Apple CEO Tim Cook dinner attends the world premiere of “F1” at Instances Sq. in New York on June 16, 2025.
Angela Weiss | AFP | Getty Photos
Apple Apple reported third-quarter earnings on Thursday that topped Wall Avenue expectations for revenue and income.
iPhone gross sales grew 13% year-over-year and total income grew 10% — Apple’s largest quarterly income development since December 2021.
This is how Apple did versus consensus estimates for the quarter ending June 28:
- Earnings per share: $1.57 vs. $1.43 anticipated
- Income: $94.04 billion vs. $89.53 billion anticipated
- iPhone income: $44.58 billion vs. $40.22 billion anticipated
- Mac income: $8.05 billion vs. $7.26 billion anticipated
- iPad income: $6.58 billion vs. $7.24 billion anticipated
- Different Merchandise income: $7.40 billion vs. $7.82 billion anticipated
- Companies income: $27.42 billion vs. $26.80 billion anticipated
- Gross margin: 46.5% vs. 45.9% anticipated
The corporate normally supplies casual steerage about the way it sees the present quarter shaping up on a name with analysts. Apple may also possible present details about the way it’s grappling with the Trump administration’s tariffs. Apple stated in Might that it might incur $900 million in tariff prices within the June quarter.
Apple reported $1.57 in earnings per share or $24.43 billion of internet revenue through the quarter, versus $1.40 per share or $21.45 billion within the year-ago interval.
“It was an distinctive quarter by any measure,” Apple CEO Tim Cook dinner instructed CNBC’s Steve Kovach.
Cook dinner stated that about 1% of the corporate’s 10 share factors of income development could possibly be attributed to clients shopping for extra merchandise to get forward of potential tariffs.
The corporate’s most necessary enterprise stays the iPhone, which noticed 13% development on an annual foundation through the quarter to $44.58 billion in gross sales.
Cook dinner stated that iPhone income was robust as a result of the iPhone 16 is extra common in comparison with the iPhone 15 units on sale final yr on the identical time. Cook dinner stated iPhone 16 gross sales have been up “robust double digits” versus its predecessor. Cook dinner particularly highlighted recognition amongst present iPhone customers upgrading to a brand new one.
Apple’s Mac enterprise grew the quickest of any of Apple’s items through the June quarter, rising practically 15% to $8.05 billion in income. Apple launched up to date MacBook Air laptops, its best-selling Mac, simply earlier than the quarter began.
The corporate’s companies enterprise, which incorporates the corporate’s warranties, content material subscriptions, licensing offers with Google, and iCloud continued to develop to $27.42 billion within the interval, a 13% improve. Cook dinner highlighted development within the firm’s iCloud subscriptions and stated App Retailer income grew “double digits” through the quarter.
The 2 harder spots in Apple’s report have been iPad gross sales and the corporate’s different merchandise division, which it generally calls its wearables. It consists of Apple Watch, AirPods, and different equipment. Income for iPad was down 8% to $6.58 billion, regardless of the corporate launching a low-cost iPad in March. Apple’s wearables unit declined 8.64% to $7.4 billion through the quarter.
Apple additionally noticed success in China through the quarter, with gross sales rising 4% on an annual foundation to $15.37 billion. Apple stories its gross sales from China, Hong Kong and Taiwan in the identical unit. It is a reversal from the previous two quarters, the place Apple’s China gross sales declined 2% in Apple’s second fiscal quarter and 11% within the first quarter.
Cook dinner stated a Chinese language subsidy for some units helped Apple within the area.
“The subsidy does apply to a few of our merchandise, and it clearly helps,” Cook dinner stated.
‘Considerably rising’ AI investments
In June, Apple held its annual Worldwide Builders Convention, or WWDC, the place it unveiled new software program for iPhones, Macs and different units, however the firm’s synthetic intelligence bulletins on the occasion underwhelmed traders.
Cook dinner on Thursday stated that Apple views AI as “one of the crucial profound applied sciences of our lifetime.”
“We’re considerably rising our investments,” Cook dinner stated about AI. “We’re embedding it throughout our units, throughout our platforms and throughout the corporate.”
Cook dinner stated that Apple had acquired “round” seven corporations to date this yr though none had been “big when it comes to greenback quantity.”
“We’re open to M&A that accelerates our roadmap,” Cook dinner stated.
That is breaking information. Please test again for updates.