Apple reported another quarter of declining revenues in China but CEO Tim Cook said he remained "very enthusiastic" about the opportunity in the world's largest smartphone market, with analysts suggesting the upcoming iPhones could return the company to growth.
The U.S. technology giant reported fiscal second quarter earnings on Tuesday that beat expectations, but its sales figures showed it sold fewer iPhones than the market had expected, and revenues also missed Street estimates.
One area weighing on revenues was China sales, which fell 14 percent from last year to $10.7 billion in Apple's March quarter. On a quarterly basis, China revenues fell 34 percent. Worryingly, the annual dip came despite Apple reporting a 26 percent decline in the fiscal second quarter of 2016, meaning there was an easier comparable.
Still, Cook said that the company had total store revenues in China up 27 percent over the last year, while comparable store revenue rose 7 percent. He pointed to an improvement in the last two fiscal quarters of 2016.