Apple’s Q4 2025 Results
Apple (transcript, MacRumors, MacStories, Hacker News):
“Today, Apple is very proud to report a September quarter revenue record of $102.5 billion, including a September quarter revenue record for iPhone and an all-time revenue record for Services,” said Tim Cook, Apple’s CEO.
[…]
“Our September quarter results capped off a record fiscal year, with revenue reaching $416 billion, as well as double-digit EPS growth,” said Kevan Parekh, Apple’s CFO.
Now on to the charts!
The gross margin continues to climb and is now at 47.2%. I wish Apple reported separate numbers for hardware and services.
Looking at Apple’s Consolidated Statement (PDF), the numbers look great across the board year-over-year: iPhone up 6%, Mac up 13%, iPad even, Wearables/Home even, and Services up 15%. Services now generates more revenue ($28.8 billion) than Mac, iPad, and Wearables/Home combined ($24.7 billion).
If iPhone revenue is essentially maxed out and flat, Apple will eventually become mostly a services revenue company. Very weird. 💰
As a fan of the devices but not the services, I don’t see how this can be good.
So yes, they’re well ahead of the $100B run rate. And so yes, that business – again, just Services – is now set to be bigger than Disney, Tesla, and all but around 40 companies in the Fortune 500, which is wild.
And to top it all off, Cook dropped the mother of all forms of “guidance,” which is what you call it when companies publicly predict their next-quarter results three months in advance: “We expect the December quarter’s revenue to be the best ever for the company and the best ever for iPhone.”
[…]
Just so we’re clear, that’s about $138B in total revenue and a minimum of $76B in iPhone revenue. (Check back in January to see if they were right.) Keep in mind that the results reported on Thursday only have a week or two of iPhone sales, while Apple now has an addition month of sales data with which to make projections. And if Apple is this confident, iPhone 17 sales data has to be really, really good.
One reason Apple is so confident is that it’s supply-constrained. In other words, for at least some iPhone models, it just can’t make enough to fulfill demand. Cook specifically called out Greater China revenue decreasing largely because the company faced iPhone supply constraints, and said that generally Apple was “constrained on several [iPhone] 17 models.”
The iPhone 17 is fine, but I have no idea why this is the model that’s setting records.
Mac revenue was a real highlight this quarter, with revenue up 13% over the year-ago quarter. That’s eight straight quarters of year-over-year growth, so it’s been two very strong years for the Mac after a year where it fell a bit off the heights of improved sales due to COVID and the advent of Apple silicon.
Apple warned that next quarter will be a “very difficult compare” because of the “mother of all Mac launches” from last year—the M4-powered MacBook Pro, Mac mini, and iMac (see “New MacBook Pros Gain M4 Chips, 12MP Center Stage Camera, and Thunderbolt 5,” 30 October 2024). While sales of the M5 MacBook Pro will boost next quarter (see “New M5 Chip Accelerates the MacBook Pro, iPad Pro, and Vision Pro,” 15 October 2025), Apple’s warning suggests we won’t see M5 models of the Mac mini, iMac, or MacBook Air until next year.
Apple is still on track to release an upgraded version of Siri next year, according to Cook. Apple is also planning for more partnerships like the ChatGPT integration in Apple Intelligence.
Previously:
- iPhone 17
- iPhone Air
- iPhone 17 Pro and iPhone 17 Pro Max
- Apple’s Q3 2025 Results
- Apple’s Q4 2024 Results
5 Comments RSS · Twitter · Mastodon
Like many others, I wish Apple would break things down more. I can think of two reasons the 17 base model is the best selling. I already said one - t's the base model nowadays with some new functionality. The other one Nick Heer hints at, but only in terms of MBPs - churn. My "go to" iPhone is a mini because I like the small screen. I'm rueing the day it has to be replaced. It's coming soon, as Apple iOS minimum requirements are catching up. A quick look at the 17 lineup shows that I'll be able to keep both cameras but will need to pay about US$200 more for the larger screen.
Really sad to see the constant rise of services, it seems to herald more enshittification. I hope someone understands that the real apple tax are paying for the services packages just to have the suite of devices.
I think the 17s are breaking records because Apple has been holding back so much for so long there were so many “finally!”s in this one.
Finally 120Hz, finally a screen that might not scratch so easily, finally WiFi 7, finally did something with the space that used to be taken by the SIM card.
I thought it was just me but it seems other people noticed these things.
Also it’s not as much for me but the new selfie camera is a huge improvement. I think that might be helping a lot as well.
I’ve said it before, I’ll say it again: Apple is driving their stock price by manipulating the slider of how much money is getting deferred to Services, and the lack of need to actually deliver said services. Money is shifted on device sales (the “5GB” that the overwhelming number of customers never get because the have pre-existing Apple Accounts and/or multiple devices, or are paying at least 99¢/month) to make Services look like it is growing, while iPhone revenues stagnate, driven purely by momentum with ever-widening (shocking) margins. Analysts are getting rich, so they aren’t asking questions. Exec team is getting ultra-rich off of stock options, so they aren’t going to stop. And the community at large just keeps buying… while we endure sub-par beta-quality software on 2nd-tier (but reliable!) hardware built upon human suffering. Orwell would be apoplectic.
Meanwhile, if you sync your phone to your computer, you must choose between paying for iCloud storage, and being prompted to enter your passcode to "trust" this computer and start a backup, every time you sync your phone (if Wi-Fi syncing is on, in practice that means every time you put your phone on charge).
And being spammed for AppleCare in Settings.
The enshittification is well and truly underway. "Services" is a lie.
