Apple Just Had Its Biggest June Quarter Ever, And The iPhone 17 Is The Reason Why

Apple has closed its June quarter with revenues of $109 billion, up 16 percent year on year, which makes it the company's best-ever June quarter and the fourth consecutive quarter in which it has crossed the $100 billion mark, according to Counterpoint Research.

What stands out is how broad the growth was, because hardware and services both grew in double digits at 18 percent and 12 percent respectively, and every geographic segment Apple reports also grew in double digits to set a June quarter record.

The iPhone did most of the heavy lifting, with revenues growing 22 percent year on year and crossing $50 billion in a June quarter for the first time.

Counterpoint's Analyst attributes this to the strong run of the iPhone 17 series along with a pricing decision that has quietly become Apple's biggest advantage this year, because Apple held its prices steady through the quarter while competing brands raised theirs by 15 to 20 percent.

Apple also pushed shipments aggressively, particularly in China, where it is positioning itself to take share from rivals being squeezed by rising costs, and there is a further wrinkle in that anticipation of future iPhone price hikes appears to have pulled some demand forward into this quarter.

The Mac was the other big story with 29 percent growth and its own June quarter record, crossing $10 billion on the back of a full quarter of MacBook Neo availability.

Associate Director David Naranjo notes that the Neo has brought students, first-time Mac buyers and people who would otherwise have bought a Windows laptop into Apple's ecosystem, and while its lower price has pulled down average selling prices, the extra volume combined with steady MacBook Air and Pro demand more than made up for it.

The iPad was the only category to decline, largely because it was up against a strong quarter last year, while Wearables, Home and Accessories grew 6 percent on the back of Apple Watch, AirPods and accessories.

The more interesting question is what happens next, and Research Director Tarun Pathak expects the second half to get harder for the industry as memory prices keep climbing and force Android brands to choose between protecting margins and protecting volumes.

Apple, with its installed base and an encouraging early response to Siri AI, has managed to avoid that trade-off so far.