Apple’s second-quarter earnings for 2025 show a 5% increase in revenue to $95.4 billion, with net income rising to $24.8 billion from $23.6 billion last year. This growth is driven by increased sales across most product categories, except for Wearables, Home, and Accessories, which saw a 4.9% decline.
Product Performance
The iPhone remains Apple’s top product, with a 1.9% revenue increase thanks to the new iPhone 16e featuring Apple’s custom modem. Counterpoint Research notes that despite mixed social media reception, the iPhone 16e has seen strong sales. The iPad and Mac also performed well, with revenue increases of 15.2% and 6.7%, respectively. The Services category grew by 11.6%.
- iPhone: 1.9% increase
- iPad: 15.2% increase
- Mac: 6.7% increase
- Services: 11.6% increase
- Wearables, Home, and Accessories: 4.9% decline
Regional Breakdown
Apple’s revenue varied by region. Japan saw the largest increase at 16.5%, followed by Asia Pacific (excluding China) at 8.4%, the Americas at 8.2%, and Europe at 1.4%. China was the only region with a decline, at -2.3%.
Apple Intelligence and AI
Tim Cook emphasized that developing Siri to meet Apple’s high standards takes time. Apple’s custom chip design is crucial for its AI performance, making their devices ideal for generative AI processing.
Impact of Tariffs
Cook expressed concerns about the potential impact of tariffs imposed during the Trump administration. While Apple managed its supply chain in the March quarter, the company cannot fully assess the June quarter’s impact due to potential policy changes. If tariffs remain, Apple could face up to $900 million in additional costs.
Source: MacRumors