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Apple’s Q3 Financial Performance and Services Growth
Apple Inc. (NASDAQ: AAPL) reported fiscal Q3 results for the period ending June 28, 2025, with a total revenue of $94.0 billion, marking a 10% increase year-over-year. Earnings per share rose to $1.57, up 12%. Notably, the company’s services segment generated $27.42 billion in revenue, accounting for approximately 29% of total sales, and achieved a gross margin of 76%.
Apple’s services revenue is growing faster than hardware revenue and is becoming a crucial part of its profit structure. Over the nine months leading to June 28, 2025, services represented roughly 25% of total revenue, a significant increase from less than 18% in fiscal 2019. This shift indicates a lasting trend where high-margin services will increasingly drive the company’s earnings, as Apple continues to expand its investments in services and artificial intelligence.
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