Apple forecasts 45%-46% gross margin for December quarter
In short
Apple said its gross margin should be 45% to 46% in the quarter ending in December. That is lower than 47.9% in the fourth quarter, according to a publisher summary.
The main reason given is rising memory costs. The report does not say how much this will affect Apple’s sales or profits.
What the reporting says
Apple said it expects gross margin of 45% to 46% in the quarter ending in December, compared with 47.9% in the fourth quarter. The publisher-supplied summary says rising memory costs are weighing on margins. The immediate implication is a softer profitability outlook for the holiday quarter, but the reporting does not state how much revenue or earnings could be affected.
Why it matters
Apple said it expects gross margin of 45% to 46% in the December quarter, below 47.9% in the fourth quarter. The publisher-supplied summary links the weaker outlook to rising memory costs. That points to pressure on Apple’s profitability in the holiday period, but the reporting does not provide the size of the cost increase, revenue guidance, or any change in demand.