Analysis of Reportable Segments
Apple Inc. operates in 5 segments: Americas; Europe; Greater China; Japan; and Rest of Asia Pacific.
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Segment Profit Margin
Apple Inc., profit margin by reportable segment
| Sep 27, 2025 | Sep 28, 2024 | Sep 30, 2023 | Sep 24, 2022 | Sep 25, 2021 | Sep 26, 2020 | |
|---|---|---|---|---|---|---|
| Americas | ||||||
| Europe | ||||||
| Greater China | ||||||
| Japan | ||||||
| Rest of Asia Pacific |
Based on: 10-K (reporting date: 2025-09-27), 10-K (reporting date: 2024-09-28), 10-K (reporting date: 2023-09-30), 10-K (reporting date: 2022-09-24), 10-K (reporting date: 2021-09-25), 10-K (reporting date: 2020-09-26).
- Americas
- The profit margin in the Americas region exhibits a consistent upward trend over the analyzed period. Starting at 30.29% in 2020, it increased steadily each year, reaching 40.64% by 2025. The most notable growth occurred between 2023 and 2024, with an increase of over 3 percentage points, indicating strengthening profitability in this region.
- Europe
- Europe's profit margin also demonstrates a clear upward trajectory, commencing at 32.3% in 2020 and rising to 43% in 2025. The progression is relatively steady, with incremental gains each year. The margin expanded by nearly 11 percentage points over the six-year span, highlighting significant improvement in segment profitability.
- Greater China
- The profit margin in Greater China shows a different pattern compared to other regions. It started at 37.86% in 2020 and increased until 2022, peaking near 42%. However, from 2023 to 2025, the margin fluctuates slightly and experiences a slight decline before recovering somewhat in the final year to 41.81%. This suggests some volatility or challenges impacting profitability in this region during the later years.
- Japan
- Japan maintains the highest profit margin across all regions throughout the period. Starting at 43.32% in 2020, the margin consistently increases, reaching a peak of 49.71% in 2024 before dipping slightly to 48.62% in 2025. The overall trend reflects strong and stable profitability with marginal fluctuations.
- Rest of Asia Pacific
- This region displays a steady increase in profit margin, from 34.75% in 2020 to 43.29% in 2025. Each year registers incremental growth, indicating sustained improvement and expanding profitability in the segment.
- Summary
- Across all regions, profit margins generally trend upwards from 2020 to 2025, demonstrating enhanced segment profitability over time. Japan holds the highest margins consistently, followed by Greater China, Europe, Rest of Asia Pacific, and Americas. Notably, Greater China shows some volatility in the latter years, contrasting with the steady improvements observed in other regions. The most significant gains in margin percentage points occur in Europe and Americas, suggesting these regions may have contributed substantially to overall profitability growth.
Segment Profit Margin: Americas
Apple Inc.; Americas; segment profit margin calculation
| Sep 27, 2025 | Sep 28, 2024 | Sep 30, 2023 | Sep 24, 2022 | Sep 25, 2021 | Sep 26, 2020 | |
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Operating income | ||||||
| Net sales | ||||||
| Segment Profitability Ratio | ||||||
| Segment profit margin1 | ||||||
Based on: 10-K (reporting date: 2025-09-27), 10-K (reporting date: 2024-09-28), 10-K (reporting date: 2023-09-30), 10-K (reporting date: 2022-09-24), 10-K (reporting date: 2021-09-25), 10-K (reporting date: 2020-09-26).
1 2025 Calculation
Segment profit margin = 100 × Operating income ÷ Net sales
= 100 × ÷ =
The financial performance of the Americas reportable segment indicates a positive growth trajectory over the analyzed periods. Net sales exhibited a consistent upward trend, starting from US$124,556 million and reaching US$178,353 million by the latest period. Despite a slight dip observed between the third and fourth years, the overall sales growth reflects expansion in the segment's revenue base.
