By . Daily Mail Reporter . PUBLISHED: . 13:38 EST, 23 January 2013 . | . UPDATED: . 11:32 EST, 24 January 2013 . Apple shares fell more than 6 per cent in after-hours trading Wednesday night as the world's largest technology company reported lower than expected iPhone sales in the latest quarter. The company shipped 47.8 million of the flagship product, less than the 50 million that Wall Street analysts had predicted for the period ending December 29, sending the stock down. Sales of the iPad came in at 22.9 million in the fiscal first quarter, about in line with forecasts. Apple said today that its fiscal first quarter revenue rose to $54.5 billion, below the average analyst estimate of $54.73 billion, according to Thomson Reuters. This is the slowest growth rate for the company since at least 2009. Drop: Shares of Apple fell more than 6 per cent in after-hours trades following the latest earnings report, after closing up 1.8 per cent during the regular session . Shares in Apple fell more than 6 per cent in after-hours trades following the earnings report, after closing up 1.8 per cent at $514.01 during the regular session. For the fiscal first quarter, the company posted net income of $13.07 billion, or $13.81 a diluted share, compared to $13.06 billion, or $13.87 a share, a year earlier. Sources this month have pointed to production cutbacks at Apple's component suppliers as a sign that demand may be waning for the iPhone, which accounts for half of the company's sales, and the iPad. The disappointing numbers come after Apple undershot revenue targets in the previous two quarters. The results will prompt more questions on what Apple has in its product pipeline, and what it can do to attract new sales and maintain growth. Apple is tonight expected to record its first drop in earnings since 2003 . The technology giant's shares have dropped around 30 per cent since September, erasing about $190 billion in market value amid concerns that the world is falling out of love with iPhones and iPads. It comes after less than stellar sales of its iPhone 5, and as the company faces rising production costs, competition from rival Samsung, and slowing growth in smartphones. This afternoon's earnings report was expected to show that first-quarter net income slipped 2 per cent to $12.8 billion, or $13.48 a share, according to analysts’ estimates compiled by Bloomberg. The actual earnings, however, were better than expected. Such a drop would have been the first fall in earnings since 2003. Analysts projected sales would rise 18 per cent to $54.8 billion. But they fell short at just $54.5 billion - which equates to the slowest growth for the company since at least 2009. Some have attributed the decline to the market becoming saturated with other smartphones, meaning growth for Apple is slowing. Rival Samsung offers more than 80 touchscreen smartphones and many are opting for alternatives to the newest - and expensive -  iPhone 5, which starts at around $199 with a two-year contract. Problems are believed to have arisen when the iPhone 5 made its debut. Critics of the new, larger screened model, complained it was riddled with errors its predecessor did not have. One of its most useful features, Google maps, was replaced by an in-house version which contained glaring errors and missed entire areas. The long awaited model also 'scratched too easily' according to die hard Apple fans, and many became disenchanted with the company's until now unrivaled magic. Earlier this month it was revealed . that Apple has dramatically cut component orders for the iPhone 5 amid . weaker than expected demand for the device. The California-based tech giant . reportedly slashed the number of screens it wanted in half and reduced . orders on other parts too. Apple is said to have have told its . suppliers about the change last month. It will apply to orders from now . until the end of March. Many feel that after the death of its founder Steve Jobs, it is just a matter of time before it runs out of steam. Since Jobs' death Apple has made some rare missteps that almost certainly would not have happened were he still alive. Former CEO Steve Jobs introduced the new iPhone in January 2007. Some have attributed the decline to the underwhelming launch of the iPhone 5 and the rise in other smartphones . Its chief executive Tim Cook admitted the company ‘screwed up’ with the its new maps service. It also launched the iPad Mini even though Jobs specifically said before his death that Apple should never do so. However, Wall Street on average still . predicts that 48m iPhones will have been sold over Christmas, bringing . the total since its launch in 2007 to 320m. Only Samsung comes close, having sold 100m of its Galaxy S phones since 2010. Stuart Jeffrey, an analyst at Nomura . Equity Research, said: 'If iPhone 5 sales really are disappointing so . soon in the product’s refresh, then it seems fair to worry about likely . sales volumes in the next few quarters before the iPhone is next . refreshed.' One solution which Apple is considering is the introduction of a budget iPhone. And in addition to a cheaper . smartphone, experts say Apple could also consider a new comprehensive . television product with services that link it to the iPhone and iPad . The company now only sells a $99 device that plugs in to a TV. Some analysts, including Katy Huberty of Morgan Stanley, have said the worries about Apple’s growth are overblown, and suggested investors use the recent stock slide as an opportunity to buy. And Toni Sacconaghi, an analyst at Sanford C. Bernstein & Co, said if growth continued at the same pace for another five years, revenue would reach $1.2trillion, or the size of Australia’s gross domestic product.
The company shipped 47.8 million of the flagship product, less than the 50 million that Wall Street expected .
The technology giant's shares have dropped about 30 per cent since September .
The news comes after disappointing sales of its .
latest iPhone 5 .
Apple also faces rising production costs, .
competition from rival Samsung, and slowing growth in smartphones .
