Apple Shakes Off iPhone Slump To Deliver Strong Fiscal 4Q

Apple is still running a well-oiled moneymaking machine despite cooling demand for its hottest product, the iPhone.

Sales and revenue in the July-September quarter exceeded Wall Street estimates as Apple’s newest iPhones got offto a better start than expected, even though the devices aren’t that much different from last year’s models.

Apple said that revenue rose 2% from the same time last year to $64 billion, despite iPhone revenue dropping 9%. The company’s iPhone sales have now declined from the previous year for four straight quarter.

Apple’s quarterly profit dipped 3% to $13.7 billion, but its earnings per share of $3.03 topped analyst projections.

In another encouraging sign for the company, Apple’s sales in China recover further from a sharp drop-offearlier this year. That helped ease worries that Apple might be bruised by President Donald Trump’s trade war with the world’s most populous country.

Apple also signaled its confidence that the momentum will continue in the current quarter, which spans the crucial holiday season. The Cupertino, California, company projects revenue will climb by about 4% from the same time last year.

Part of that growth will likely come from a hotly anticipated video streaming service called Apple TV Plus to compete against industry pioneer Netflix and a slew of new entrants, including Disney Plus and HBO Max.