Apple has reported record revenue of $114.5 billion for its September quarter, marking a 12% increase year-over-year. The company also posted a 47.9% gross margin, while earnings per share climbed 14% to $2.10.
The results were partly boosted by tariff refunds, which added $0.05 to earnings per share. They also contributed one percentage point to Apple’s gross margin.
For fiscal 2026, Apple recorded its highest-ever annual revenue of $479 billion. The company also reported double-digit growth in earnings per share, marking its strongest financial year yet.
iPhone Remains Apple’s Biggest Revenue Driver
The iPhone continued to lead Apple’s business during the September quarter. Smartphone sales generated $57.6 billion, compared with $49.0 billion in the same quarter last year. Annual iPhone revenue also reached $254.1 billion in fiscal 2026. That represents a significant increase from $209.6 billion recorded the previous year.
Services also delivered strong results, reaching an all-time quarterly revenue record of $31.6 billion. This compares with $28.8 billion in the year-ago quarter. Full-year services revenue climbed to $123.3 billion, up from $109.2 billion.
Macs Overtake Wearables as Apple’s Third-Largest Business
Mac sales increased to $10.8 billion during the September quarter. The category generated $8.7 billion during the same period last year. As a result, Macs moved ahead of Wearables, Home and Accessories. The latter generated $8.3 billion, down from $9.0 billion a year earlier.
Macs also overtook the category in full-year revenue. Meanwhile, iPad sales declined to $6.2 billion from $6.9 billion during the September quarter. Apple introduced several new products last month across its hardware categories. The launches included updated MacBooks and the company’s first touch-enabled MacBook.
The company also introduced an OLED iPad mini. Its smart home lineup expanded with a new smart display, cameras, thermostats, locks and smart speakers. Additionally, Apple launched a new Apple TV streamer with a higher price tag. However, the iPhone Duo remained the biggest launch among the new devices. The foldable iPhone started shipping in late October.
These launches could influence Apple’s financial performance in the next reporting period. The upcoming holiday quarter will provide a clearer picture of their sales performance.
Americas Remain Apple’s Largest Market
The Americas continued to generate the highest regional revenue for Apple. The company reported $48.7 billion in net sales from the region during the September quarter. Europe followed with $32 billion in revenue. Greater China ranked third, contributing $17.5 billion to Apple’s quarterly sales.
Apple CEO John Ternus said the company had delivered its strongest fiscal year yet. He also highlighted the iPhone’s quarterly sales record and the continued growth of Services. John Ternus described the iPhone Duo as the company’s most significant iPhone transformation since the original model. He also highlighted the iPhone 18 Pro and iPhone 18 Pro Max.
The company has also brought touch functionality to Mac for the first time. According to John Ternus, its latest hardware lineup and the new Siri AI will support Apple’s business during the holiday season.