By . Daily Mail Reporter . PUBLISHED: . 13:38 EST, 23 January 2013 . | . UPDATED: . 11:32 EST, 24 January 2013 . Apple shares fell more than 6 per cent in after-hours trading Wednesday night as the world's largest technology company reported lower than expected iPhone sales in the latest quarter. The company shipped 47.8 million of the flagship product, less than the 50 million that Wall Street analysts had predicted for the period ending December 29, sending the stock down. Sales of the iPad came in at 22.9 million in the fiscal first quarter, about in line with forecasts. Apple said today that its fiscal first quarter revenue rose to $54.5 billion, below the average analyst estimate of $54.73 billion, according to Thomson Reuters. This is the slowest growth rate for the company since at least 2009. Drop: Shares of Apple fell more than 6 per cent in after-hours trades following the latest earnings report, after closing up 1.8 per cent during the regular session . Shares in Apple fell more than 6 per cent in after-hours trades following the earnings report, after closing up 1.8 per cent at $514.01 during the regular session. For the fiscal first quarter, the company posted net income of $13.07 billion, or $13.81 a diluted share, compared to $13.06 billion, or $13.87 a share, a year earlier. Sources this month have pointed to production cutbacks at Apple's component suppliers as a sign that demand may be waning for the iPhone, which accounts for half of the company's sales, and the iPad. The disappointing numbers come after Apple undershot revenue targets in the previous two quarters. The results will prompt more questions on what Apple has in its product pipeline, and what it can do to attract new sales and maintain growth. Apple is tonight expected to record its first drop in earnings since 2003 . The technology giant's shares have dropped around 30 per cent since September, erasing about $190 billion in market value amid concerns that the world is falling out of love with iPhones and iPads. It comes after less than stellar sales of its iPhone 5, and as the company faces rising production costs, competition from rival Samsung, and slowing growth in smartphones. This afternoon's earnings report was expected to show that first-quarter net income slipped 2 per cent to $12.8 billion, or $13.48 a share, according to analysts’ estimates compiled by Bloomberg. The actual earnings, however, were better than expected. Such a drop would have been the first fall in earnings since 2003. Analysts projected sales would rise 18 per cent to $54.8 billion. But they fell short at just $54.5 billion - which equates to the slowest growth for the company since at least 2009. Some have attributed the decline to the market becoming saturated with other smartphones, meaning growth for Apple is slowing. Rival Samsung offers more than 80 touchscreen smartphones and many are opting for alternatives to the newest - and expensive -  iPhone 5, which starts at around $199 with a two-year contract. Problems are believed to have arisen when the iPhone 5 made its debut. Critics of the new, larger screened model, complained it was riddled with errors its predecessor did not have. One of its most useful features, Google maps, was replaced by an in-house version which contained glaring errors and missed entire areas. The long awaited model also 'scratched too easily' according to die hard Apple fans, and many became disenchanted with the company's until now unrivaled magic. Earlier this month it was revealed . that Apple has dramatically cut component orders for the iPhone 5 amid . weaker than expected demand for the device. The California-based tech giant . reportedly slashed the number of screens it wanted in half and reduced . orders on other parts too. Apple is said to have have told its . suppliers about the change last month. It will apply to orders from now . until the end of March. Many feel that after the death of its founder Steve Jobs, it is just a matter of time before it runs out of steam. Since Jobs' death Apple has made some rare missteps that almost certainly would not have happened were he still alive. Former CEO Steve Jobs introduced the new iPhone in January 2007. Some have attributed the decline to the underwhelming launch of the iPhone 5 and the rise in other smartphones . Its chief executive Tim Cook admitted the company ‘screwed up’ with the its new maps service. It also launched the iPad Mini even though Jobs specifically said before his death that Apple should never do so. However, Wall Street on average still . predicts that 48m iPhones will have been sold over Christmas, bringing . the total since its launch in 2007 to 320m. Only Samsung comes close, having sold 100m of its Galaxy S phones since 2010. Stuart Jeffrey, an analyst at Nomura . Equity Research, said: 'If iPhone 5 sales really are disappointing so . soon in the product’s refresh, then it seems fair to worry about likely . sales volumes in the next few quarters before the iPhone is next . refreshed.' One solution which Apple is considering is the introduction of a budget iPhone. And in addition to a cheaper . smartphone, experts say Apple could also consider a new comprehensive . television product with services that link it to the iPhone and iPad . The company now only sells a $99 device that plugs in to a TV. Some analysts, including Katy Huberty of Morgan Stanley, have said the worries about Apple’s growth are overblown, and suggested investors use the recent stock slide as an opportunity to buy. And Toni Sacconaghi, an analyst at Sanford C. Bernstein & Co, said if growth continued at the same pace for another five years, revenue would reach $1.2trillion, or the size of Australia’s gross domestic product.
quarter. The company shipped 47.8 million of the flagship product, less than the 50 million that earnings since 2003 . The technology giant's shares have dropped around 30 per cent since less than stellar sales of its iPhone 5, and as the company faces rising production costs, competition from rival Samsung, and slowing growth in smartphones. This afternoon's earnings