Apple reports best ever quarter for Apple TV sales

During the release, Cook explained, “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”.

This compared to a profit of $18 billion with revenue of $74.6 billion made for the same period one year ago.

Apple has reported the largest single quarter profit in corporate history, but is predicting the first decline in iPhone sales later this year. Revenue from services segment swelled 26%, while the revenue from other products, which includes the new smart watch grew 62%.

For the period, a total of 75.80 million iPhone units were sold, slightly higher than last year’s 74.50 million units.

The company’s shares, which have fallen 5 percent this year, bounced around in after-hours trading and were down more than 2.6 percent.

All eyes will now be on a budget iPhone 5se, a special edition with a four inch screen and revamped 5c features which is expected to be unveiled in March along with a new range of Apple watches.

Apple Inc is not even immune to a slowing market for smartphones. Wall Street analysts expected $76.5 billion in revenue and 75 million units sold for the quarter. The iPad continued its nosedive, with 16.1 million units sold in the quarter, a huge 25 percent decline year on year. This will also be the first time in thirteen years that Apple will report a decline.

Two thirds of Apple’s revenue is now generated outside the U.S., Cook explained, “so foreign currency fluctuations have a very meaningful impact on our results”.

Despite Cook’s upbeat take on the rest of Apple’s business, the company may now be scrambling to boost iPhone sales with its most traditional consumer base.

During its most recent quarter, the company earned $8.9 billion from installed base services. The iPhone may still dominate Apple’s overall business – it accounted for 68 percent of revenue in Apple’s first quarter – and with the so-called iPhone 7 likely to launch later this year, it will continue to be the point on which Apple pivots.

The company reported sales of “other products” – including the smartwatch and Beats music products – was $4.35 billion in the past quarter, but did not break down those figures.