The iPhone maker recently launched ‘Apple Intelligence’ AI tools, sparking investor interest|MIKI Yoshihito|CC BY 2.0

In its latest results, Apple reported that its iPhone sales were better than expected and sold nearly $46 billion worth of smartphones last quarter, marking a 6% increase from the previous year.

The company’s revenue reached $94.9 billion, slightly surpassing expectations.

However, net income dropped by 35% due to a $14 billion tax ruling in Europe. Apple Services revenue reached nearly $25 billion, up 12% but slightly below the $25.3 billion projection.

Apple CEO Tim Cook told CNBC that the sales of the iPhone 16 were stronger than those of the 15.

The smartphone maker made $15 billion in China—a significant market for Apple—slightly below last year’s earnings and 6% below projections. Competition from Huawei may impact future sales.