Apple’s Q2 2024 revenues grew 5% year over year, driven by a 2% increase in product sales and 14% growth in services, reaching a record 28% share, according to the report.
According to a report published by Counterpoint Research, Apple’s revenues grew by 5% year-over-year (YoY) in Q2, marking a rebound from a decline in the previous quarter.
Both the product and service segments drove this growth. The product segment saw a 2% YoY increase, recovering from a 10% YoY drop in Q1 2024.
Meanwhile, the service segment continued to foresee double-digit growth, with 14% YoY growth for the fourth consecutive quarter. Now making up 28% of Apple’s total revenue, it is its highest-ever share.
Hardware and services contributed positively despite a slight 1% YoY decline in iPhone revenue. The iPhone Pro series, which comprised 47% of total iPhone sales and improved sales in China during the 618 shopping festival, supported growth.
iPad revenue increased by 24% YoY, rebounding after five quarters of decline, thanks to refreshed Pro and Air series models.
The Mac segment grew by 2% YoY, driven by the new M3-powered MacBook Air.
However, the Wearables, Home, and Accessories segment continued declining for the fourth consecutive quarter, down by 2% YoY. This decline is attributed to rising competition in the smartwatch market and a lack of updates in the AirPods lineup.
On services, Tarun Pathak from Counterpoint Research highlighted Apple’s continued growth and entry into the GenAI era. Though challenges remain in executing AI strategies across regions, successful integration of Apple Intelligence could boost services revenue further. Pathak predicts the services segment could reach $100 billion annually by 2025.
While Apple faces challenges in some product segments, the company’s services and key product lines remain strong. Future growth is expected through upcoming hardware launches and AI advancements.
