Apple(US:AAPL) EBSCN·2025-08-02 09:37Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company's FY3Q25 revenue and profit exceeded expectations, driven by strong performance in iPhone, Mac, and services, marking the strongest quarterly revenue growth since FY1Q22 [1][5] - The guidance for FY4Q25 indicates mid-to-high single-digit year-over-year revenue growth, surpassing market expectations, despite anticipated tariff-related cost increases [5][10] - The company continues to face pressure from tariffs and potential regulatory risks, particularly concerning its agreement with Google [10] Revenue Performance - FY3Q25 revenue reached $94.04 billion, a 10% year-over-year increase, exceeding Bloomberg consensus estimates of $89.3 billion [1][6] - The iPhone segment generated $44.58 billion in revenue, a 13% year-over-year increase, significantly above expectations [6] - The Mac business saw revenue growth of 14.8% year-over-year, reaching $8.05 billion, driven by new product launches [7] Profitability Metrics - The gross margin for FY3Q25 was 46.5%, at the upper end of the previous guidance range, with net profit of $23.43 billion, reflecting a 9.3% year-over-year increase [1][5] - The company reported a basic EPS of $1.57, exceeding the consensus estimate of $1.43 [1] Segment Analysis - The services segment achieved revenue of $27.42 billion, a 13.3% year-over-year increase, maintaining a high gross margin of 75.6% [9] - Wearable devices and other products generated $7.4 billion in revenue, down 8.6% year-over-year, falling short of market expectations [8] - iPad revenue declined to $6.58 billion, an 8.1% year-over-year decrease, indicating weak demand [7] Future Outlook - The company expects to maintain a gross margin between 46% and 47% in the upcoming quarter, despite the anticipated $1.1 billion in tariff-related costs [5] - The report projects GAAP net profits for FY2025-2027 to be $110.4 billion, $112.8 billion, and $116.9 billion respectively, reflecting significant upward revisions [11][12]