Apple losses $6 billion due to chip shortage and manufacturing delays in Q4, shares Time Cook

Apple losses $6 billion due to chip shortage and manufacturing delays in Q4
Image Credits: Anthony

Apple reported solid profitability for its fourth fiscal 2021 quarter today, citing all-time highs in its services and Mac sectors. The corporation reported $83.4 billion in sales, a 29 percent growth year over year, and earnings per share of $1.24. The profits figure fell short of the $84.85 billion predicted by Wall Street.

According to CEO Tim Cook, supply chain constraints had a significant impact on financial results this quarter. “We had a really robust performance despite larger-than-expected supply restrictions, which we estimate to be approximately $6 billion,” Cook said, blaming the shortfalls on “industry-wide chip shortages that have been spoken about a lot and COVID-related production problems in Southeast Asia.” Apple predicts a larger loss from supply chain concerns in the December quarter, according to the company’s earnings call on Thursday.

The iPhone 13 and 13 Pro, a new iPad mini, the ninth-generation iPad, Apple Watch Series 7, third-generation AirPods, and, most recently, the widely awaited MacBook Pro powered by Apple silicon have all been released recently.

Although the newest iPhones were not delivered until late in the quarter, the iPhone business as a whole maintained a significant pace, increasing 47 percent year on year. The iPad was also up 21% from the previous quarter.

Apple, like other large tech businesses, is facing huge supply chain challenges: high-end iPhones are still difficult to locate in stock at Apple retail outlets, and its 14-inch and 16-inch MacBook Pros are already severely back-ordered.

If you don’t want to deal with extended shipping delays, the best solution is to check supply at local Apple stores on a regular basis. Even yet, it’s not a foolproof technique, and the fact is that purchasing Apple’s latest goods is more difficult than in previous years.