Apple Sets All-Time Revenue Record in 1Q25

Apple posted an all-time best revenue of $124.3 billion in its fiscal first quarter of 2025 which ended on 28 December 2024. Revenue grew 4% year-on-year, though sales in China fell by 11.1% to $18.5 billion. Net income of $36.3 billion was down 7%.

Fiscal 1Q25 was the first full three months for the sale of the iPhone 16 range. Smartphone revenue of $69.1 billion was flat. The company’s services business, which includes subscriptions, warranties, and licensing deals, posted revenue of $26.3 billion, up 14%. Mac revenue of $9 billion was up 16% and iPad increased 15% to $8.1 billion. Wearables, home, and accessory sales were down 2% to $11.7 billion.

CEO Tim Cook stated on an earnings call that China is the most competitive market in the world. He attributed half of the decline to channel inventory issues which restricted the availability of new hardware in the country. The decline in China sales is the largest since Apple’s fiscal 1Q24 when it dropped 12.9%. “I think there’s a lot more to come and I could not feel more optimistic about our product pipeline,” Cook said. “I think there’s a lot of a lot of innovation left on the smartphone.”