Apple says quarterly revenue fell for the first time in more than a decade, as iPhone sales fell compared with a year ago. That’s putting more pressure on the world’s most valuable public company to come up with its next big product.
Apple sold more than 51.2 million iPhones in the first three months of 2016 while racking up $10.5 billion in quarterly profit. That was more than many analysts expected, but still fewer than the 61 million iPhones sold a year earlier.
The company is battling perceptions that its latest iPhones aren’t dramatically different from previous models, as overall smartphone sales are slowing around the world. Applealso sells iPads, Mac computers and other gadgets, but nearly two-thirds of its $50.6 billion in quarterly revenue came from iPhones.
Revenue was down 13 percent from the January-March quarter of 2015. And the company surprised analysts by forecasting another revenue drop of 13 percent or more in the current quarter. The forecast drove Apple’s stock price down more than 5 percent in extended trading Tuesday, after closing at $104.35.
Story by the Associated Press