Apple’s services business had a record fiscal 2025 with double-digit growth, expecting similar growth in Q1. Revenue rose to $28.8 billion in Q4, up 15% YoY. Services include App Store, Apple Pay, and Apple TV, representing higher profits and revenue for Apple. Management anticipates further growth in fiscal 2026.

Apple’s services segment is crucial, boasting a record-breaking 2025 with App Store users, Apple Pay partners, and Apple TV viewers increasing. Services revenue hit $109.2 billion in fiscal 2025, up 14% from 2024. The segment’s high profitability and recurring revenue make it essential for Apple’s future growth and shareholder value.

Apple’s services momentum is expected to continue in 2026, with potential acceleration. The company’s investment in core services and Apple Intelligence could drive growth. Despite a premium valuation, the services segment’s strength and potential warrant consideration for investors looking for steady, strong growth.

Consideration for buying Apple stock: The Motley Fool’s Stock Advisor team identifies top 10 stocks for investors, excluding Apple. Historical returns show significant gains from their recommendations. With a market-crushing average return, Stock Advisor offers insights for individual investors seeking high-return opportunities.

Read more at Nasdaq: Apple’s Services Business Was a Major Catalyst Last Year, and 2026 Will Likely Be Even Better