Apple’s revenue shrank again
Apple’s (AAPL) revenue growth in its second quarter of fiscal 2019 (quarter ended March 2019) fell 5.1% YoY, the company’s second straight quarter of decline. The company’s revenue was dragged down by the 17.4% decline in its iPhone revenue. However, Apple’s saving grace was robust growth in its services revenue, which now makes up nearly a fifth of the company’s revenue, growth in its Wearable, Home and Accessories segment, and rare growth in its iPad revenue.
The Wearable, Home and Accessories segment made up nearly 10% of Apple’s revenue compared to 6.5% in the same quarter last year. The company’s fast-growing units, Services and Wearable, Home and Accessories, made up nearly 30% of the company’s revenue. This number is likely to increase in the coming years, especially as Apple’s focus shifts to services like its upcoming streaming service.
Apple’s smartwatches are gaining more traction
Apple’s smartwatches have become very popular. The Apple Watch Series 4, which has advanced health features, has apparently saved several lives. Smartwatches, which were popular among younger demographics, are now also gaining popularity among older people.
The company generated $5.13 billion from its Wearables, Home and Accessories segment, a 30.0% increase YoY. Currently, Apple Watch is the company’s best-selling hardware.
According to new research by Counterpoint, Apple’s smartwatch shipments grew 49% YoY during the March quarter, consolidating its position as the best-selling smartwatch in the world. According to the report, Apple had a 35.8% market share in the segment.