Operating income increased substantially from US$37,722 million initially to US$72,480 million in the most recent period. This growth, although slightly fluctuating in the middle years (notably a small decrease between the third and fourth years), signals effective cost management and/or improvements in operational efficiency.
Segment profit margin showed a notable improvement throughout the periods under review. Beginning at 30.29%, the margin increased steadily to surpass 40% in the last two years. This suggests enhanced profitability and stronger control over costs relative to revenue, which complements the observed increases in operating income and net sales.
- Net Sales
- Increased from US$124,556 million to US$178,353 million, indicating growth in consumer demand or market expansion.
- Operating Income
- Grew more than 90%, reflecting efficiency gains despite minor fluctuations, with a peak of US$72,480 million.
- Segment Profit Margin
- Rose from 30.29% to over 40%, demonstrating a steady improvement in profitability.
Segment Profit Margin: Europe
Apple Inc.; Europe; segment profit margin calculation
| Sep 27, 2025 | Sep 28, 2024 | Sep 30, 2023 | Sep 24, 2022 | Sep 25, 2021 | Sep 26, 2020 | |
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Operating income | ||||||
| Net sales | ||||||
| Segment Profitability Ratio | ||||||
| Segment profit margin1 | ||||||
Based on: 10-K (reporting date: 2025-09-27), 10-K (reporting date: 2024-09-28), 10-K (reporting date: 2023-09-30), 10-K (reporting date: 2022-09-24), 10-K (reporting date: 2021-09-25), 10-K (reporting date: 2020-09-26).
1 2025 Calculation
Segment profit margin = 100 × Operating income ÷ Net sales
= 100 × ÷ =
- Operating Income
- Operating income has demonstrated a consistent upward trajectory over the six-year period. Starting at 22,170 million US dollars in 2020, it increased significantly to 47,739 million US dollars by 2025. This reflects a more than doubling of operating income, indicating strong operational performance and effective cost management within the segment.
- Net Sales
- Net sales have also shown a steady increase from 68,640 million US dollars in 2020 to 111,032 million US dollars in 2025. The growth is generally stable year-over-year, with only a slight dip observed between 2022 and 2023. Overall, the trend suggests solid revenue expansion in the Europe segment.
- Segment Profit Margin
- The segment profit margin increased consistently from 32.3% in 2020 to 43% in 2025. The upward movement signifies improved profitability and efficiency, as the segment is generating more profit for each dollar of sales. The margin growth aligns with the rising operating income and net sales, indicating that the Europe segment has been enhancing its cost structure and operational leverage over the analyzed period.
- Summary
- Overall, the Europe segment shows strong financial growth characterized by rising net sales, substantial gains in operating income, and a continuous enhancement in profit margin. These trends suggest effective management strategies that have translated into improved profitability and sustained revenue growth. The segment's performance indicates robust market demand and efficient cost control measures, contributing to healthy expansion and financial stability.
Segment Profit Margin: Greater China
Apple Inc.; Greater China; segment profit margin calculation
| Sep 27, 2025 | Sep 28, 2024 | Sep 30, 2023 | Sep 24, 2022 | Sep 25, 2021 | Sep 26, 2020 | |
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Operating income | ||||||
| Net sales | ||||||
| Segment Profitability Ratio | ||||||
| Segment profit margin1 | ||||||
Based on: 10-K (reporting date: 2025-09-27), 10-K (reporting date: 2024-09-28), 10-K (reporting date: 2023-09-30), 10-K (reporting date: 2022-09-24), 10-K (reporting date: 2021-09-25), 10-K (reporting date: 2020-09-26).
1 2025 Calculation
Segment profit margin = 100 × Operating income ÷ Net sales
= 100 × ÷ =
- Operating Income
- The operating income showed a significant increase from 15,261 million US dollars in 2020 to 28,504 million in 2021, almost doubling within a year. This upward trend continued to 31,153 million in 2022. However, after peaking in 2022, operating income experienced a decline over the following years, dropping to 30,328 million in 2023 and further to 26,917 million by 2025.
