Apple held a meeting last Thursday to announce its financial results for the first quarter of 2025. The meeting was attended by Tim Cook, the company's CEO, and Kevan Barrick, the new CFO, who discussed Apple's performance over the past months, especially during the holiday season. Here are the details of Apple's earnings.
iPhone Sales and Apple's "Smartness"
Although revenue from services, Macs and iPads grew, iPhone sales were down slightly. iPhone revenue was $69.1 billion, compared to $69.7 billion last year. The “Apple intelligence“, which was launched with the iOS 18 update, led to a significant increase in device sales.
However, Tim Cook said the iPhone 16 sells better in markets where “Apple intelligence” is available. He added that this feature will become more widespread as people start buying newer devices, especially with the addition of new languages in April.
“From my personal experience, once you try these features, you won’t want to go without them,” Cook said. “I receive hundreds of messages a day, and the summary feature helps me a lot.”
He also indicated that new features for Siri will arrive in the coming months, but he did not specify an exact date.
Best Quarter in Apple's History
Tim Cook said the first quarter of 2025 was Apple's best ever, generating $124.3 billion in revenue, up 4% from last year.
The number of active devices using Apple products reached a new record, surpassing 2.35 billion worldwide. But sales in China fell to $18.5 billion, compared to $20.8 billion last year.
Service Revenue
Services revenue continued its strong growth, reaching $26.3 billion, up 14% year over year. Apple set records in the Americas, Europe, and Asia Pacific. The number of paid subscriptions also increased significantly, surpassing XNUMX billion.
Mac and iPad sales
Mac sales jumped to $9 billion in revenue, up from $7.8 billion last year, thanks to the release of new Macs with the M4 processor. iPad sales were up 15%, helped by the iPad Air and lower-cost versions.
Upcoming Products
When Cook was asked about the possibility of changing the design of the iPhone in the future, he said that there are a lot of innovations coming in the world of smartphones.
Customs tariffs
Regarding the possibility of tariffs, Cook said Apple is monitoring the situation and did not comment further.
Next quarter forecast
Apple expects slight to moderate revenue growth for the quarter ending in March, with a profit margin of between 46.5% and 47.5%.
Source:
11 comment