01—Abstract
Summary
Summary of the 10-K filed October 31, 2025. Cited figures are marked; the original filing is the authoritative source.
Apple Inc. (AAPL) reported total net sales of $416.16 billiona for the fiscal year ended September 27, 2025, representing a 6% increase over the prior year.
This growth was primarily driven by a robust performance in the Services segment, which saw a 14%b increase in net sales, and steady growth in iPhone sales, particularly the Pro models. The company's strategic focus on its Services division continues to yield strong results, diversifying its revenue streams beyond hardware. Despite overall growth, the company faced headwinds in the Greater China region, with net sales decreasing by 4%, primarily due to lower iPhone sales in that market.
The Wearables, Home, and Accessories segment also experienced a 4%c decline. Significant investments in Research and Development (R&D) and Selling, General, and Administrative (SG&A) expenses, both increasing by 10% and 6% respectively, underscore Apple's commitment to innovation and market expansion. The company's financial position remains strong, with substantial cash and cash equivalents, and it continues its capital return program through significant share repurchases and a growing dividend.
02—Key points
Key Highlights
- Total net sales increased by 6% to $416.16 billion, driven by strong performance across key segments.
- The Services segment continues to be a major growth engine, with net sales up 14% year-over-year.
- iPhone net sales saw a 4% increase, primarily due to strong demand for Pro models.
- Greater China experienced a 4% decline in net sales, largely impacted by lower iPhone sales in the region.
- Investments in R&D and SG&A expenses increased by 10% and 6% respectively, indicating a focus on future innovation and market presence.
- The company maintained a strong liquidity position with $132.4 billion in cash, cash equivalents, and marketable securities as of September 27, 2025.
- Apple continued its capital return program, repurchasing $89.3 billion of its common stock and increasing its quarterly dividend to $0.26 per share.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2025, Apple Inc. kept $0.27.
- Revenue$416.16B100.0%
- Cost of revenue−$220.96B53.1%
- Gross profit$195.20B46.9%
- Operating costs−$62.15B14.9%
- Operating income$133.05B32.0%
- Interest, other & tax−$21.04B5.1%
- Net income$112.01B26.9%
Where FY2025 revenue went
$416.16B- Cost of revenue: $220.96B, 53% of revenue
- Net income: $112.01B, 27% of revenue
- R&D: $34.55B, 8.3% of revenue
- SG&A: $27.60B, 6.6% of revenue
- Interest, other & tax: $21.04B, 5.1% of revenue
Kept 27% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2025filed October 31, 2025Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $416.16B$391.04B | +6.4% |
| Cost of Revenue | $220.96B$210.35B | +5.0% |
| Gross Profit | $195.20B$180.68B | +8.0% |
| R&D Expenses | $34.55B$31.37B | +10.1% |
| SG&A Expenses | $27.60B$26.10B | +5.8% |
| Operating Expenses | $62.15B$57.47B | +8.2% |
| Operating Income | $133.05B$123.22B | +8.0% |
| Net Income | $112.01B$93.74B | +19.5% |
| EPS (Basic) | $7.49$6.11 | +22.6% |
| EPS (Diluted) | $7.46$6.08 | +22.7% |
| Shares Outstanding (Basic) | 14.95B15.34B | −2.6% |
| Shares Outstanding (Diluted) | 15.00B15.41B | −2.6% |
05—Questions
Frequently Asked Questions
What was Apple's overall revenue growth for the fiscal year 2025?
Apple Inc. reported a 6% increase in total net sales, reaching $416.16 billion for the fiscal year ended September 27, 2025.
Which product/service category showed the strongest growth?
The Services segment demonstrated the strongest growth, with a 14% increase in net sales year-over-year.
What are the primary risks and challenges highlighted in the filing?
Key risks include intense competition, supply chain disruptions, geopolitical tensions and trade disputes (like the new U.S. Tariffs), cybersecurity threats, regulatory scrutiny (especially concerning antitrust and digital markets in regions like the EU), and the potential for macroeconomic downturns to impact consumer spending.
How is Apple managing its capital returns to shareholders?
Apple continues to return capital through share repurchases, announcing a new program of up to $100 billion in May 2025 and repurchasing $89.3 billion in fiscal year 2025. Additionally, the company increased its quarterly dividend to $0.26 per share, with intentions for annual increases.
06—Continue