- Net Sales
- Net sales followed a similar pattern as operating income. They increased sharply from 40,308 million US dollars in 2020 to 68,366 million in 2021, continuing to rise to 74,200 million in 2022. After reaching this high point, net sales decreased gradually, falling to 72,559 million in 2023, then further to 64,377 million by 2025.
- Segment Profit Margin
- The segment profit margin demonstrated relative stability over the six-year period. It started at 37.86% in 2020 and improved consistently, reaching approximately 42% in 2022 and 2023. There was a slight dip to 40.45% in 2024, but the margin rebounded to 41.81% in 2025, indicating overall strong profitability within this segment despite fluctuations in income and sales.
- Summary
- The segment experienced substantial growth in both operating income and net sales from 2020 through 2022. Beginning in 2023, both key financial indicators faced a downward trend, suggesting potential challenges or market conditions affecting performance. Nevertheless, the segment profit margin remained relatively high and stable, indicating efficient cost management and sustained profitability throughout the period under review.
Segment Profit Margin: Japan
Apple Inc.; Japan; segment profit margin calculation
| Sep 27, 2025 | Sep 28, 2024 | Sep 30, 2023 | Sep 24, 2022 | Sep 25, 2021 | Sep 26, 2020 | |
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Operating income | ||||||
| Net sales | ||||||
| Segment Profitability Ratio | ||||||
| Segment profit margin1 | ||||||
Based on: 10-K (reporting date: 2025-09-27), 10-K (reporting date: 2024-09-28), 10-K (reporting date: 2023-09-30), 10-K (reporting date: 2022-09-24), 10-K (reporting date: 2021-09-25), 10-K (reporting date: 2020-09-26).
1 2025 Calculation
Segment profit margin = 100 × Operating income ÷ Net sales
= 100 × ÷ =
The annual financial data for the Japan reportable segment reveals several important trends over the observed periods. Net sales demonstrate a fluctuating but overall upward trajectory. After a significant increase from 21,418 million USD in 2020 to 28,482 million USD in 2021, there was a decline in 2022 and 2023, followed by a recovery in 2024 and a further increase in 2025.
Operating income follows a somewhat parallel pattern to net sales but shows a more consistent increase toward the later years. After rising significantly between 2020 and 2021, operating income experienced a slight decline over the next two periods before rising again through 2024 and 2025, reaching its highest level in the last year observed.
The segment profit margin steadily improved from 43.32% in 2020 to a peak of 49.71% in 2024, indicating enhanced profitability relative to sales over time. Although there was a minor decrease in margin in 2025, it remained substantially higher than the initial value, reflecting strong operational efficiency and profit retention throughout the period.
- Net Sales
- Overall upward trend with a peak in 2021, subsequent decline in the following two years, and recovery in the last two years reaching the highest value in 2025.
- Operating Income
- Generally rising trend with fluctuations; highest value recorded in 2025 following a dip in the middle years.
- Segment Profit Margin
- Consistent improvement over the period, peaking in 2024 before a slight decrease in 2025 but remaining elevated compared to early periods.
In summary, the segment shows resilience with strong recovery patterns in sales and income after mid-period declines. The steady increase in profit margin underscores effective cost management and profitability improvements, contributing to a favorable financial performance by the end of the analyzed timeframe.
Segment Profit Margin: Rest of Asia Pacific
Apple Inc.; Rest of Asia Pacific; segment profit margin calculation
| Sep 27, 2025 | Sep 28, 2024 | Sep 30, 2023 | Sep 24, 2022 | Sep 25, 2021 | Sep 26, 2020 | |
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Operating income | ||||||
| Net sales | ||||||
| Segment Profitability Ratio | ||||||
| Segment profit margin1 | ||||||
Based on: 10-K (reporting date: 2025-09-27), 10-K (reporting date: 2024-09-28), 10-K (reporting date: 2023-09-30), 10-K (reporting date: 2022-09-24), 10-K (reporting date: 2021-09-25), 10-K (reporting date: 2020-09-26).
