Apple reported earnings for its Fiscal Q1-2025 (Dec-2024) quarter last Thursday. Overall, it was a ‘good’ quarter. It was not a blowout but it reported an all-time high in revenue and most impressively, gross margin hit 46.9%.
But the most impressive performance came from its Services business which generated $26.3 billion during the quarter. On an annual basis, Services is now generating over $96 billion.
That makes its services business as big as companies like Tesla. It is nearly twice the size of Nike now.
Keep in mind, Services is growing at 14% AND carries a gross margin of 75%, well above the company average of 47%.
More to come here…