Apple Sales Drop On Next iPhone Release

The flagship iPhone sold 50.7 million units on the quarter, down one per cent, year on year.

The weak net profit gain caused Apple’s shares to fall by more than 2% during after-trading hours, according to a report by CNBC.

The company showed off its new iPad, an updated iPhone SE, and a very special edition of the iPhone 7.

Apple’s iPhone business is sailing squarely into the doldrums between new models.

Demand then traditionally tails off ahead of the launch of the next range – which is tipped to include features such as wireless charging, 3-D facial recognition and a curved display.

USA tech giant Apple Inc reported a drop in iPhone sales during its fiscal second quarter, but earnings came in higher than analysts expected, while it pleased investors further with promises to return some of its huge $257bn cash pile. It reported net income of United States $11 billion for the second quarter as compared to USA $10 billion a year ago.

Services grew 18 percent to $7 billion, and Cook said that customers were paying for 165 million active subscription services from Apple and third parties.

Analysts at GlobalData Retail noted that Apple’s revenue from iPhones was $7bn less than the same period two years ago.

Of possible more concern to Apple’s management was the slightly below par figure for Services Revenue from those locked in to Apple’s heavily barricaded ecosystem.

Apple’s business has been widely reported to be growing in China in recent years, however, revenues from the region dropped to $10.7 billion from the same time last year, where revenue was $12.5 billion. Yet the product still managed to beat sales expectations of 8.6 million units.

He was asked whether the California-based company is underpenetrated in India and if it needs to work with the government to have Apple-owned stores or production given the great opportunity in the country. We saw that in the March quarter and expect that to continue into the June quarter, but for all the other commodities, we see prices declining, Maestri said.

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