Here's my Environment
When I use the iOS part of the Flutter project and run it physical device using XCode, it detects the device and works fine but I am somehow not able to see the device on the available devices section on VSCode.
However VSCode detects and works fine with the simulator.
I also ran flutter doctor to see connected devices, but again it does not show the connected physical devices but shows the simulator created device.
Use rm -rf <flutter_repo_directory>/bin/cache to force delete the files in cache and then flutter doctor -v to reinstall the missing sdk directories.
Deleting the cache in flutter/bin/cache directory and then reinstalling the dart sdk solved this issue.
Referred to this issue in Flutter repository(Issue No:41006).