1 2025 Calculation
Segment profit margin = 100 × Operating income ÷ Net sales
= 100 × ÷ =
The financial data for the "Rest of Asia Pacific" segment demonstrates a consistent upward trend across all key metrics over the six-year period examined. Net sales have increased steadily from 19,593 million US dollars in 2020 to 33,696 million US dollars in 2025, reflecting a significant growth in revenue generation within this region.
Operating income has also shown a marked increase, rising from 6,808 million US dollars in 2020 to 14,586 million US dollars in 2025. This growth in operating income outpaces the net sales growth, indicating an improvement in operational efficiency or profitability.
The segment profit margin, which measures profitability as a percentage of net sales, has increased consistently from 34.75% in 2020 to 43.29% in 2025. This sustained improvement in margin suggests that the segment has been successful in controlling costs or achieving higher value in its sales mix over time.
- Net Sales
- Experienced a continuous upward trajectory, increasing by approximately 72% over the six-year period, illustrating expanding market demand or successful sales strategies in the region.
- Operating Income
- More than doubled from 2020 to 2025, indicating not only growth in revenues but also enhanced operational effectiveness or higher profitability from the segment's activities.
- Segment Profit Margin
- Improved steadily from below 35% to over 43%, reflecting increased profitability relative to sales, which may be attributable to cost reductions, pricing power, or changes in product/service mix.
Overall, the financial metrics reveal a robust and healthy segment performance with positive and consistent growth trends in revenue, income, and margin, underscoring the strategic importance and efficiency of the Rest of Asia Pacific segment within the broader business context.
Net sales
Apple Inc., net sales by reportable segment
US$ in millions
| Sep 27, 2025 | Sep 28, 2024 | Sep 30, 2023 | Sep 24, 2022 | Sep 25, 2021 | Sep 26, 2020 | |
|---|---|---|---|---|---|---|
| Americas | ||||||
| Europe | ||||||
| Greater China | ||||||
| Japan | ||||||
| Rest of Asia Pacific | ||||||
| Total |
Based on: 10-K (reporting date: 2025-09-27), 10-K (reporting date: 2024-09-28), 10-K (reporting date: 2023-09-30), 10-K (reporting date: 2022-09-24), 10-K (reporting date: 2021-09-25), 10-K (reporting date: 2020-09-26).
- Overview of Net Sales Trends
- The total annual reportable segment net sales exhibit a consistent upward trend over the analyzed period, increasing from approximately 274.5 billion USD in 2020 to over 416.1 billion USD in 2025. Despite a minor dip in 2023, the overall trajectory indicates steady growth.
- Regional Performance: Americas
- The Americas segment shows robust growth, with net sales rising from 124.6 billion USD in 2020 to 178.4 billion USD in 2025. Although there was a slight decline in 2023 compared to 2022, the segment recovered strongly in subsequent years, reflecting sustained demand and market strength in this region.
- Regional Performance: Europe
- European net sales have demonstrated continuous growth from 68.6 billion USD in 2020 to 111.0 billion USD in 2025. The growth is relatively steady, with no declines, indicating increasing market penetration and sales effectiveness across the region.
- Regional Performance: Greater China
- The Greater China segment shows a peak in 2022 at 74.2 billion USD but experiences a notable decrease in subsequent years, dropping to 64.4 billion USD by 2025. This decline suggests a potential softening of demand or competitive challenges within the region during the latter years.
- Regional Performance: Japan
- In Japan, net sales maintain a generally positive trend, increasing from 21.4 billion USD in 2020 to 28.7 billion USD in 2025. The segment experienced a slight decrease in 2023 but rebounded strongly by 2025, highlighting moderate but resilient growth.
