Apple overcomes Trump’s trade war, slow start in AI to deliver surprisingly strong quarter

San Francisco – Apple has shaken a thicket of prices and a sloppy entry into artificial intelligence to accelerate its growth in income during its spring quarter, but the trendy technology society is still faced with a jumper road that could lead to higher prices of the iPhone.

The results of April-June published Thursday came in a context of adversity which raised concerns about the trajectory of an ankle worker of technology which expects to absorb a setback of almost $ 2 billion in prices that President Donald Trump has already imposed and others in the pipeline.

Despite the doubts, Apple remains a machine to earn money.

Cupertino, California, won $ 23.4 billion, or $ 1.57 per share, during its third tax quarter, an increase of 9% compared to the same era last year. Income increased 10% compared to a year ago to $ 94 billion. The company’s iPhone sales jumped 13% a year ago to $ 44.6 billion. In another positive development, Apple’s activities in China showed signs of spell of prolonged discomfort with a bump of 4% income from the same time last year.

All of these figures were much higher than the projections of analysts who direct investors, helping to increase the recently dropped equity share by approximately 3% in prolonged exchanges. But unexpected and solid performance does not necessarily mean that it has a smooth navigation for Apple.

Trump’s trade war targeting products abroad such as the iPhone and the start of Apple’s stumbling blocks in the Pivot transition to AI push investors to wonder if the company will remain at the forefront while the industry enters a new era.

Before the publication of Thursday’s report, Apple’s equity price had plunged 17% so far this year to eliminate more than $ 600 billion in shareholders’ wealth and eliminate the company from its perch as the most precious business in the world. Meanwhile, AI Nvidia flea manufacturer’s actions increased by 32% this year and AI Pacesetter Microsoft actions gained 27%, propelling the market value to 4 dollars.

Even if Apple remains very profitable, the prices that Trump has already imposed on China and other countries cost the company $ 800 million in the last quarter, and CEO Tim Cook told analysts at a conference call that the costs would exercise an additional $ 1.1 billion in the July-September period. The company also predicted its income for the July-September period would increase at a slightly slower pace than the last quarter.

Cook said the financial damage to prices could have been much higher, which indicates to analysts most of the components of iPhones and other Apple products are always protected by temporary exemptions that Trump administration has granted most electronics in mid-April.

Apple has softened Trump’s prices on products made outside the United States in the last quarter by shifting its production of China iphones in India. But the administration intends to impose a 25% tariff on India goods, a decision that could intensify the pressure on Apple to increase the prices of the next generation of iphones which should be released in September. Cook was not asked about the possibility of an increase in iPhone during his remarks Thursday to analysts.

According to Cook, consumer fears about prices that increased iPhone prices stimulated an unusual wave of iphones and Mac computers in the United States at the beginning of April, according to Cook. Apple estimated that Spike represented approximately a percentage of its 10% increase in the last quarter, which results in about 82 million dollars in sales. Cook also credited an increase in consumers who were delighted with the latest model to help Apple sell its 3 billionth iPhone since the start of the aircraft in 2007.

Trump put pressure on Apple to do all of his iPhones in the United States, a decision which, according to analysts, would take years to make and finally double or triple the average price of about $ 1,000 of the aircraft. But Cook told analysts on Thursday that the company was pushing to increase its production of computer fleas in the United States as a way of avoiding prices. “We will finally do more in the United States,” he said.

Meanwhile, Apple always tries to make the IA promises it made last year when it unveiled a range of new iPhone features built on revolutionary technology, which raises that change would stimulate millions of people to upgrade their old devices. But Apple has still not delivered an upgrade of the AI which was supposed to develop its often virtual assistant which has often reached Siri, one of the main reasons underlying the dull growth of iPhone sales.

“Although these figures certainly buy Apple time, the fact is that investors – and consumers – are focused on laser on IA innovation. And Apple still has a long way to go in this game,” said Thomas Monteiro, Investing.com analyst.