TOP NEWS
Apple and the iPhone
Apple's results were well-received late on Tuesday, as revenue rose 1% from a year earlier, eclipsing analyst expectations by about $400 million. But that had little to do with Apple's flagship product, the iPhone—sales fell 12% in the quarter, and it was the first time since 2013 that the phone didn't make up the majority of Apple's quarterly revenue. Customers are now holding onto their phones longer, and that means Apple is increasingly dependent on other services. Fortune / WSJ
Samsung's Smartphone Demand Drops
Just as Apple has seen a declining appetite for new smartphones, Samsung has felt the struggle, too. The company's net profit dropped 53% in the quarter, largely on the back of softening demand for buying new phones and gadgets. In the mobile unit, revenue rose, but operating profit dropped 42%—signs of promotions to push sales, rather than fresh demand, which had fueled profits in the past. But other parts of its business have also felt the crunch, largely from trade tensions between the U.S. and China, as well as trade restrictions from Japan. WSJ
Airbus Earnings Take Off
Amid a painful year for its rival, Boeing, Airbus reported that earnings more than doubled in the first half of 2018, on the back of stronger deliveries. That has put it on course to be the world's largest planemaker, eclipsing a Boeing hobbled by the grounding of the 737 Max. However, it was not all good news for Airbus, which is struggling with delays at a plant in Hamburg, and was loudly sounding the alarm on Wednesday over the risks of a no-deal Brexit. FT / Reuters
Ex-Audi Boss Charged
German prosecutors on Wednesday charged Rupert Stadler, formerly chief executive of German carmaker Audi—part of the Volkswagen group—in connection with the emissions scandal. The office of the public prosecutor in Munich said Stadler was one of four defendants charged with fraud, false certification, and criminal advertising practices. Stadler was already arrested in June of last year as part of the emissions scandal, and spent months in prison. Reuters
Back-to-School Shopping Trends
Between August and September this year, research indicates shoppers will spend nearly $15 billion on school supplies. Deloitte's 2019 back-to-school report looks at the season's top shopping trends, including when, where, and how parents are likely to shop.
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AROUND THE WATER COOLER
Death of India's Coffee King
After a massive search, Indian authorities said the body of VG Siddhartha, the "coffee king of India" was recovered from a river in Karnataka. Siddhartha, the boss of Coffee Day Enterprises—India's biggest coffee shop chain—had been missing since Monday. His death has left questions about the future of the company, whose shares were sinking sharply on Wednesday. He had recently entered into talks with Coca-Cola over potentially selling part of the business, which is one of India's most ubiquitous domestic brands. FT
U.S. Women's Soccer Coach Steps Down
After successfully bringing the U.S. women's soccer team to consecutive World Cup titles, coach Jill Ellis will be stepping down in October. The time frame isn't unusual, although there had been speculation she might stay on until the 2020 Olympics in Tokyo. In addition to being the coach for the women's team, she has been development director for the U.S. Soccer Federation and is the only woman to have the U.S. Soccer Pro License, the sport's top certification in North America. WSJ
Family Offices and Dirty Money
In London, the wife of the former chairman of Azerbaijan's biggest bank—now in jail—is in court, facing questions about how the couple afforded their elaborate lifestyle, complete with a $14.3 million townhouse in Knightsbridge and shopping sprees at Harrods. She's being forced to do so under a new legal tool in the U.K. called an "unexplained wealth order," and the case is also raising questions about the tools used to allegedly launder the money: including "Swiss army knife"-style family offices. Bloomberg
Even Funerals Are Being Live Streamed
There's been a rapid shift in the funeral industry: funerals are offering increasingly high-quality live streaming, a trend that's already occurring in other kinds of family events, including weddings. But the biggest takeaway? This is a development in tech that families are usually extremely grateful for. It allows more friends and family to watch the broadcast, and it means the event can be rewatched easily, which can help with the grieving process. Wired
This edition of CEO Daily was edited by Katherine Dunn. Find previous editions here, and sign up for other Fortune newsletters here.
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