![[OC] Apple's $112B Profit Machine: How iPhone Revenue Flows to Net Income (2025)](https://www.byteseu.com/wp-content/uploads/2026/01/46zx4p22rgcg1-1536x973.png "[OC] Apple’s $112B Profit Machine: How iPhone Revenue Flows to Net Income (2025)")
This Sankey diagram shows how Apple's $416B in revenue (FY2025) flows through its P&L statement to reach $112B in net income.
Key insights:
– iPhone still dominates at ~50% of total revenue, despite diversification efforts
– Services (subscriptions, App Store, etc.) are now the #2 revenue driver
– Apple maintains a 47% gross margin ($195B profit on $416B revenue) – meaning they keep nearly half of every dollar in revenue after manufacturing costs
– Operating margin of 32% is extraordinary for a hardware company
The visualization traces money through each stage:
Product Revenue -> Total Revenue -> Cost of Revenue -> Gross Profit -> Operating Expenses -> Operating Income -> Taxes/Interest -> Net Income
What surprises you most? The iPhone's continued dominance, the R&DÂ spend ($34.5B), or how much falls away to taxes ($20.7B)?
Data Source: Financial Modeling Prep API (Apple Inc. FY2025 financials)Â
Tool: D3.js with d3-sankey layout
Posted by stockoscope
9 Comments
**Data Source:**Â Financial Modeling Prep API – Apple Inc. financial statements for FY2025. Revenue segmentation data and income statement line items.
**Tool:**Â D3.js (v7) with d3-sankey extension for layout. React wrapper component with MUI theming.
**Methodology:**Â The Sankey diagram connects Apple’s product/service revenue segments through their complete P&L waterfall. Each flow represents dollar amounts moving from revenue sources.
Colors follow a consistent scheme: blue for revenue streams, red/pink for expenses, green for profit metrics. Node widths are proportional to dollar values.
That margin is massive. Retail businesses will cry blood looking at this.
>or how much falls away to taxes ($20.7B)
20.7B on 133B income is only a ~15% tax rate. Still abysmally low from what it should be.
It flows like a chart,but this chart is like a river of money omg
we need the exact numbers of cost vs net in order to be able to say which sector provides the most net compared to cost.
They’re not burning ridiculous amounts of cash on AI like the other tech giants.
Some of my most favorite science fiction shows are on apple TV. No wonder they are blowing a billion a year on that service. It’s a drop in the ocean compared to their income.Â
15.61% effective tax rate for anyone wondering.
How did you make this plot?