscal Q2 2018 ended in March 2018.] from fiscal Q2 2017. While it’s a slight improvement from -1% in fiscal Q1 2018, the growth rate has slowed down drastically from two years ago.
The first-quarter growth rate is decent compared to a -2.9% YoY decline in the global smartphone market, according to IDC (International Data Corporation).
A recent report by research firm Counterpoint estimates that US iPhone shipments grew 16% YoY in the first quarter of 2018 compared to an 11% decline in the overall US smartphone market.
Apple is catching up with Samsung globally
Apple’s market share in the United States was 42% in the fourth quarter, which was almost twice that of second-place Samsung (SSNLF) at 22%. The South Korean electronics giant saw its US shipments fall 4%, according to IDC’s report. Samsung is also seeing a decline in the global smartphone market. According to the report, its global shipments fell 2.4% in the first quarter of 2018 with its Galaxy S9 having sluggish sales.
However, we need to take this report with a grain of salt. A 16% growth in the United States would have probably propelled Apple’s overall iPhone sales by more than 2.9% since it’s an important market for the company. The takeaway, though, is that growth in iPhone sales is not as bad as the rest of the market, especially since it costs much more than most smartphones.