Sensor Tower data showed that Apple’s (NASDAQ:AAPL) App Store revenue and downloads grew in August, but slower than historical trends.
Year-over-year revenue growth eased to 11.2% and downloads rose 2.2%, signaling a softer trajectory for Apple’s Services segment.
JP Morgan analyst Samik Chatterjee maintained an Overweight rating on Apple.
Chatterjee said Apple’s App Store revenue showed softer-than-usual momentum in August, indicating a modest deceleration in growth relative to historical seasonal trends.
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According to Sensor Tower data cited by Chatterjee, App Store revenue rose just 0.6% month-over-month in August, below the historical July-to-August average of +1.9%.
On a year-over-year basis, revenue growth slowed to +11.2% in August, compared with +12.8% in July.
The analyst noted that this trend sits slightly under Apple management’s guidance for fiscal fourth-quarter 2025 Services growth of about +13% Y/Y, with current quarter-to-date data implying closer to ~12% Y/Y growth.
App Store downloads also trailed seasonal norms, Chatterjee noted. Downloads were flat month-over-month in August, versus a +7.1% increase in July and an average historical sequential change of +0.8% for that period.
Year-over-year, downloads increased by +2.2% in August, compared with +2.5% in July.
Chatterjee highlighted that while growth remains positive, the August figures point to a modest shortfall versus expectations, reinforcing a slightly softer trajectory for Apple’s Services segment in the September quarter.
AAPL Price Action: Apple shares were up 1.25% at $229.74 at the time of publication Thursday.
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