Apple reported quarterly revenue of $114.5 billion, up 12% year over year, and net income of $30.7 billion, also up 12%. The results for the fiscal quarter ending September 26, 2026, slightly exceeded analysts’ average revenue forecast of $113.4 billion. Growth had been 16% in the previous quarter.
The company expects revenue to rise by 7% to 10% in the coming quarter. Chief Financial Officer Kevan Parekh described the memory-chip shortage as unprecedented and said Apple expects component prices to increase further. The company had previously cited supply-chain constraints, particularly the industry-wide lack of memory chips, as a factor limiting growth.
Apple’s iPhone revenue climbed 17% to $57.6 billion, accounting for nearly half of total sales. Demand for the iPhone 17 range helped the company recover from an earlier period of weakness, while the first iPhone 18 models arrived about a week before the quarter ended.
Apple’s first foldable phone, the iPhone Duo, launched more than a week ago. Chief Executive John Ternus called it a transformative product, and launch-day queues formed outside some stores. Apple’s US website showed delivery estimates extending to January for new orders. However, some users have reported screen cracks when opening the device. Apple acknowledged problems but said only a small number of units were affected.
Results elsewhere were mixed. Revenue from services, Apple’s second-largest business, rose 10% to $31.6 billion, while Mac sales increased 24% to $10.8 billion. By contrast, revenue from iPads fell 10% to $6.2 billion, and sales in the category that includes Apple Watch, AirPods and Vision Pro declined 8% to $8.3 billion. Apple expects services growth to ease to 8% to 9% next quarter.
For the full 2025/2026 fiscal year, Apple’s revenue increased 15% to $478.8 billion and net income rose 18% to $132.2 billion. Ternus became chief executive on September 1, succeeding Tim Cook, who remains with the company as board chairman.
Sources: FAZ.