Apple reported fiscal Q4 revenue of $102.5 billion, up 8 percent year-on-year, and service revenue of $28.8 billion, with the latter an all-time high.

For the period ending 27 September, Apple’s iPhone business brought in $49 billion in revenue, topping last year’s $46.2 billion. This was driven primarily by the iPhone 16 family of devices and a few weeks of iPhone 17 sales.

On a call with analysts Apple CEO Tim Cook stated the strong iPhone results were despite supply constraints the company faced for some iPhone 16 and iPhone 17 models.

Greater China revenue was below analysts’ expectations of $16.4 billion, coming in at $14.4 billion compared to $15 billion a year ago.

“The iPhone 17 family has been very well received there,” Cook said on the earnings call. “We do believe that we’ll return to growth in Q1. And that is largely based on the reception of the iPhone there.”

Revenue for the iPad segment was flat at $6.9 billion, while Mac revenue of $8.7 billion topped $7.7 billion from a year ago. Wearables revenue of $9 billion was down slightly.

The company had $27.4 billion in net income during the quarter, up year-on-year from $14.7 billion, though the latter figure had been impacted by a one-off charge.  

For Apple’s fiscal 2025 it booked $416 billion in total revenue, a 6 per cent increase.

Q1
Looking ahead, CFO Kevan Parekh expects revenue in the current quarter that includes the holiday season to grow between 10 per cent and 12 per cent.

“We expect iPhone revenue to grow double digits year-over-year, which would be our best iPhone quarter ever,” Parekh said.

The CFO said Apple is significantly increasing investments in AI and the company’s product roadmap. For the December quarter, Apple is expecting operating expenses to be between $18.1 billion and $18.5 billion.

PP Foresight CEO Paolo Pescatore told Mobile World Live the robust Q4 results combined with the upbeat guidance for the current quarter further reinforces user demand for the new iPhone 17 lineup.

“Services [revenue] is firing on all cylinders, a key engine for future growth as it represents recurring revenue,” he noted.