Apple Posts Record $114.5 Billion Quarter
Apple record quarter revenue reached $114.5 billion in the fiscal fourth quarter of 2026, the company reported on November 2. The result set a new September-quarter record and beat Wall Street expectations, even as Apple warned that profit margins will narrow in the December quarter.
Total revenue rose 12 per cent from $102.5 billion a year earlier. Net profit climbed to $30.71 billion, or $2.10 per share, up from $27.47 billion, or $1.85 per share, in the same period last year. Analysts had expected earnings of $1.99 per share on revenue of $113.4 billion, according to a FactSet poll reported by The Hindu.
The quarter covered the three months to September 26, 2026. It was the first earnings report under new chief executive John Ternus, who took over from Tim Cook on September 1. Apple said the quarter also closed its best fiscal year ever, with full-year revenue of $479 billion.
Apple record quarter revenue: the headline numbers
The iPhone drove the result. iPhone revenue rose 17 per cent to $57.58 billion, a record for a September quarter. Services revenue reached an all-time high of $31.57 billion. Mac revenue grew 24 per cent to $10.79 billion, while iPad revenue fell 10 per cent to $6.23 billion.
| Segment | September quarter revenue | Change from a year earlier |
|---|---|---|
| Total revenue | $114.5 billion | Up 12 per cent |
| iPhone | $57.58 billion | Up 17 per cent |
| Services | $31.57 billion | Record high |
| Mac | $10.79 billion | Up 24 per cent |
| iPad | $6.23 billion | Down 10 per cent |
Gross margin widened to 47.9 per cent from 47.2 per cent a year earlier. Apple said tariff refunds added about one percentage point to the margin and five cents per share to earnings. Chief financial officer Kevan Parekh said margins would have slipped without those refunds.
Why the iPhone number stands out
The iPhone result is striking because Apple did not release a standard model in its September refresh. The lineup was led by the higher-priced iPhone 18 Pro and iPhone 18 Pro Max. Apple also raised prices on older handsets, including the iPhone 16, 17, 17e and Air, in September.
Apple sold more expensive phones to more buyers, rather than relying on a cheaper entry model. Revenue in Greater China rose 21 per cent to $17.54 billion, helped by iPhone and Mac sales. That figure still fell short of the $18.75 billion analysts had expected for the region.
Apple’s first foldable phone, the iPhone Duo, played no part in the quarter. Preorders for the device were not included in these results, and the phone went on sale on October 23. Ternus has since said demand for the Duo is outrunning supply, and Apple cannot yet say when supply will catch up.
What happens next
Apple expects December-quarter revenue to grow by 7 to 10 per cent from a year earlier. That range points to a company-record holiday total of between $153.82 billion and $158.13 billion. The forecast came despite supply limits across Mac, iPad and the iPhone Duo.
At the same time, Apple guided its December-quarter gross margin lower, to between 45 and 46 per cent. The company blamed higher memory costs and spending linked to its Siri AI release. Shares were flat after the results were released, then fell 2.6 per cent to $329.60 during the earnings call. The stock had closed down 1.8 per cent at $338.32 in regular trading.
Emarketer analyst Jacob Bourne said record iPhone revenue and strong growth in China showed the strength of Apple’s business. He added that Apple’s cautious approach to AI infrastructure spending helped protect its cash flow, while rivals faced questions over the cost and uncertain returns of their AI bets.
What it means for buyers in Pakistan
For readers in Pakistan, the results matter in two practical ways. First, the Pro-led strategy means the phones driving Apple’s growth are its most expensive models, so buyers should expect premium pricing to stay. Second, supply limits on the new foldable phone mean early buyers may face waits, as Apple itself has now confirmed.
Feature Pakistan earlier reported on Apple Music in Pakistan, including its launch pricing, and on limited early units for the iPhone Duo. Local prices and arrival dates for the newest models still depend on official retail listings in Pakistan, and buyers should check those before ordering from unofficial sellers.
The record quarter comes as Samsung launched new Galaxy phones, and as the New York Times sued Brave over AI scraping.
Frequently asked questions
How much revenue did Apple report for the quarter?
Apple reported $114.5 billion in revenue for the fiscal fourth quarter of 2026, up 12 per cent from $102.5 billion a year earlier.
How much did Apple earn from iPhone sales?
iPhone revenue reached $57.58 billion, up 17 per cent from a year earlier and a record for a September quarter.
Who is Apple’s chief executive now?
John Ternus is Apple’s chief executive. He took over from Tim Cook on September 1, 2026, and this was his first earnings report in the role.
Why will Apple’s profit margin fall next quarter?
Apple guided its December-quarter gross margin to between 45 and 46 per cent, down from 47.9 per cent, mainly because of higher memory costs and spending on its Siri AI release.
Did iPhone Duo sales count in this quarter?
No. The iPhone Duo went on sale on October 23, after the quarter ended on September 26, so its preorders were not included in these results.
