Apple reported impressive financial results with significant revenue growth driven by iPhone sales and services, but stock fell
From Barchart: 2025-02-18 13:41:16
Tech giant Apple reported a 54% increase in revenue for the third quarter, reaching $81.4 billion. iPhone sales rose by 50% to $39.57 billion, surpassing analyst expectations. Services revenue also grew by 33% to $17.49 billion, reflecting strong performance in the App Store and Apple Music.
Apple’s net income for the quarter was $21.74 billion, up from $11.25 billion in the same period last year. The company’s gross margin reached 43.3%, exceeding projections. Apple’s CEO Tim Cook credited the strong performance to the popularity of the iPhone 12 and high demand for services like Apple Music and iCloud.
Despite the impressive financial results, Apple’s stock price fell by 2.4% in after-hours trading following the earnings report. Analysts are concerned about supply chain disruptions and potential impact of chip shortages on future production. However, the company remains optimistic about the upcoming launch of new products and services.
Apple’s revenue in China doubled to $14.76 billion, driven by strong iPhone sales and growing demand for other products and services. The company also saw growth in other regions, with revenue in the Americas increasing by 33% to $35.88 billion. Europe and Japan also reported revenue growth of 36% and 23% respectively.
Overall, Apple’s performance in the third quarter exceeded expectations, with strong revenue growth driven by iPhone sales and services. The company remains optimistic about future growth opportunities, despite concerns about supply chain disruptions and chip shortages. Investors will be closely watching for updates on new product launches and market expansion strategies.
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