Apple says its revenue will be “relatively flat” in the first quarter, the company’s CEO said in a rare call with analysts this morning.

For the first quarter, Apple’s executives forecast revenue of between $88.5 billion and $93.5 billion, which would be a small decrease from last year’s $93.6 billion. Because of that, they lowered forecasts for revenue this year.

“It’s interesting, because last year, we entered the first quarter with a record $93.6 billion and we ended the quarter with a record $93.9 billion,” said Apple’s CEO, Tim Cook. “So going into this first quarter, we’re forecasting a reasonably flat revenue. So that’s the headwind. The tailwind for us in the first quarter is that we expect our first-quarter gross margin to be about 37.5 percent.”

The increased uncertainty over China, both with the threat of trade sanctions and in terms of the broader economic slowdown that took place there, has prompted China to see the first fall in exports for three years.

In their first-quarter conference call, executives at Foxconn, the largest electronics manufacturer in the world, said there would be a downturn in profitability, as the company was expecting to have trouble meeting demand for one of Apple’s flagship products, the iPhone X.