Apple Services Revenue Statistics 2026: Growth and Margins

Apple’s Services business generated $109,158 million in net sales in fiscal 2025, up 14% from fiscal 2024, according to Apple’s Form 10-K. The same filing puts the Services gross margin percentage at 75.4%, against 36.8% for Products. Those two figures anchor the Apple services revenue statistics below.

Services net sales reached $30,739 million in the quarter ended June 27, 2026, up from $27,423 million a year earlier. Across the first nine months of fiscal 2026, Services net sales rose 14.1% year over year. Every figure below comes from Apple’s own filings and newsroom, which report Services as a single line.

Key Takeaways

• Services made up 26.2% of Apple’s fiscal 2025 net sales, yet it produced 42.2% of the company’s gross margin.
• Services net sales grew 59.5% between fiscal 2021 and fiscal 2025, from a base of $68,425 million.
• The gap between Services and Products gross margin percentage reached 38.6 percentage points in fiscal 2025.
• Services net sales rose 14.1% in the first nine months of fiscal 2026.
• Mac, iPad, and Wearables, Home and Accessories together sold $97,417 million in fiscal 2025, less than Services on its own.
• Apple’s Services gross margin percentage was 75.6% in the third quarter of fiscal 2026, flat compared to the third quarter of 2025, according to Apple’s third-quarter Form 10-Q.

Editor’s Choice

• Fiscal 2025 Services net sales: $109,158 million, against total net sales of $416,161 million.
• Fiscal 2025 Services gross margin: $82,314 million, according to Apple’s annual report.
• Second quarter fiscal 2026 Services net sales: $30,976 million, which Apple called a new all-time high.
• Nine-month fiscal 2026 Services net sales: $91,728 million, against $80,408 million a year earlier.
• Nine-month fiscal 2026 Services gross margin percentage: 76.3%, up from 75.5%. Services gross margin increased during the first nine months of 2026.
• App Store ecosystem in 2025: over $1.4 trillion in developer billings and sales, according to a new study by economists at Analysis Group.

Apple Services Revenue Statistics by Fiscal Year

About This Data

Figures come from 17 Apple documents: 9 SEC filings and 8 Apple Newsroom releases. Shares and growth rates are calculated from those figures.

• Services net sales rose 14% in fiscal 2022, and Services reached $78,129 million that year. Services net sales increased 9%, or $7.1 billion, during 2023 due to higher net sales across all lines of business.
• Services growth reached 13% in fiscal 2024 and 14% in fiscal 2025, while total net sales grew 2% and 6%.
• Apple’s annual Services net sales rose by $40,733 million between fiscal 2021 and fiscal 2025.
• Services accounted for 18.7% of net sales in fiscal 2021, against 26.2% in fiscal 2025.
• Apple’s Services net sales include amortization of the deferred value of services bundled in the sales price of certain products, so some Services revenue arrives with device sales.
• Apple attributed the fiscal 2025 increase primarily to higher net sales from advertising, the App Store and cloud services.

Source: Apple Form 10-K, fiscal 2025 and fiscal 2023

Apple Services Revenue by Quarter

• Fourth-quarter fiscal 2025 Services net sales grew 15.1% year over year, a result Apple described as an all-time revenue record for Services. The device base behind that revenue shows in the Apple ecosystem lock-in data.
• In the December 2025 quarter, Services achieved an all-time revenue record, up 14% from a year ago.
• March 2026 quarter Services net sales rose 16.3% year over year.
• June 2026 quarter growth slowed to 12.1%, although iPhone, Mac and Services revenue set new June quarter records.
• Services net sales slipped by $237 million between the March and June 2026 quarters.
• The three fiscal 2026 quarters reported so far total $91,728 million.

Recent Developments

• September 21, 2026: Apple announced the opening of Apple Music Hall, a live music venue in London’s Battersea Power Station.
• September 15, 2026: Apple TV landed 29 wins at the 78th Primetime Emmy Awards, including 14 for Widow’s Bay.
• September 8, 2026: Apple said Pusheen’s Place launches exclusively on Apple Arcade on October 1, with River City Survivors, Terraria+, Touchgrind BMX 2+, and 4 Pics 1 Word+ also joining the service. Arcade titles also reach Mac players, a market covered in Mac gaming statistics.
• Third-quarter Form 10-Q: Apple’s fiscal 2026 filing said Services net sales increased primarily due to higher net sales from advertising and cloud services.
• July 30, 2026: Apple posted quarterly revenue of $109.4 billion, up 16% year over year, with CEO Tim Cook citing “double-digit revenue growth across iPhone, Mac and Services, and in every geographic segment.”.
• June 4, 2026: Apple said the App Store ecosystem facilitated over $1.4 trillion in developer billings and sales in 2025, citing a study by economists at Analysis Group.

