Apple’s channel inventory takes a hit

Fruity cargo cult Apple’s phenomenally successful figures revealed a surprise inventory hole among channel partners which CEO Tim Cook put down to supply constraints.

For those who came in late, Apple reported its best-ever June quarter despite the impact of the coronavirus pandemic. Revenue for the three-month period ending 30 June 2020 climbed 11 percent to $59.7 billion, while operating profit was up 13.4 percent at $13 billion.

Cook said that Apple did not really talk about channel inventories any more but there did appear to be a hole there.

“But to give you a perspective sitting here looking at it, on iPhone the inventory is slightly less than it was a year ago and that’s I’m saying that at a quarter end point, so at the end of Quarter 3.

“And obviously iPad and Mac are constrained and so both of those are less than they were in the year ago quarter.”

Apple did not reveal much on how its B2B business has performed, only to say that its products continue to be in demand in the healthcare sector as the battle against COVID-19 continues.