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Apple released its third-quarter earnings report this afternoon, which narrowly beat estimates with $83 billion in revenue for the quarter. Speaking to CNBC, CEO Tim Cook shared his thoughts on doing business in the current economic environment, growth expectations for the September quarter, and more.

CNBC’s Steve Kovacs spoke to Cook right after Apple shared its third-quarter earnings. On the economics front, Cook said the company sees inflation in its “cost structure.”

Speaking of inflation, he said: “We see it in things like logistics, wages and some silicon components, and we’re still hiring, but we’re doing it consciously.” This particular comment comes after a recent Bloomberg report that says Apple will be cutting costs due to a hiring slowdown.

Although it was a small number compared to last year’s third quarter, Cook noted that “record switching rates” and “double-digit growth in new iPhone users” helped set a new record with $83 billion in revenue.

Apple services also rose 12% in the quarter, which helped offset the decline in Mac, iPad and wearables sales in the third quarter.

Ahead of the September quarter, which will see new product launches like the iPhone 14, Apple Watch Series 8, and more, Cook is optimistic:

“On the outlook broadly, we expect revenue to accelerate in the September quarter despite some pockets of weakness.”

Cook also spoke to Emily Chung of Bloomberg and added that Apple is seeing “significant supply/demand improvement in China,” which could be another upside driver for a stronger September quarter.

Check out more details on Apple’s third quarter results in our full review:

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