Apple Revenues and Profits 2000 to 2015: Pre- and Post- iPhone

On Jan 9, 2007, after introducing the iPhone at the Macworld, Steve Jobs announced that they are dropping the word Computer from the company name. It would now be known as Apple Inc, then Apple Computers Inc. iPhone began selling in the U.S. in June 2007. Fast forward eight years, in 2015, two-thirds of Apple total revenues came from iPhone. Apple reinvented the phone with iPhone and that changed the fortune of the company. In this post, firstly we will look at Apple revenues, net profits, and net profit margins in the pre- and post-iPhone years. Then, we will look at iPhone revenues and iPhone unit sales for the years FY 2007 to FY 2015.


Apple Revenues and Net Profits FY 2000 to FY 2015

In FY 2000 (fiscal year ending September 2000), Apple had about $8 billion of revenues and $786 million of net income. The net profit margin was 9.8%. The revenues declined in FY’01 and then slowly recovered to FY’00 level by FY’04. In FY’07, Apple had $24.6 billion of revenues. Since iPhone began selling in June 2007, the last quarter of FY’07 had few revenues from iPhone as well. These were about $0.6 billion.

In FY’15, Apple generated $234 billion in revenues. That is nearly ten times more than FY’07. During the same period, the net profit increased over 15-times from $3.5 billion in FY’07 to $53.4 billion in FY’15. Apple net profit margin also improved. It has remained above 20% since FY’10. Apple had 22.8% net profit margin in FY’15. These are an extremely good net margin for a company that develops and sells consumer devices. CEOs of most Fortune-500 companies would wish for such a net profit margin performance.

Apple Revenues and Profits 2000 to 2015: Pre- and Post- iPhone

Apple iPhone Revenues FY 2007 to FY 2015

Apple generated $155 billion in revenues from iPhone in FY 2015. That is a lot of revenues coming of a single product. Consider this fact. If Apple was only selling iPhones, then it would be in the top-10 companies in the Fortune 500 list of companies.

The share of iPhone revenues in Apple total revenues has been consistently increasing over the past years. In FY 2015, iPhone revenue share was 66.3% of the total revenue.

iPhone revenues registered strong year-on-year growth in the early years. As the revenue base grew, the year-over-year growth started declining as per the law of large numbers. The iPhone revenues year-over-year growth came down from 93% YoY in FY’09 to 12% YoY in FY’14. It is difficult to maintain high growth rates on a large base. But, in FY’15, iPhone revenue growth rates bounced back due to strong demand for iPhone 6 and 6 Plus. iPhone revenues grew 52% YoY from $102 billion in FY’14 to reach $155 billion in FY’15.

Apple Revenues and Profits 2000 to 2015: Pre- and Post- iPhone

Apple iPhone Unit Sales FY 2007 to FY 2015

In FY 2015, Apple sold 231 million iPhones. The iPhone unit sales grew 37% YoY in 2015.

Apple has sold over 800 million iPhones since its launch. Nearly half of them, over 400 million iPhones, have been sold during the last two fiscal years.


Clearly, iPhone has become most important in the Apple products portfolio.

Investors should keep a close watch on iPhone related news. Any unfavorable news on iPhone will negatively impact the Apple stock price. and vice-versa. and, analysts are still wondering what will Apple reinvent next?