Apple announces its first decline in revenue in 13 years

Apr

27

2016

Company published Apple on Tuesday financial results for the second quarter, which revealed the first decline in iPhone sales of phones and the first decline in revenue in 13 years, and the reason behind it, according to analysts, the market saturation of smartphones.

The company’s sales, which is credited with the invention of smart phones, has fallen by more than a quarter in China, which is the most important market after the United States, and it expects a similar decline in global revenues.

After the publication of the results, Apple shares worth about 8% down to less than $ 100 for the first time since February last year. This was Apple’s failed attempts to buy back shares and the distribution of profits to calm investors.

Apple referred to financial results prior to the results of the quarterly disappointing from major companies, such as Microsoft and Olfabt owner of Google, and Twitter, which revealed all delivered results below expectations.

In the private financial report their results, Apple said it sold about 51.2 million iPhone phone during the second fiscal quarter, less than the 61.2 million it had sold during the same period last year, but higher than analysts’ expectations, which were nearly 50 million units.

For his part, CEO Tim Cook told analysts that the smartphone market is not growing, which promotes greater saturation concerns. He said that the phone is iPhone OS 6 paying customers to replace their phones at a price much lower than the iPhone 6.

Cook pointed out that the services, which includes the Apple Music and App Store section, the point of “bright”, as revenues rose 20% to $ 6 billion to skip iMac computers and iPad sales.

Cook hinted that Apple plans to launch more devices, said: “Apple’s future is very bright.” He added: “Our products have an amazing line of innovations in the store.”

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