Apple reports lower-than-expected iPhone sales; stock slips
Cupertino, Calif.-based Apple Inc has reported lower-than-expected iPhone sales for the Christmas quarter, despite a whopping jump of 67 per cent in the Chinese market.
The tech giant announced that it sold 47.8 million iPhones in the three months through December 29. The reported figure is considerably lower than analysts' forecast average of nearly 50 million.
Revenue grew 18 per cent the quarter year-on-year to $54.5 billion, down from analysts forecast average of 54.9 billion, while profits remained flat on the previous year at $13.1 billion.
As the iPhone-maker is known for regularly outperforming analysts' expectations, the lower-than-expected quarterly figures prompted many the say that the iPhone may be losing its attraction.
However in the emerging market of China, the iPhone sales jumped to 17,000 in the quarter, from 7,000 in the corresponding period of the previous year. Total revenue jumped from $4.08 billion to $6.83 billion.
The iPad performed as expected. The company sold nearly 23 million iPads in the October to December quarter, up from 15.4 million in the corresponding period of the previous year.
Following the announcement of the results, stock in Apple slipped 10 per cent to $461 a share. Since hitting its all-time high of $705.07 a share in September last year, the stock has shed 30 per cent. Last week it slipped below $500 a share, for the first time in eleven months.