Report on Apple’s Business Performance: Implications of Import Taxes on Current Quarter Expenditures Totaling 900 Million Dollars

Apple reported its financial performance for the quarter ending in March 2025, with total revenue of $95.359 billion, an increase of 5% compared to the same quarter in the previous year. The net profit stands at $24.780 billion.

Revenue across all regions showed growth except for mainland China, where revenue declined by 2% to $16.002 billion. The Asia-Pacific region, excluding China and Japan, saw a revenue increase of 8% to $7.290 billion, while revenue from the Americas increased by 8% to $40.315 billion.

Revenue breakdown by product groups is as follows:

– iPhone revenue: $46.841 billion, a 2% increase
– iPad revenue: $6.402 billion, a 15% increase
– Mac revenue: $7.949 billion, a 7% increase
– Wearables, Home, and Accessories group revenue: $7.522 billion, a 5% decrease
– Services revenue: $26.645 billion, a 12% increase

Other highlights from the earnings call by CEO Tim Cook and CFO Kevan Parekh include:

– Limited impact from import tax policies in March quarter due to supply chain adjustments.
– Estimated impact from import tax policy in the current quarter is $900 million unless policy changes occur.
– Cook acknowledges difficulty in assessing the impact of import tax after June quarter due to uncertainty.
– Apple may raise product prices to offset the impact of tax policies.
– Apple will comply with court orders regarding the App Store in the U.S. and appeal further.
– Delayed release of new Siri version attributed to longer development time than anticipated.
– Strong iPhone sales in countries supported by Apple Intelligence compared to those without.
– Half of iPad sales in the past quarter came from new customers.
– Apple TV+ achieves new viewership record.

In an interview with CNBC, Tim Cook discusses the management of the supply chain, mentioning that almost half of iPhones sold in America are now manufactured in India, while other products are mostly produced in Vietnam where import taxes are lower than in China. However, most products sold in other countries are still manufactured in China.

TLDR: Apple’s financial report for the quarter ending March 2025 shows revenue growth in all regions except mainland China, with a notable increase in the Asia-Pacific region. Product revenue varied, with iPhone sales leading the way and Services revenue seeing a significant boost. Tim Cook addresses the impact of import tax policies and product developments during the earnings call and subsequent interviews.