Apple earnings rise as economic gloom hits tech

Apple Inc on Thursday reported revenue and profit that topped Wall Street targets, one of the few bright spots in a tech sector battered by spending cutbacks due to inflation. The forecast for the holiday quarter was more grim. While not providing specific numbers, Apple said revenue growth would fall below eight per cent in the December quarter but did not go as far as Amazon.com, whose dire holiday outlook sent its shares down 14pc. Apple shares initially dipped in after-hours trading but recovered in positive territory. The Cupertino, California-based tech giant was saved by its oldest technology, its laptop computers, while its star, the iPhone, stumbled. Although iPhone sales were not as strong as some analysts had targeted, they were still a record for the September quarter. Mac sales of $11.5 billion were far ahead of analyst estimates of $9.36bn.