Apple’s profits lower than expected for 1st time in 6 years ‎

On Thursday, Apple announced sales and profits that missed Wall Street expectations, affected by weak iPhone sales after the Covid-19 lockdown in China disrupted production of the company’s best-selling product.

According to “Reuters”, Apple’s shares fell 5 percent after the results were announced

The company’s sales fell 5 percent to $117.2 billion and declined in every part of the world during the quarter ended Dec. 31. Sales fell from each of the company’s product categories, but rose for services and iPads. Earnings per share amounted to $ 1.88, the first time that Apple announced profits below Wall Street expectations since 2016.

Analysts had expected sales of $121.1 billion and earnings of $1.94 per share, according to Refinitiv data. And Tim Cook, CEO of the company, told Reuters that the production disruptions that affected Apple during the first quarter of the fiscal year have ended.

During the first quarter of the fiscal year, Apple faced a wave of challenges that prompted Wall Street to expect sales to decline. Among the main reasons for this was supply chain pressures at a production facility in Zhengzhou, China, which affected the production of the iPhone 14 Pro and Pro Max phones.