In its quarterly report, the iPhone maker said it earned $1.67 per share, one penny above the $1.66 per share analysts were expecting.
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However, it was the third quarter in a row of falling iPhone sales. Revenues of $46.9 billion were in line with analysts’ modest expectations; earnings per share of $1.67 beat expectations.
Revenue: $46.9 billion (2016), $51.5 billion (2015); down 9%.
For its fiscal fourth quarter, Apple reported net income per share of $1.67, down from $1.96 a share a year earlier.
Services (including Apple Pay, Apple Care): $6.3 billion in revenue.
iPhone sales of 45.5 million units led to revenues of $28.1bn, down 13 per cent on the year-ago quarter. Apple also said it sold 9.27 million units of iPad and 4.9 million Mac computers.
Apple stock was down 2.5% in after hours trading following the earnings release.
Shares of Apple Inc.
But the fact is overall sales were down on a year ago – admittedly a record one – by 8%.The decline in sales hit the company’s profits, which fell 14% to $45.7bn. In the past 3 months, Apple was able to sell a total of 45.5 million iPhones and 9.3 million iPads. IPhone sales are expected to come in at 75 million units.
Apple is hoping to create more buzz around its products ahead of the festive season when it launches its new MacBook on Thursday.
Tim Cook, Apple’s chief executive, said improvements in the company’s services business and the introduction of its flagship iPhone in particular were improving the company’s outlook for the coming quarter.
Despite the product slump, Apple and its investors have eyes into the next quarter.
Mac revenue continued its decline with a 17 percent drop year-over-year, a trend Apple may be able to reverse by refreshing its MacBook lineup this week.
And, as expected, profits fell by 19% in the fiscal fourth quarter to $US9.0 billion.
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Unfortunately, Apple’s sales weren’t so good for the entire 2016 fiscal year, and the company saw its first annual sales decline since 2001.
