On October 31, 2025, Apple CEO Tim Cook predicted that the holiday season sales of iPhones and overall revenue would exceed Wall Street expectations. Cook stated that the iPhone 17 series would be the main source of growth for the company.
In an interview with Reuters, Cook forecasted a double-digit year-over-year growth in iPhone sales for the upcoming holiday quarter. He also mentioned that Apple’s overall revenue is expected to increase by 10% to 12%. Cook noted that the company is ramping up production to meet the demand.
His projections significantly surpassed the estimates from the London Stock Exchange Group (LSEG), where analysts predicted a 9.8% growth in iPhone sales reaching $759.1 billion and a 6.6% increase in total revenue to $1,325.3 billion.
Apple’s CFO Kevan Parekh also stated, “We expect double-digit year-over-year growth in iPhone revenue, setting a new record for Apple’s best iPhone quarter ever.”
During a conference call that day, Cook mentioned that demand for multiple iPhone 17 models and some iPhone 16 models was high in the fourth quarter of the fiscal year, leading to supply shortages. Apple is working diligently to address these supply issues.
Approximately two weeks’ worth of iPhone 17 units are available for sale in the quarter, with Apple retail stores and third-party channels experiencing sold-out situations. Most consumers are opting for the higher-end iPhone 17 Pro model, thereby driving up Apple’s average selling price. The $999 iPhone Air has also contributed to the increase in the average selling price.
Cook remarked, “Currently, we are still facing supply constraints on multiple iPhone 17 models, and we are working at full capacity to fulfill orders. It’s a happy problem to have.”
Despite the delay in the launch of the iPhone Air in China, leading to a decline in sales in the Chinese market for the quarter, Cook remains optimistic about future developments.
“We are confident in the Chinese market,” Cook said. “We are pleased with the Chinese market’s response to new products and expect growth or a return to growth in the first quarter.”
Due to the iPhone Air using only an eSIM card for wireless connectivity and facing delays in regulatory approval from Chinese authorities, the model only arrived in China on October 22. According to data from Visible Alpha, Apple’s sales in China reached $14.49 billion, falling short of analysts’ expectations of $16.24 billion.
Though iPhone sales were impacted by supply constraints and the delayed launch in China, causing them to fall short of expectations in the fourth quarter, other business sectors performed strongly, offsetting the deficit. Additionally, the company’s profits exceeded Wall Street’s expectations.
The service sector remains the fastest-growing area for Apple, with revenue growing by 15% in the previous quarter, reaching $288 billion, surpassing analysts’ expectations of $282 billion.
Mac business revenue increased by 13%, reaching $87.3 billion. Apple updated the MacBook Air and Mac Studio series in March and launched a new entry-level MacBook Pro at the beginning of this month.
In terms of iPad business, revenue remained steady at $69.5 billion, with the introduction of new lower-end and Air models in March and an update to the Pro version this month.
Sales in the Wearables, Home, and Accessories segment (including AirPods, smartwatches, TV set-top boxes, and HomePod smart speakers) experienced a slight decrease of less than 1%, amounting to $90.1 billion. However, the highlight of growth was the new AirPods with translation features.
Apple’s stock price rose by 3.7% in after-hours trading on Thursday.
(This article was compiled based on reports from Reuters and Bloomberg.)