Apple Services Gross Margin Percentage

• Apple’s total gross margin percentage was 46.9% in fiscal 2025, 46.2% in fiscal 2024 and 44.1% in fiscal 2023.
• Apple’s Services gross margin percentage rose to 75.4% in fiscal 2025 from 73.9% in fiscal 2024.
• Apple said the fiscal 2025 increase came primarily from a different mix of services, partially offset by higher costs.
• Apple’s Services gross margin percentage decreased during 2023 compared to 2022.
• Between fiscal 2023 and fiscal 2025, the Services margin percentage gained 4.6 percentage points.
• Apple’s Products gross margin percentage slipped to 36.8% in fiscal 2025 from 37.2%, which Apple linked to a different mix of products and tariff costs.

Source: Apple Form 10-K, fiscal 2025 and fiscal 2023

Apple Services Gross Profit vs Products

• Services produced 31.2% of Apple’s gross margin in fiscal 2021, against 42.2% in fiscal 2025.
• Services gross margin in dollars grew 72.5% from fiscal 2021 to fiscal 2025.
• Products gross margin grew 7.4% over the same four years.
• Services cost of sales was $26,844 million in fiscal 2025, up from $25,119 million, while Products cost of sales reached $194,116 million.
• Apple said the fiscal 2025 rise in Services gross margin came primarily from higher Services net sales and a different mix of services.
• Total gross margin reached $195,201 million in fiscal 2025, up from $180,683 million in fiscal 2024.

By the numbers: Apple’s fiscal 2025 Form 10-K reports Services gross margin of $82,314 million against $112,887 million for Products, on Services net sales of $109,158 million and total net sales of $416,161 million. A business with about a quarter of the revenue now earns roughly two-fifths of Apple’s gross profit.

Apple Services Gross Margin by Quarter

• Services gross margin was $22,966 million in the first quarter of fiscal 2026, against $19,762 million a year earlier.
• The second quarter delivered $23,752 million, up from $20,183 million.
• Third-quarter Services gross margin reached $23,245 million, against $20,725 million a year earlier.
• Apple said Services gross margin increased primarily due to higher Services net sales and a different mix of services, partially offset by higher costs.
• Services cost of sales rose to $7,494 million in the June 2026 quarter from $6,698 million.
• Company gross margin was 50.1% in that quarter, including a favorable impact of approximately 2 percentage points from tariff refunds.

Apple Revenue Breakdown: Services vs Hardware

• Products net sales were $307,003 million in fiscal 2025, or 2.8 times the Services figure.
• Services revenue equaled 52.1% of iPhone revenue in fiscal 2025.
• Services was 20.9% of net sales in the holiday quarter ended December 27, 2025.
• That share rose to 28.1% in the June 2026 quarter.
• Mac net sales grew 12% and iPad 5% in fiscal 2025, while Wearables, Home and Accessories fell 4%. The Mac trend has its own page of Apple Mac sales figures.

Quarter by quarter, the next chart sets iPhone net sales beside Services across the same fiscal periods.

What is Apple’s largest source of revenue?

iPhone net sales were $209,586 million in fiscal 2025, out of total net sales of $416,161 million, or 50.4% of the total. That makes iPhone Apple’s largest source of revenue, with Services second at about a quarter of sales.

Apple Services Revenue Growth in Fiscal 2026

• Services net sales reached $60,989 million in the first six months of fiscal 2026, against $52,985 million a year earlier.
• Apple’s first-quarter Form 10-Q credited higher net sales from advertising, the App Store and cloud services.
• The second-quarter filing named the same three drivers: advertising, the App Store and cloud services.
• The third-quarter filing said Services net sales increased primarily due to higher net sales from advertising and cloud services. The App Store dropped out of the named drivers in the quarter growth slowed.
• Nine-month Services net sales rose by $11,320 million year over year.
• Services supplied 39.1% of Apple’s gross margin in the first nine months of fiscal 2026, down from 41.3% in the first nine months of fiscal 2025.