- Regional Performance: Rest of Asia Pacific
- This segment reflects a steady increase from 19.6 billion USD in 2020 to 33.7 billion USD in 2025. The growth is consistent each year, indicating expanding market presence and improved sales performance in these diverse Asia Pacific markets.
- Summary Insights
- Overall, most regions contribute to the upward net sales trend, with the Americas and Europe showing particularly strong and consistent growth. The decline in Greater China net sales stands out as an area for further market analysis. Japan and the Rest of Asia Pacific display stable and accelerating sales trends, suggesting growth opportunities in those regions. The slight dip in total net sales in 2023 is primarily influenced by decreased sales in Greater China and the Americas, but subsequent recovery is evident.
Operating income
Apple Inc., operating income by reportable segment
US$ in millions
| Sep 27, 2025 | Sep 28, 2024 | Sep 30, 2023 | Sep 24, 2022 | Sep 25, 2021 | Sep 26, 2020 | |
|---|---|---|---|---|---|---|
| Americas | ||||||
| Europe | ||||||
| Greater China | ||||||
| Japan | ||||||
| Rest of Asia Pacific | ||||||
| Corporate | ||||||
| Total |
Based on: 10-K (reporting date: 2025-09-27), 10-K (reporting date: 2024-09-28), 10-K (reporting date: 2023-09-30), 10-K (reporting date: 2022-09-24), 10-K (reporting date: 2021-09-25), 10-K (reporting date: 2020-09-26).
The operating income data by segment reveals several noteworthy trends over the analyzed periods.
- Americas
- The Americas segment exhibits a generally strong upward trajectory. Starting at 37,722 million USD, operating income increases consistently through the periods, reaching 72,480 million USD by the final period. Although there is a slight dip from 62,683 million USD to 60,508 million USD between the third and fourth periods, the overall trend remains positive, with notable gains particularly in the last two years.
- Europe
- Europe’s operating income demonstrates steady growth over time. Beginning at 22,170 million USD, it rises to 47,739 million USD in the last reported period. The increases are relatively consistent each year, indicating robust performance and expansion in this region.
- Greater China
- The Greater China segment shows a different pattern compared to Americas and Europe. Operating income nearly doubles from 15,261 million USD to 28,504 million USD between the first two periods, then continues rising modestly to 31,153 million USD. However, from the fourth period onward, a declining trend emerges, dropping to 26,917 million USD by the latest period. This indicates some challenges or market shifts impacting profitability in this region.
- Japan
- Japan experiences moderate and steady growth in operating income. Starting at 9,279 million USD, the income increases fairly consistently to 13,955 million USD in the final period. There are no significant drops, reflecting stable performance.
- Rest of Asia Pacific
- Operating income in the Rest of Asia Pacific region shows continuous growth throughout the observed periods. Beginning at 6,808 million USD, it almost doubles to 14,586 million USD by the last period, suggesting an expanding business presence and increasing profitability in this area.
- Corporate
- The Corporate segment reflects negative operating income values, representing costs or expenses allocated to the corporate level. These costs increase over time, moving from -24,952 million USD to -42,627 million USD, indicating rising corporate expenses or overheads over the years.
- Total Operating Income
- The total operating income shows a strong upward trend, rising from 66,288 million USD in the initial period to 133,050 million USD in the final period. Despite a slight decrease in the fourth period compared to the third, the overall trend is positive, driven mainly by significant gains in the Americas, Europe, and Rest of Asia Pacific segments.
In summary, regional segment operating incomes reveal varied performance. The Americas, Europe, Japan, and Rest of Asia Pacific segments generally experience stable to strong growth. In contrast, Greater China displays a notable decline in the most recent periods after initial growth. Corporate expenses are increasing consistently, which somewhat offsets the gains in regional operating income. Overall, the total operating income nearly doubles over the examined timeframe, signaling robust operational profitability expansion despite some regional challenges and growing corporate costs.