Apple iPhone sales tumble, trimming profit
Apple profit fell 7 percent to $12.7 billion in the recently ended quarter, the Silicon Valley-based colossus said in its earnings release.
The California tech giant's total revenue edged up from last year's level to $64.7 billion in the fiscal fourth quarter, but revenue from iPhone sales -- the major income driver for Apple -- slid some 20 percent from a year ago, unsettling investors.
The company's share price nosedived more than four percent in after-hours trading.
"iPhone is the cash cow and the driver of pretty much every add-on service Apple has out there," said analyst Patrick Moorhead of Moor Insights and Strategy.
"Everything is tied to that."
"I expect Apple in the next quarter to have a nice big surge due to the new models, and also the financing or new phones with monthly plans," Moorhead said.
Freshly-launched iPhone 12 models include some tailored for ultra-fast 5G networks.
"Apple capped off a fiscal year defined by innovation in the face of adversity with a September quarter record, led by all-time records for Mac and Services," Apple chief executive Tim Cook said in a statement.
Cook added that early response to the company's first 5G-enabled iPhone lineup has been "tremendously positive"