The following is an excerpt from NICK WINGFIELD | July 24, 2012 | Nytimes.com |
Apple sold 28 percent more iPhones last quarter than it did a year earlier, but the growth failed to meet the lofty expectations of analysts, leading to a rare disappointing earnings report from the company.
After the release of the report on Tuesday, Apple’s shares dropped more than 5 percent in after-hours trading. In the regular session, the stock fell 2.91 percent, to $600.92.
The trouble in the quarter appeared to be largely the fault of the iPhone. In a now-familiar pattern, analysts have been warning of potential weakness in iPhone sales because of the likelihood that the company will introduce a new version of the phone sometime in the fall. Apple invariably refreshes the iPhone product line with a new model around that time, and the anticipation can cause many phone shoppers to delay their purchases.
Apple feels the pain of that phenomenon most acutely in the summer quarter that ends in late September, but it can also start before then.
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