Apple's financial report for the third quarter of fiscal year 2024 revealed impressive results for the iPad and Mac series, with the iPad showing particularly strong performance. Supply chain sources indicate that both product lines are expected to maintain steady momentum in the second half of the year. Furthermore, the anticipated launch of a foldable iPad in 2025 is expected to generate significant consumer interest.
While Apple's financial reports typically focus on iPhone revenue, which represents the largest portion of the company's sales, the third quarter saw supporting products take center stage. The iPad achieved quarterly revenue of US$7.009 billion, marking a 24% year-over-year increase. The Mac series also experienced growth, with a 2% increase.
Although the iPad's year-over-year increase was more pronounced, the Mac series maintained relatively consistent revenue over the past three quarters, with year-over-year growth rates of 0.64%, 4.06%, and 2.47% from the first to third quarters, respectively.
In contrast, the iPad showed larger fluctuations, with the third quarter's 23.69% year-over-year increase following decreases of 25.25% and 16.65% in the first and second quarters, respectively. The supply chain attributes these differences to the transition between old and new iPad models.
At Apple's online product announcement event in May, the company introduced the latest M4 chip and new iPad Pro and iPad Air models, ending a two-year period that saw no updates and driving a surge in iPad's shipment momentum.
M4 chip and new models drive growth
At Apple's online product announcement event in May, the company introduced the latest M4 chip along with new iPad Pro and iPad Air models. This update, following a two-year period without significant changes, has driven a surge in iPad shipment momentum.
Currently, Apple's iPad assembly is handled by three manufacturers: Foxconn, BYD, and Compal. Supply chain observations indicate that while the iPad's scale has not expanded significantly in recent years, and its profits are limited, Chinese manufacturers have gradually taken over as Taiwanese suppliers withdraw from the iPad supply chain.
The Mac supply chain remains relatively stable, with Quanta and Foxconn as the two major suppliers. Despite Apple's pursuit of a multi-supplier strategy and support for Chinese manufacturers, Quanta and Foxconn still account for 95% of MacBook shipments.
Industry analysis suggests that the overall notebook market has solidified its position post-pandemic, proving that notebooks cannot be replaced by smartphones and tablets. The Mac is expected to follow this trend, with modest growth momentum anticipated in 2024.
DIGITIMES Research estimates that Apple's MacBook shipments will increase by 19.3% quarter-over-quarter in the third quarter of 2024, compared to a 3.6% increase in the overall notebook market. This momentum is attributed to a low base in the second quarter and the stimulating effect of the Apple Intelligence announcement.
The anticipated inclusion of the newly announced M4 chip in the MacBook Pro later this year is expected to further drive demand. Industry rumors suggest that the MacBook Pro may feature a new design in 2025, though specifics remain unconfirmed.
More concrete information from industry sources indicates that Apple plans to introduce a foldable design, starting with the iPad. The announcement could come in the first half of 2025, and the launch of a foldable iPad is expected to further boost the iPad's sales momentum.
