For the first time in 13 years, Apple didn't grow.
The company has posted its Q2 2016 results. It brought in $50.6 billion in revenue and $10.5 billion in profits during the period that ended 31 March. In the year-ago quarter, it had $58 billion in revenue and $13.6 billion in profits. It therefore saw a 13 per cent year-over-year dip in revenue.
In terms of sales, Apple sold 51.1 million iPhones, 10.2 million iPads, and 4 million iMacs. That's an 18 per cent year-over-year drop for iPhones, and a 19 per cent drop for iPads. In the same period last year, Apple sold 61.1 million iPhones, 12.6 million iPads, and 4.5 million Macs.
This doesn't mean Apple is hurting. It simply failed to encourage growth, as product sales have slowed all over the globe, and it's struggling to introduce a new product that will make up the difference. The Apple Watch, for instance, which might be a $6 billion business, isn't as successful as iPhone.
Sales for the watch are hidden in "other products", along with Apple TV, Beats headphones, etc. That category only managed to bring in $2.2 billion for the quarter (still up 29 per cent year over year), while the services category, which includes iCloud and App Stores, grew from $5 billion to $6 billion.
Keep in mind the new 9.7-inch iPad Pro and iPhone SE both launched at the end of this quarter, so it'll be another three months before we know whether they helped grow Apple's business.
Tune into Apple's conference call at 5 pm EST to hear from Tim Cook, Apple's CEO, and other executives.