Summary
Apple Inc. reported a solid performance for the second quarter and first six months of fiscal year 2025, demonstrating revenue growth driven primarily by its Services segment and strong sales in the Americas and Japan. Total net sales for the quarter reached $95.4 billion, a 5% increase year-over-year, with Services revenue growing 12% to $26.6 billion. The company also saw continued strength in iPhone sales, up 2% for the quarter, and significant growth in iPad sales, up 15%. Despite a decline in Greater China, where net sales were down 2% for the quarter and 7% for the year-to-date, overall global performance remained robust. Profitability also saw a healthy increase, with net income rising to $24.8 billion for the quarter, a 5% increase from the prior year, leading to diluted earnings per share of $1.65. The company's gross margin improved to 47.1% for the quarter, up from 46.6% in the prior year, largely due to strong performance in the Services segment. Apple continued its commitment to shareholder returns, repurchasing $48.3 billion of common stock in the first six months and announcing an additional $100 billion repurchase program alongside a dividend increase. The company anticipates these measures, along with strong operational cash flow, will be sufficient to meet its financial obligations and capital return plans.
Financial Highlights
52 data points| Revenue | $95.36B |
| Cost of Revenue | $50.49B |
| Gross Profit | $44.87B |
| R&D Expenses | $8.55B |
| SG&A Expenses | $6.73B |
| Operating Expenses | $15.28B |
| Operating Income | $29.59B |
| Net Income | $24.78B |
| EPS (Basic) | $1.65 |
| EPS (Diluted) | $1.65 |
| Shares Outstanding (Basic) | 14.99B |
| Shares Outstanding (Diluted) | 15.06B |
Key Highlights
- 1Total net sales increased 5% year-over-year to $95.4 billion for the fiscal second quarter, driven by strong Services and iPhone performance.
- 2Services revenue grew 12% to $26.6 billion, underscoring its increasing importance to Apple's overall business.
- 3iPhone sales saw a modest 2% increase to $46.8 billion, with Pro models showing particular strength.
- 4Net income for the quarter rose 5% to $24.8 billion, resulting in diluted earnings per share of $1.65, up from $1.53 in the prior year.
- 5Gross margin improved to 47.1% from 46.6% year-over-year, primarily due to the high-margin Services segment.
- 6The company announced a new $100 billion share repurchase authorization and increased its quarterly dividend to $0.26 per share, signaling continued confidence and commitment to shareholder returns.
- 7Sales in Greater China experienced a decline, with net sales down 2% for the quarter and 7% year-to-date, indicating a challenging market environment in the region.