Apple stock is 50% higher so far this year.
Victor J. Blue/Bloomberg
shares are sliding in late trading Thursday after the company posted a 1% decline in sales from a year ago.
A strong performance from the company’s services segment was offset by disappointing sales of iPhones and iPads.
The company also suggested on its earnings call that performance could be slightly disappointing in the September quarter.
In late trading, Apple shares are down 2.3%.
For the quarter ended July 1, Apple reported revenue of $81.8 billion, down 1% from a year ago, and about in line with the Wall Street consensus forecast of $81.9 billion. Profits were $1.26 a share, above the Street at $1.19.
iPhone sales were $39.7 billion, down 2.4%, and a little shy of the Wall Street consensus forecast of $40.3 billion. Mac sales were $6.8 billion, above estimates of $6.6 billion, but down 7.3% from a year earlier. iPad sales were $5.8 billion, well below consensus of $6.5 billion, and down 19.8% from a year earlier. Sales in the wearables, home, and accessories segment were $8.3 billion, in line with estimates, and up 2.4% from a year ago.
Services was the standout segment in the quarter, generating $21.2 billion in sales, above the consensus estimate of $20.8 billion, and up 8.2% from a year ago. The company said it now has more than 1 billion paid subscriptions across its services offerings.
On the company’s earnings call, CEO Tim Cook said the company continued to see an “uneven macroeconomic environment.” He also noted that revenue was reduced by four points from currency headwinds, consistent with the company’s guidance.