Apple’s Q3 2025 Earnings Call Takeaways

Apple held an net telephone for the 3rd fiscal 4th (second calendar quarter) of 2025 today, beating expectations with gross of $94 billion. During the call, Apple CEO Tim Cook and CFO Kevan Parekh shared insights into instrumentality sales, tariffs, and more.

iPhone Popularity

The iPhone 16 models were much fashionable than the iPhone 15 models were past year. Cook said that ‌iPhone 16‌ income accrued "strong treble digits" compared to the ‌iPhone 15‌, with the ‌iPhone 16‌ fashionable with users upgrading to a caller model.

Apple acceptable a June 4th grounds for upgraders, and Cook said that was due to the fact that of the "strength of the product."

Apple precocious shipped its 3 billionth iPhone since the instrumentality debuted successful 2007.

AI

Cook said that Apple is "very open" to an acquisition that would accelerate its AI improvement roadmap. AI is "one of the astir profound technologies of our lifetime," Cook said, adding that Apple is "significantly growing" its investments and reallocating radical to enactment connected AI astatine the company. "We're putting each of our vigor down it," Cook said.

"We're not stuck connected a definite size company," Cook added during the call. "We fundamentally inquire ourselves whether a institution tin assistance america accelerate a roadworthy map, if if they do, past we're interested, but we don't person thing to stock specifically today."

Cook also said that Apple is "making bully progress" connected processing a much personalized mentation of Siri that is powered by Apple Intelligence. Apple is connected way to merchandise the features adjacent year.

Cook was asked whether ample connection models similar ChatGPT could beryllium a commodity successful the future. Cook declined to speech talk connected helium taxable due to the fact that "that gives distant immoderate things successful our strategy."
The mode that we look astatine AI is that it's 1 of the astir profound technologies of our lifetime, and I deliberation it volition impact each devices successful a important way. What pieces of the concatenation are commoditized and not commoditized? I wouldn't privation to truly speech astir today, due to the fact that that gives distant immoderate things connected our strategy.

Tariffs

According to Cook, astir 1 percent constituent of Apple's 10 percent income maturation tin beryllium attributed to customers buying much products to get up of tariffs.

"We saw grounds successful the aboriginal portion of the quarter, specifically, of immoderate pull-ahead related to the tariff announcements," Cook told Reuters.

Cook said that tariffs outgo the institution $800 cardinal successful the June quarter, and that the interaction could beryllium $1.1 cardinal successful the September quarter.

To mitigate tariffs successful the future, Apple is optimizing its proviso chain, and Cook said the institution "will bash much successful the United States."

Post iPhone Devices

Cook was asked astir AI improvement and what Apple would bash if dependence connected screens diminishes. Cook said that it's "difficult to spot a satellite wherever ‌iPhone‌'s not surviving successful it."

He said that Apple is "thinking astir different things," but those aboriginal devices are apt to beryllium "complementary devices" not substitutions.

Services

Services gross was $27.4 billion, up from $24.2 cardinal successful the year-ago quarter, marking an all-time gross record. Apple TV+ viewership was up beardown treble digits twelvemonth implicit year.

App Store gross grew treble digits twelvemonth implicit year, and unreality services besides saw an all-time gross record. Paid accounts and paid subscriptions grew treble digits twelvemonth implicit year, and Apple has "well implicit a billion" paid subscriptions crossed services.
This article, "Apple’s Q3 2025 Earnings Call Takeaways" archetypal appeared connected MacRumors.com

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