Apple reports $7.7 billion in profit, but iPad sales falling

Apple this week announced its quarterly earnings, reporting revenue of USD$37.4 billion and net profit of USD$7.7 billion. The iPhone is still Apple's strongest product, selling 35.2 million units, and responsible for over half of the giant's revenue for the quarter.

By Alex Choros

Apple this week announced its quarterly earnings, reporting revenue of USD$37.4 billion and net profit of USD$7.7 billion. The iPhone is still Apple's strongest product, selling 35.2 million units, and responsible for over half of the giant's revenue for the quarter. Unsurprisingly, Apple has placed its biggest iPhone order yet according to the Wall Street Journal; the company is preparing to manufacture between 70 and 80 million units of its next smartphone by December.

Despite resilient iPhone sales, iPad sales dropped for the second quarter in a row, down 9.2% from a year ago. Apple have however managed to maintain their lead in tablet market share. According to Apple CEO Tim Cook, the company isn't worried about declining sales. He noted that tablets are still in their infancy, and that Apple is planning to bring "significant innovation" to the iPad in the future.

It is likely that Apple will release both an updated iPad Air and iPad Mini this year, and there are also rumours of a bigger 12-inch iPad known as the iPad Pro.

Sources: The Verge, Vox, Wall Street Journal, MacRumours

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