Apple has surprised investors by reporting strong sales of iPhones, Macs, and services in its latest quarter, despite concerns over artificial intelligence (AI) and tariffs. Revenue increased 9.6% to $94.04 billion, exceeding expectations of $89.34 billion, with profit rising 9% to $23.43 billion.
The company’s familiar products, such as the iPad and App Store, contributed to the increase in sales. iPhone sales grew over 13% to $44.58 billion, driven by a rush of US customers before tariffs increased prices. Mac sales also saw double-digit growth.
CEO Tim Cook acknowledged that one percentage point of the increase could be attributed to people buying products earlier than usual. Apple expects revenue to rise by 4-9% in the current quarter.
The results were a welcome relief for investors, who have been disappointed with Apple’s failure to release compelling AI products and exposure to tariffs on smartphones made abroad. Shares rose over 3% in after-hours trading.
Cook reiterated that Apple is investing in AI, allocating more people to work on the technology, and expected to release an upgraded version of Siri next year. However, the company faces challenges, including President Trump’s trade policies and domestic companies like Huawei cutting into its market share.
Apple’s services business continues to grow, with sales rising 13.3% to $27.42 billion. The company also reported a increase in iPhone exports from India, which rose to 44% in the latest quarter. Despite this, Apple still faces challenges, including tariffs and competition from domestic companies.
Source: https://www.nytimes.com/2025/07/31/business/apple-earning-iphone-sales.html