Apple delivers strong profits, but investors punish shares

The Citibank 10 percent cashback is valid on iPhone models bought via offline stores

However, the record-setting quarterly results were overshadowed by Apple warning that sales for the crucial holiday quarter could miss Wall Street expectations.

Cook in an interview with Reuters said that Apple is "seeing some macroeconomic weakness in some of the emerging markets".

September 12, the company presented iPhone XR, iPhone XS iPhone XS Max and the new Apple Watch.

"We were especially pleased with Mac momentum in emerging markets, with strong growth in Latin America, India, West Asia and Africa, and Central and Eastern Europe", said Apple's Chief Financial Officer Luca Maestri.

Shares fell $15.86 to $206.36, or a decline of 7.1 percent, in Friday trading, pushing its market capitalization to about $996 billion. "If you look at Q3 - it was 900k last year and this (year) is nearly 450k". Profit came in at US$2.91 a share.

Apple's Services business reported a 17 per cent increase in revenue to $9.98 billion. Apple CEO Tim Cook cleverly suggested the clerk at the supermarket doesn't ask how many "units" are in the shopping cart. The device is Apple's newest entry-level smartphone, and is pegged to do well: like the new iPad Pros, it retains some of the iPhone X's key features, with a significantly larger 6.1-inch screen and at a more reasonable price.

Hewson, however, pointed to a "rather twisted sense of priorities" as analysts expect the company to bring in revenue of $90bn next quarter but also obsess about unit numbers over product prices.

The trend is indicating a colossal problem Apple has to deal with, and the company has chose to opt more damaging strategy to deal with - hide it! Apple's services, which includes iTunes, Apple Music, iCloud, Apple Pay and Apple Care, has been growing for years and could become the company's main revenue generator as iPhone sales plateau.

Cook explained that doing so is no longer relevant to investors and likened it to shopping in a grocery store. That's a little bit lower than some of the most bullish analysts were hoping for.

Apple sold 46.9 million iPhones in the fiscal fourth quarter, missing analyst expectations of 47.5 million iPhones, according to FactSet.

The average selling price (ASP) of the iPhone is $793, up from $617.99 a year ago.

While values have staged a recovery of sorts in recent days, Apple's share price remains largely unaffected and is 31% up on the year so far.

Apple has seen iPhone sales in the country declining over the past few quarters even as its Mac computers enjoy better sales.

'Services revenue continues to increase at pace, ' said Neil Saunders of the research firm GlobalData.

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