Apple Inc. stock research
FY2025 Q4
Apple (AAPL) Gross Margin — Quarter Ended Sep 27, 2025
Revenue, gross profit, and gross margin all improved compared to both the immediately preceding quarter and the same quarter one year earlier. Cost of revenue increased at a slower pace than revenue, supporting the expansion in gross margin.
Gross margin takeaway
Quarter ended Sep 27, 2025 · FY2025 Q4
Revenue, gross profit, and gross margin all improved compared to both the immediately preceding quarter and the same quarter one year earlier. Cost of revenue increased at a slower pace than revenue, supporting the expansion in gross margin.
- The strongest observable margin driver is the relationship between revenue growth and cost of revenue growth, where revenue increased more than cost of revenue relative to both comparison periods.
- Compared to the immediately preceding quarter, revenue, gross profit, and gross margin were higher, while cost of revenue was also higher. Versus the same quarter one year earlier, all three metrics—revenue, gross profit, and gross margin—were higher, with cost of revenue higher as well.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
47.2%
Gross profit
$48.3B
Revenue
$102.5B
Cost of revenue
$54.1B
Quarter-over-quarter change
+0.7 pts
Year-over-year change
+1.0 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Dec 28, 2024 | $124.3B | $58.3B | $66.0B | 46.9% |
| Mar 29, 2025 | $95.4B | $44.9B | $50.5B | 47.1% |
| Jun 28, 2025 | $94.0B | $43.7B | $50.3B | 46.5% |
| Sep 27, 2025 | $102.5B | $48.3B | $54.1B | 47.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 28, 2025
+0.7 pts
Year-over-year change
Sep 28, 2024
+1.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the relationship between revenue growth and cost of revenue growth, where revenue increased more than cost of revenue relative to both comparison periods.
Compared to the immediately preceding quarter, revenue, gross profit, and gross margin were higher, while cost of revenue was also higher. Versus the same quarter one year earlier, all three metrics—revenue, gross profit, and gross margin—were higher, with cost of revenue higher as well.
Monitor the trend in cost of revenue relative to revenue, as its slower growth contributed to margin improvement this quarter.