Apple Sales Top Estimates as Consumers Warm to Cheaper iPhone

Apple Inc. reported revenue that fell less than projected and forecast fourth-quarter sales that may exceed analysts’ estimates, bolstered as iPhone demand picks up and consumers warm to the company’s new low-priced smartphone model.

A slump in iPhone sales eased in the third quarter, helped by demand for the new SE model, a low-end device aimed at consumers in China and other emerging regions. With the iPhone accounting for almost two-thirds of sales, Apple has been weathering a slowdown in the global smartphone market, and Chief Executive Officer Tim Cook has sought to emphasize surging revenue from services, such as the App Store, iCloud storage and Apple Music, as a way of making up for cooling device sales.