Apple shares fall 2 percent after expected decline in sales, company's profit up 2.3 percent in Q3

US tech giant Apple forecast yesterday that its sales decline would continue in the current quarter. After this information came to the fore, Apple's shares fell by up to 2 percent.
Apple's sales fell 1.4 percent to $81.8 billion and earnings per share rose 5 percent to $1.26 in the fiscal third quarter ended July 1, according to news agency Reuters.
Releasing the results of the third quarter of the financial year yesterday, i.e. on Thursday, Apple said that the company registered a profit of $ 19.9 billion with a growth of 2.3 percent. This profit has compensated for the low sales of iPhones.
Let us tell you that Apple faced a 2.4 percent decline in iPhone sales, which is almost half of the total revenue.
Apple's research and development spending rose to $22.61 billion in the fiscal year so far, up about $3.12 billion from the same period last year, according to Reuters.
Apple's Chief Executive Officer (CEO) Tim Cook told Reuters in an interview that the increase in R&D spending was partly driven by work on generative artificial intelligence. It's the same area that is driving spending at other big technology companies.
According to Reuters, sales in Apple's Greater China region rose to $15.76 billion from $14.60 billion in the same quarter last year. At the same time, the company's revenue from the service sector segment was $ 21.21 billion.
Apple said iPhone sales were $39.67 billion, well below analysts' expectation of $39.91 billion, according to Refinitiv data.
Apple's services segment, which includes its Apple TV+ service, had revenue of $21.21 billion, compared with analysts' estimates of $20.76 billion, according to Refinitiv data.
CEO Tim Cook said Apple now has 1 billion subscribers on its platform, which includes both Apple services and third-party apps, up from 975 million a quarter ago.