Apple Surges Past Four Trillion As Strong iPhone 17 Demand Offsets China Weakness

Apple has achieved a significant milestone, surpassing a market valuation of £4 trillion for the first time, after releasing strong fourth quarter results that exceeded market expectations. The Cupertino-based technology giant reported quarterly revenues of $102.5 billion, edging ahead of consensus estimates and reflecting robust demand for its latest iPhone 17 range. Net profit rose by an impressive 86 per cent to $27.5 billion, comfortably beating analyst forecasts.

The strength of the iPhone 17 lineup played a crucial role in driving these figures. The new models, launched in September, have attracted buyers in key markets owing to improvements including a sharper display, increased storage capacity, and a more advanced processor. Data from Counterpoint research indicate that early sales of the iPhone 17 outperformed its predecessor by 14 per cent in both the US and China, despite ongoing concerns about competition from established rivals such as Samsung Electronics.

Chief executive Tim Cook acknowledged that Apple had struggled to meet demand for several iPhone 17 models and for certain iPhone 16 variants during the quarter. Some delays also hampered the launch of the iPhone Air in China, where the device’s record-breaking thinness and bold design overhaul represent a key part of Apple’s efforts to differentiate its products in a fiercely competitive market.

Revenue from China fell 3.6 per cent to $14.5 billion, missing analyst projections. This shortfall was offset by solid performance in other regions, as well as the continued popularity of Apple’s flagship handsets, which comprised more than half of the company’s overall revenue in the last financial year. Since the beginning of August, Apple’s share price has climbed more than 30 per cent, and it closed up 4.4 per cent in after-hours trading following the results announcement.

Looking ahead, Tim Cook projected double digit growth in iPhone sales for the crucial holiday quarter and expects company-wide revenue to increase by 10 to 12 per cent year on year, exceeding market forecasts. Analysts suggest the introduction of the iPhone Air with its innovatively slim design will help to counter competition and maintain Apple’s market dominance.

While the company has faced criticism for lagging in the artificial intelligence race, with delayed upgrades to its Apple Intelligence suite and voice assistant Siri, these reservations have been overshadowed by the commercial success of the latest iPhones. The brand’s ability to achieve record sales and a multitrillion pound valuation highlights its continued resilience and appeal amid a dynamic and challenging global landscape.