Apple (AAPL) Q1 2025 earnings summary

Executive summary

• Achieved all-time record revenue of $124.3 billion for Q1 FY2025, up 4% year-over-year, and record EPS of $2.40 (diluted), up 10% year-over-year.

• Net income reached $36.3 billion, up 7% year-over-year, with gross margin at 46.9%, driven by higher Services margin and mix.

• Installed base surpassed 2.35 billion active devices, reaching new highs across all product categories and regions.

• All-time revenue records set in Americas, Europe, Japan, and Rest of Asia-Pacific, with strong momentum in emerging markets like India.

• Apple Intelligence features launched, driving higher iPhone 16 demand in key markets.

Financial highlights

• Products revenue was $98 billion, up 2% year-over-year, led by iPad and Mac growth; Services revenue reached a record $26.3 billion, up 14% year-over-year.

• Mac revenue was $9 billion, up 16% year-over-year; iPad revenue was $8.1 billion, up 15% year-over-year.

• iPhone revenue was $69.1 billion, roughly flat year-over-year; Wearables, Home and Accessories revenue was $11.7 billion, down 2% year-over-year.

• Operating income increased to $42.8 billion from $40.4 billion year-over-year; cash generated by operating activities was $29.9 billion.

• Gross margin was $58.3 billion, up from $54.9 billion year-over-year.

Outlook and guidance

• March quarter revenue expected to grow low to mid-single digits year-over-year, despite a 2.5 percentage point FX headwind.

• Services revenue expected to grow low double digits year-over-year.

• Gross margin guidance between 46.5% and 47.5%; operating expenses between $15.1 billion and $15.3 billion.

• Quarterly dividend of $0.25 per share declared, payable February 13, 2025.

• Apple Intelligence to expand to more languages in April.