Apple sold less iPhones than a year prior in the initial three months of 2017, the organization said in its most recent outcomes.
The California firm, which is because of discharge another telephone in the not so distant future, said it sold 50.8 million iPhones in the period, down 1% year-on-year.
Apple manager Tim Cook faulted a “delay” as clients sit tight for the following iPhone.
Partakes in the firm fell almost 2% in nightfall exchanging after prior hitting a record high on desires of better outcomes.
Apple announced a 4.6% ascent in income over the entire organization to $52.9bn (£41bn), somewhat underneath investigators’ estimates.
The plunge in iPhone deals was balanced by administrations, including Apple Pay, iCloud and the App store, which recorded a 18% expansion in deals to $7bn.
Mr Cook likewise indicated development in offers of Apple Watch, and in addition its AirPods and Beats headphones.
In spite of falling unit deals, income from iPhones still climbed 1% to $33.2bn because of “hearty” offers of its greater, more costly iPhone 7 Plus.
Investigation: Expectations high for tenth commemoration iPhone
By Dave Lee, BBC North America innovation journalist
This is dependably the minimum great time of year for Apple’s profit, coming as it does after the Christmas time frame.
Be that as it may, more terrible than-anticipated iPhone deals had financial specialists somewhat troubled after reckoning of solid profit sent shares to record highs prior on Tuesday.
Tim Cook told financial specialists he was likewise satisfied with the proceeded with development of its Services division – that is things like Apple Music, Apple TV, iTunes et cetera – yet the strength of Apple is just reasonably measured with the achievement of that all-vanquishing cell phone.
Which is the reason whatever remains of the year will energize to watch.
With the iPhone’s tenth commemoration upon us, desires are high for the following gadget.
Anything shy of a noteworthy change would inconvenience for financial specialists who are depending on the following iPhone being a blockbuster, not an incremental redesign.
Examiners at GlobalData Retail noticed that Apple’s income from iPhones was $7bn not as much as a similar period two years back.
“We highlight these realities not to be unduly cruel to Apple, but rather to demonstrate that the organization has just incompletely risen up out of the droop that hit it in the course of the last financial year,” Neil Saunders, overseeing chief of GlobalData Retail, wrote in a note.
“In our view, the organization’s develop product offering up and a nonappearance of any huge new gadgets mean it has attempted to recover the majority of the lost ground,” he included.
China, which was incompletely to fault for the log jam a year ago, was again troublesome for Apple. Income from China dropped 14%, in spite of the fact that Mr Cook somewhat rebuked money changes for the fall.
Tim Coulling, senior examiner at Canalys, said the Chinese cell phone market was exceptionally aggressive, with less expensive items that coordinated Apple regarding detail.
He said it was “hard to concoct something genuinely progressive”, yet he anticipated that their new gadget would have a greater screen.
Apple said quarterly benefits were $11bn around the world, up 4.9% from a similar period in 2016.
The firm additionally reported it would give back an additional $50bn to shareholders.
Apple’s money possessions have ascended to a record $256.8bn and the organization has gone under expanding weight to reveal its arrangements for the cash.