Source: Apple Form 10-Q and quarterly financial statements, third quarter fiscal 2026

Key finding: Apple’s Form 10-Q filings for fiscal 2026 name advertising, the App Store and cloud services as the Services drivers in the first quarter, but only advertising and cloud services in the third. Advertising and cloud storage now carry the growth story Apple tells investors.

What Apple Services Includes

• Apple’s advertising services include third-party licensing arrangements and the Company’s own advertising platforms.
• AppleCare is a portfolio of fee-based service and support products.
• Apple’s cloud services store and keep customers’ content up-to-date and available across multiple Apple devices and Windows personal computers.
• Digital content runs through platforms including the App Store and subscription services including Apple Arcade, Apple Fitness+, Apple Music, Apple News+ and Apple TV.
• Payment services include Apple Card, a co-branded credit card, and Apple Pay.
• The Apple filings cited here report these lines as one Services number, with no separate App Store, Apple Music, Apple TV or iCloud revenue. Bundles such as Setapp and one-off app purchases compete for the same spend.

Source: Apple Form 10-K, fiscal 2025

Apple Net Sales by Geographic Segment

• Europe net sales grew 10% in fiscal 2025, Japan 15%, and the Americas 7%.
• Greater China net sales declined 4% in fiscal 2025, after falling 7.7% in fiscal 2024.
• Apple said Americas net sales increased during 2025 primarily due to higher net sales of iPhone and Services.
• Total net sales across all segments were $416,161 million, the same total as the category table.

Source: Apple Form 10-K, fiscal 2025

Worth noting: Apple’s fiscal 2025 Form 10-K reports Americas net sales of $178,353 million and Europe net sales of $111,032 million for the year. Those totals cover all products and services, and the Apple filings cited here report no Services revenue by region.

App Store Ecosystem Statistics

• The App Store saw over 850 million average weekly users spanning 175 countries and regions.
• For more than 90% of the billings and sales facilitated by the App Store ecosystem, developers did not pay any commission to Apple.
• Since 2019, the size of the App Store ecosystem has nearly tripled.
• In 2025, more than 40 of the top 100 apps on the storefront featured consumer-facing AI capabilities.
• These are sales through apps, not Apple revenue. Mac developers can also sell outside the store, as Mac App Store versus direct downloads explains.

Source: Apple Newsroom, Analysis Group study, June 2026

Legal and Regulatory Pressure on Apple Services

• Apple earns revenue from licensing arrangements with Google and other companies to offer their search services on its platforms and applications.
• On September 2, 2025, the U.S. District Court for the District of Columbia ordered certain remedies after Google was found to have violated U.S. antitrust laws.
• That order is subject to further proceedings, which may change how the remedies are interpreted or applied.
• The European Commission’s Article 5(4) investigation relates to how developers may communicate and promote offers to end users for apps distributed through the App Store.

Does Google Pay Apple for Search?

Yes, though the Apple filings cited here do not state the amount. Apple earns revenue from licensing arrangements with Google and other companies to offer their search services, according to its latest Form 10-Q. The fiscal 2025 Form 10-K places third-party licensing arrangements inside advertising services.

How Much Does Apple Make From the App Store?

The Apple filings cited here report no App Store revenue. The App Store is one of the digital content platforms Apple’s Form 10-K lists under Services. They give Services only as a total, $109,158 million for fiscal 2025.

The $1.4 trillion figure Apple publicizes is ecosystem billings and sales, and for more than 90% of it developers paid no commission to Apple.

What Is the Outlook for Apple Services in 2026 and 2027?

The Apple releases and filings cited here give no Services forecast. Apple’s third-quarter fiscal 2026 Form 10-Q says the Company believes, in general, gross margins will be subject to volatility and downward pressure. The fiscal 2025 Form 10-K carries the same caution about gross margins.

Services net sales grew 14.1% in the first nine months of fiscal 2026, and the Services gross margin percentage was flat year over year in the third quarter. Apple’s fourth-quarter release will set the full fiscal 2026 total.

Conclusion

Services reached $109,158 million in fiscal 2025, and its gross margin percentage was 75.4%, against 36.8% for Products. That margin lets about a quarter of Apple’s sales deliver roughly two-fifths of its gross profit.

The Apple filings and releases cited here report no App Store, Apple Music or iCloud revenue and no Services split by region. Anyone comparing Apple’s subscription services against Spotify or tracking Mac market share trends should treat finer breakdowns as outside estimates.