Financial Performance - Total net sales for Q2 2025 were $95.359 billion, a 5% increase from $90.753 billion in Q2 2024[68] - iPhone net sales reached $46.841 billion in Q2 2025, a 2% increase from $45.963 billion in Q2 2024[75] - Services net sales increased by 12% year-over-year, totaling $26.645 billion in Q2 2025 compared to $23.867 billion in Q2 2024[80] - Gross margin for total products and services was $44.867 billion in Q2 2025, up from $42.271 billion in Q2 2024[81] - The total gross margin percentage for Q2 2025 was 47.1%, compared to 46.6% in Q2 2024[81] - Operating expenses for Q2 2025 totaled $15.278 billion, a 6% increase from $14.371 billion in Q2 2024[87] Regional Sales Performance - The Americas segment saw net sales of $40.315 billion in Q2 2025, an 8% increase from $37.273 billion in Q2 2024[68] - Greater China net sales decreased by 2% year-over-year, totaling $16.002 billion in Q2 2025 compared to $16.372 billion in Q2 2024[68] Expenses and Investments - Research and development expenses rose to $8.550 billion in Q2 2025, compared to $7.903 billion in Q2 2024, representing a 8% increase[87] - Selling, general and administrative expenses increased year-over-year, driven by higher professional services and headcount-related expenses, with a notable increase in variable selling expenses[89] Tax and Obligations - The provision for income taxes for Q2 2025 was $4.53 billion, with an effective tax rate of 15.5%, slightly lower than the 15.8% in Q2 2024[90] - The company’s effective tax rate for the first six months of 2025 was lower than the statutory federal income tax rate due to various factors, including foreign earnings and tax benefits from share-based compensation[91] - Manufacturing purchase obligations amounted to $38.4 billion as of March 29, 2025, payable within 12 months[94] - The company released $15.4 billion to Ireland in connection with the State Aid Decision during the first six months of 2025, fully settling the obligation[95] Shareholder Returns - The authorized share repurchase program had a remaining availability of $40.8 billion as of March 29, 2025, with an additional program announced to repurchase up to $100 billion[96] - The quarterly cash dividend was raised from $0.25 to $0.26 per share, effective for the third quarter of 2025[97] - During Q2 2025, the company repurchased $25.0 billion of its common stock and paid dividends totaling $3.8 billion[97] Future Plans and Changes - New product introductions included iPhone 16e, iPad Air, and MacBook Air in Q2 2025[66] - The company plans to adopt ASU 2024-03 in Q4 2028, which will require disaggregation of income statement expenses[98] Market Risk - There have been no material changes to the company's market risk during the first six months of 2025[102]
Apple(AAPL) - 2025 Q2 - Quarterly Report