Apple’s smartphone shipments in China jumped sharply in the second quarter, even as the country faced Covid-related lockdowns in major cities, according to a new report.
In the second quarter, Apple shipped 9.9 million iPhones in China — up 25% year-on-year, market research firm Canalys said in a report published Friday.
UBS analysts also said that Apple likely saw almost 25% year-on-year growth in iPhone shipments in China in the second quarter of 2022, in a note published earlier this month.
In China, the Cupertino giant held up relatively well in the April to June period despite a 10% slump in the the country’s overall smartphone market as a result of a resurgence in Covid, which sent major cities like Shanghai into strict lockdowns.
“Apple has been also enjoying resilient demand in the high-end segment, despite the severe lockdowns in its key cities,” Toby Zhu, analyst at Canalys, said in a press release. “The vendor’s active marketing during the promotional period has also been a key contributing factor.”
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In early June, Shanghai and Beijing began to relax their lockdown measures and most of Apple’s growth in China came during the month. UBS forecasts that June iPhone shipments surged 227% year-on-year.
Apple CEO Tim Cook said the reopening of cities plus a major weeks-long shopping shopping festival called “618” — which culminates on June 18 — helped the June recovery.
“We did see a lower demand based on the Covid lockdowns in the cities that the Covid lockdowns affected. And we did see a rebound in those same cities toward the end of the quarter in the June timeframe,” Cook said on Apple’s earnings call.
“And in particular, in the run-up to June 18, which as you know, is a major shopping holiday in China,” he added.
“We think that the net of that was still a negative, but some of it did rebound by June time frame.”
Apple on Thursday reported Greater China revenue, which includes Taiwan and Hong Kong, declined 1% year-on-year to $14.6 billion.
The company also said its services revenue, which includes sales from its App Store and Apple Music, hit a June quarter record.