Apple India's revenue up 36% to Rs 67,122 crore

BENGALURU: Apple's performance in India continues its impressive trajectory, maintaining double-digit growth and mirroring the company's strong results in other emerging markets such as Mexico, Brazil, and the Middle East.

Apple India's revenue rose 36% to Rs 67,122 crore ($8 billion) in the 2023-24 financial year compared to the corresponding period last year. Its net profit rose 23% to Rs 2,746 crore during the period, data sourced from data intelligence Tofler showed.

Apple paid an interim dividend amounting to Rs 9.4 lakh per share. This was distributed across 35,002 fully paid-up equity shares, with the total dividend payout reaching Rs 3,302 crore for the 2023-24 financial year.

During Apple's earnings calls held in October, its CEO Tim Cook expressed strong enthusiasm for India's performance. He was upbeat about India registering an all-time revenue record. “We also opened two new stores during the quarter, and we can't wait to bring four new stores to customers in India,” he said in the investor call.

Apple's strategic retail expansion is also boosting iPhone sales. India's premium smartphone market is experiencing significant growth, and Apple's timing couldn't be better. The premium smartphone segment in India, consisting of devices priced at Rs 30,000 and above, has witnessed substantial growth. This category now represents 17% of overall sales volume accounting for 45% of the total market value.

Tarun Pathak, research director for devices and ecosystems at Counterpoint Research, said Apple's momentum in India aligns perfectly with the growing premium segment trend. “While the iPhone remains the major driver, with revenues expected to cross the $10 billion mark in 2025, there will be growth in all other hardware categories. Sales of Apple's, including Macs, iPads, watches, AirPods, and their services division, are projected to see substantial increases as Indian customers embrace its other product offerings,” he said.

Navkendar Singh, associate VP in DC India, said, Apple has been doing well in the past few years, especially in the smartphone market. He said Apple's iPhone deliveries in India demonstrated robust expansion in recent years, achieving 9.7 million units last year, with projections indicating 12 million units for the current calendar year. He said this performance is particularly noteworthy, considering the devices command nearly triple the market's average selling price, marking a significant accomplishment for Apple's presence in the Indian market. Its products maintain an average selling price exceeding $950, with most units sold belonging to the above $700 category. “The January-September period saw the total shipment for Apple in India was 9 million, recording a 35% growth year-on-year. In the festive period, Apple recorded 4 million shipments growing by 58.5% year-on-year with an 8.6% market share led by offers and discounts,” Singh said.

Counterpoint’s Pathak said Apple's market presence continues to strengthen, particularly expanding its channel presence across India which has contributed to its growth. Apple maintains its aspirational status, with affordability being the primary barrier for consumers. “However, the availability of financing options has made iPhones more accessible to a broader consumer base. According to our consumer research, 6 out of 10 users in the premium segment buy smartphones through a financing scheme. The timing of Apple's retail expansion is strategic, as it enables the company not only to sell and manufacture millions of iPhones annually but also to promote other Apple devices and services. This approach helps integrate customers into the Apple ecosystem whilst providing an exceptional retail experience," he said.

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