IPHONE SALES PLUMMET FOR THE FIRST TIME AS APPLE MISSES COMMERCIAL TARGETS

The firm's quarterly results were below Wall Street targets, and it forecast another disappointing quarter - which saw Apple's shares down more than 5 percent in early after-hours trading.

Apple says the slump is sales was caused by 'macroeconomic headwinds' and the iPhone 6 being 'an anomaly' as it offered an entirely new size handset.  

A cloud over Apple: After five successive quarters where Apple has reported record revenues, the first three months of 2016 are likely to be the worst in 13 years.

RESULTS AT A GLANCE 

Apple sold more than 51.2 million iPhones in the first three months of 2016 - while racking up $10.5 billion in quarterly profit. 

That was more than many analysts expected, but still fewer than the 61 million iPhones sold a year earlier. 

Revenue of $50.56 billion missed expectations of $51.97 billion. 

Apple Music now has 13m subscribers 

Apple said it sold 51.2 million iPhones in its second fiscal quarter, down from 61.2 million in the same quarter a year ago but above analysts' estimates of about 50 million devices. 

Sales fell faster in China than in any other region, down 26 percent compared to the previous year, and sales in the Americas were down 10 percent. 

Over all, Apple sold 16 percent fewer iPhones in the quarter compared to the same quarter last year - although Tim Cook pointed out the results no not include sales of the smaller iPhone SE.

He claimed demand for the new handset had been 'very strong, and exceeds supply at this point'. 

After five successive quarters where Apple has reported record revenues, the first three months of 2016 are the worst in 13 years.

The company is battling perceptions that its latest iPhones aren't dramatically different from previous models, as overall smartphone sales are slowing around the world.