APPLE PREDICTS SALES DROP AS iPHONE MOCKERY MAY INCREASE

APPLE PREDICTS SALES DROP AS iPHONE MOCKERY MAY INCREASE

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APPLE PREDICTS SALES DROP AS iPHONE MOCKERY MAY INCREASE

– Apple’s nine-year iPhone juggernaut stops with first sales decline

– Apple Official Claims Amazing Innovations in Store

APPLE PREDICTS SALES DROP AS iPHONE MOCKERY MAY INCREASE

APPLE JUGGERNAUT HALTS WITH FIRST SALES DECLINE
Steve Jobs, Founder, Apple Inc.

On Tuesday, Apple Inc. posted its decline in sales of iPhone for the very first time. And for the first time as well, the incorporation’s revenue dropped in 13 years as the company known for inventing smartphone is finding times hard with a gradually drenched market.

Sales dropped by more than a quarter in China. China was the next to the United States on the rank of the company’s most important markets. Also, another projection of disappointment is made towards regarding global revenues.

Shares fell about 8%, dropping below $100 for the first time since February.

A scramble in Apple’s share buyback and dividend as well as bumper revenue from services failed to pacify investors.

Disappointing quarterly reports from Microsoft Corp and Google owner Alphabet Inc, and microblog introduced Apple’s results as missing expectations.

APPLE PREDICTS SALES DROP AS iPHONE MOCKERY MAY INCREASE

Apple claimed to have sold 51.2 million iPhones in its second fiscal quarter, down from 61.2 million in the same quarter a year ago but above analysts’ estimates of about 50 million devices.

Although apple officials have perceived a decline of iPhone this quarter, they must  reassure  investors that the drop represents a momentary roadblock, rather than a permanent shift for the product that fueled its meteoric rise.

After years of hit sales, many investors fear the iPhone has reached saturation, spelling the end for Apple’s exponential growth.

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“Apple needs to come up with a radical new innovation or product rather than just the current incremental improvements to existing products. This is the only way in which it will reinvigorate sales growth,” said Neil Saunders, chief executive of research firm Conlumino.

APPLE JUGGERNAUT HALTS WITH FIRST SALES DECLINE
iPhone 6 Plus

According to Apple Chief Financial Officer Luca Maestri in an interview on Reuters on the past success of iPhone 6 a year earlier “The iPhone 6 is an anomaly.” He said.

On the other hand, Chief Executive Tim Cook already told analysts that the smartphone market was not growing, reinforcing wider concerns of saturation.

Cook also admitted that “The iPhone 6S was chasing customers to replace phones at a much lower rate than the 6. I don’t mean just a hair lower; it’s a lot lower.” He said. “If we’d had the same rate on 6S as 6, it would be time for a huge party.”

He indicated a bright spot to the services division, which comprises Apple Music and the App Store. Its revenue grew 20 percent to $6 billion and exceeded iMac and iPad sales.

Also, Cook hinted that Apple had more gadgets to come. “The future of Apple is very bright.” He said. “Our product pipeline has amazing innovations in store.”

Earnings of $1.90 per share fell short of the average analyst estimate of $2 per share, according to Thomson Reuters I/B/E/S. Revenue of $50.56 billion missed expectations of $51.97 billion.

Apple forecast third-quarter revenue of $41 billion to $43 billion, short of the Wall Street consensus of $47.3 billion.

APPLE PREDICTS SALES DROP AS iPHONE MOCKERY MAY INCREASE

Apple also said it was raising its capital return program by $50 billion through a $35 billion increase in its share buyback authorization and a 10 percent rise in the quarterly dividend.

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APPLE PREDICTS SALES DROP AS iPHONE MOCKERY MAY INCREASE