Apple predicts first revenue decline in 13 years

Apple warned sales will drop for the first time after in 2013 and has reported the slowest increase in iPhone income because the item ‘s 2007 start.

It didn’t hurt that the company that Steve Jobs built sold a record 74.8 million iPhones during the fourth quarter, not to mention 16.1 million iPads, and 5.3 million Macs.

Apple, during the all important quarter that includes the holidays, sold 74.78 billion units of iPhones, compared to a total of 74.5 million during the previous holiday quarter.

Apple’s results were hammered by a more expensive dollar – which makes their sales overseas less valuable – and economic turmoil, especially in large emerging markets like Brazil and Russian Federation. The company posted quarterly revenue of $75.9 billion and quarterly net profit of $18.4 billion, or $3.28 per diluted share.

“In Q2 past year, the company recorded $58 billion in revenue – meaning Apple’s upcoming quarter could be the first negative growth quarter in recent memory”, TechCrunch noted.

iPhone sales peak each year in the holiday season, and they were flat in the last quarter of 2015 relative to the same period a year prior.

Apple is predicting the first ever decline in iPhone sales later this year.

“Our team delivered Apple’s biggest quarter ever, thanks to the world’s most innovative products and all-time record sales of iPhone, Apple Watch and Apple TV”, Tim Cook said in a press release.

Along with therecently revealed record-breaking first quarter results, Apple has also disclosed the number of active Apple devices for the first time.

Then there’s the expected launch of the iPhone 7 this fall, where investors hope Apple can restart growth.

Per usual, no Apple Watch sales figures were divulged.

Even if hardware sales continue to slow, devices already in the market will continue to generate revenue from services, Cook implied.

China’s 4G users and a booming middle-class market, which is expected to hit 500 million in 2020 from 50 million now, will propel demand for iPhones and iPads over the long term, said Cook.