Apple reports bigger-than-expected revenue increase

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Apple beat analysts' expectations in its latest financial results as the technology giant's revenue rose 7% on last year.

The iPhone maker announced revenue for the last quarter of 45.4 billion dollars (£34.4 billion), up on the 42.4 billion dollars (£32.1 billion) posted a year ago.

Market analysts had predicted revenue of around 44.95 billion dollars (£34 billion).

The company's net income also increased to more than 8.7 billion dollars (£6.5 billion) - compared to 7.8 billion dollars (£5.9 billion) in the same period in 2016.

Apple tax bill

The firm's chief executive Tim Cook said: "With revenue up 7% year-over-year, we're happy to report our third consecutive quarter of accelerating growth and an all-time quarterly record for services revenue.

"We hosted an incredibly successful worldwide developers conference in June, and we're very excited about the advances in iOS, macOS, watchOS and tvOS coming this fall."

In September, Apple is expected the launch the next version of the iPhone, with up to three new devices rumoured to be on the way.

Reports suggest a special edition smartphone to mark the iPhone's tenth anniversary could be unveiled alongside the iPhone 7s and 7s Plus.

Apple sold more than 41 million iPhone handsets in the last quarter, as well as 11.4 million iPad units.

The tech giant will also launch a new product line in December, when its HomePod smart speaker - complete with virtual assistant Siri integrated into the device - goes on sale to rival the likes of the Amazon Echo and Google Home.