With iPhone sales sagging, Apple’s earnings suffer

For more information on Apple, visit the IBD Stock Checkup. And for good reason: They’re just about the only part of Apple’s business that’s growing right now. There are more than 1 billion Apple devices already in use all over the world, though, many of which don’t bear as much revenue for Apple as they could.

As per analysts’ estimates Apple sold approximately 40 million iPhone units during the recent quarter, bringing lifetime sales up to 987 million units. Overall results were slightly better than forecast by Wall Street analysts, who said consumers just aren’t as excited about the newest iPhone models.

Apple reported $42.4 billion in quarterly revenue for its third quarter 2016, and quarterly net income of $7.8 billion ($1.42 per share).

Apple also sold fewer iPads, Macs and smartwatches. The first time happened last quarter. But if Apple can’t count on making services money in China, that narrative becomes a harder sell.

Sales of the iPhone fell to 40.4 million units, down from 48 million a year earlier. “We understand China well and we remain very, very optimistic about the future there”.

I think the deployment of AI technology is something we will excel at because of our focus on user experience.

Apple has not released an official announcement about the MacBook Pro 2016.

Separately, Apple has been tweaking the App Store itself.

While there’s no definite report yet on whether Apple will finally upgrade the internal memory of their upcoming flagship, one thing is certain – fans should expect this change to raise the price. The period also gets a boost from the first days of new iPhone sales.

Some of Apple’s online ventures are facing challenges, however.

That shift in the business bodes well for Apple because gross margins on services are better than the average for the rest of the company, Maestri said. Apple’s iCloud storage service, meanwhile, has a host of online competitors.

iPhone sales did lift from an expected 39.9 million, and Apple can thank the new SE model for that. Leaked images of the upcoming of the new iPhone 7 handsets, shows it in three different sizes. There is also bad news for the customers that the company might struggle to meet the demands due to the damage caused bt the natural disaster in Taiwan to Apple supplier TSMC’s factories.

Still, the collective hardware sales and revenue from Apple’s other services and products totaled $42.4 billion. Apple is expected to introduce new watch features later this year.