Apple share price steady despite slowing iPhone sales

Shares closed up 0.5 per cent

Apple now has one billion devices in active use (Getty Images)

Shares in Apple held steady despite the company reporting its slowest-ever increase in iPhone sales.

Shares closed up 0.5 per cent as Apple revealed earnings per share of $3.28 up on expectations of $3.22 per cent. Record overall revenue of $75.9 billion fell short of the $76.6 billion analysts predicted for the three months ending December 26.

Tim Cook celebrated the results, telling investors: “Our team delivered Apple’s biggest quarter ever, thanks to the world’s most innovative products and all-time record sales of iPhone, Apple Watch and Apple TV.”

All eyes were on iPhone sales, which make up 70 per cent of Apple’s overall sales, for signs that shipments are slowing down. Sales were up on the previous quarter but flat year on year.

The strong dollar ate into non-US revenue. Apple said revenue would have reached $80.8 billion in constant currency, or 8 per cent growth.

Apple now has one billion devices in active use, counting iPhone, iPad, Apple Watch, Apple TV, Mac and iPod Touch that used the App Store or other Apple services in the last 90 days. That 25 per cent more devices than last year.

Apple shares have fallen by a quarter since last summer, wiping more than $200 billion off the company’s market value.