Apple has just reported its most successful quarterly earnings to date, reaching all-time highs in both total revenue and earnings per share (EPS) for the fiscal 2025 first quarter, which ended on December 28, 2024. The company posted a record-breaking revenue of $124.3 billion USD, marking a 4% increase year-over-year. Their quarterly diluted earnings per share also saw a notable rise, reaching $2.40, up 10% compared to the same period last year.
The October to December 2024 period, driven by the holiday season, turned out to be a milestone for Apple, thanks in part to the launch of the iPhone 16 models. iPhone sales hit $69.1 billion USD, slightly down from the $69.7 billion USD reported in December 2023. However, CEO Tim Cook highlighted a key trend in an investor call, noting that Apple experienced its highest-ever number of customers upgrading to the latest iPhone model. Cook emphasized that the iPhone 16 was outperforming the previous iPhone 15, especially when looking at two full quarters of sales since the launch of the 16, which further supports the growing demand for Apple’s newest devices. “We’ve never seen a higher level of upgraders before,” Cook said, adding that the iPhone install base also reached a new all-time high.
Mac sales also experienced growth, rising to nearly $9 billion USD from the previous year’s $7.8 billion USD. iPad sales increased to $8.7 billion USD, up from $7 billion USD in the same quarter of 2023. However, sales of Apple’s home and accessories segment showed a slight decline, falling from $12 billion USD to $11.7 billion USD.
On the services side, Apple saw impressive growth as well, with service revenues, including Apple TV+ and device warranties, climbing to $26.3 billion USD. In his letter to shareholders, Cook celebrated the quarter’s achievements, saying, “Today Apple is reporting our best quarter ever, with revenue of $124.3 billion, up 4 percent from a year ago. We were thrilled to bring customers our best-ever lineup of products and services during the holiday season.” He also highlighted the growing role of Apple’s in-house technology, specifically Apple Silicon and Apple Intelligence, which are enhancing the overall user experience and will expand to more languages in April.
Overall, Apple’s latest earnings report reflects a strong performance across its product and service categories, cementing its position as a leader in the tech space. With solid growth in both hardware sales and services, Apple is poised for continued success as it continues to innovate and expand its ecosystem of products.
