In the past few years, Apple is doing Trade-in programs on a large scale, where Apple buys old phones and offers discounts on new iPhones. After buying those old phones from users, they refurbish them and sell them to other companies. Now, I am having a doubt. While Apple refurbishes iPhones and sells them, Apple makes some revenue on those iPhones. Does Apple report those sales revenue of refurbished iPhones under iPhone category of segment reporting while Apple announces those quarterly results? While Apple reports quarterly results, Apple does not have a category called 'Miscellaneous' in quarterly results. This refurbished iPhone sales cannot come under Services segment. And also cannot come under Accesories. So, Most probably, sales of old iPhone also is reported under iPhone segment. Should Apple report refurbished products seperately? Does this issue well known to everyone already (maybe I dont know this).
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Other How Apple calculates iPhone revenue for refurbished phones
- Thread starter zonemagic
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Apple sells an average of over 500k units of new iPhones every day. In contrast, the total inventory of iPhones in the refurb store is a few thousand. The revenue from refurb is basically irrelevant.
The bulk of refurb units never reach the store because they're used as warranty replacements. It's not in the interest of Apple to sell refurbs because it puts pressure on the price of new devices.
The bulk of refurb units never reach the store because they're used as warranty replacements. It's not in the interest of Apple to sell refurbs because it puts pressure on the price of new devices.
