Apple reported a September-quarter revenue record of $114.5 billion on Monday, up 12 percent from a year ago, with iPhone revenue reaching a September-quarter record and Services revenue hitting an all-time high. Diluted earnings per share rose 14 percent to $2.10, including a favorable $0.05 impact from tariff refunds.
The results cap Apple's fiscal 2026, which ended September 26, with full-year revenue of $479 billion, also a record, and double-digit EPS growth, the company said. Company gross margin came in at 47.9 percent, aided by roughly one percentage point from tariff refunds.
Apple CEO John Ternus said Apple had a September-quarter revenue record, noting the company is closing the year with its “most ambitious lineup yet,” including the iPhone Duo, which he described as “the most transformational iPhone since the original,” alongside the iPhone 18 Pro and iPhone 18 Pro Max. He also highlighted a new generation of home hardware and the introduction of Touch to Mac, plus the all-new Siri AI.
CFO Kevan Parekh said the company generated $28 billion in operating cash flow during the quarter and returned $28 billion to shareholders. The installed base of active devices reached an all-time high across all major product categories and geographic segments, he added.
Apple's board declared a cash dividend of $0.27 per share, payable on November 16 to shareholders of record as of November 12.
Analysis
Why This Matters
- Apple's record quarter signals robust consumer demand for its latest hardware lineup, including the iPhone Duo and new Macs with Touch, heading into the holiday season.
- The favorable impact from tariff refunds boosted margins and earnings, highlighting how trade policy can affect bottom lines for major US tech exporters.
- Services reaching an all-time high underscores Apple's growing reliance on recurring revenue from its ecosystem, a key driver of the company's valuation.
Background
Apple's fiscal 2026 ended with $479 billion in revenue, its best year ever. The company released several new products in the second half of the year, including the iPhone Duo, iPhone 18 Pro and Pro Max, a new generation of home hardware, and Macs with Touch capabilities. The results also reflect the first quarterly report since CEO Tim Cook's retirement; John Ternus now leads the company.
What to Watch
- Holiday quarter guidance, due on the earnings call, will indicate whether strong demand for the new iPhone lineup continues.
- The extent of any further tariff refunds or trade disruptions under the incoming US administration could affect Apple's margins in fiscal 2027.
- Services revenue trajectory: investors will watch for continued acceleration in the App Store, Apple Music, iCloud and other subscription offerings.
Checked
12 claims in this story checked against 1 source: 12 supported.
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- SupportedApple posted a September-quarter revenue record of $114.5 billion, with records for iPhone revenue and Services revenue.Apple Newsroom: “September quarter records for total company revenue, iPhone revenue, and EPS Services revenue reaches new all-time high”
- SupportedFiscal 2026 full-year revenue was a record $479 billion, with double-digit EPS growth.Apple Newsroom: “Our record September quarter capped off a strong fiscal 2026, with all-time record revenue of $479 billion and double-digit EPS growth”
- SupportedTernus said Apple was closing the year with its “most ambitious lineup yet.”Apple Newsroom: ““We’re closing the year with our most ambitious lineup yet.”
- SupportedTernus described the iPhone Duo as “the most transformational iPhone since the original.”Apple Newsroom: “That includes the iPhone Duo, the most transformational iPhone since the original, alongside iPhone 18 Pro and iPhone 18 Pro Max”
- SupportedTernus said the September-quarter revenue record was up 12 percent from a year earlier, with iPhone revenue at a September-quarter record and Services revenue at an all-time high.Apple Newsroom: ““Today, Apple is proud to report a September quarter revenue record of $114.5 billion, up 12 percent from a year ago, with iPhone reaching a September quarter record and Services reaching an all-time high”
- SupportedDiluted EPS rose 14 percent to $2.10 and included a favorable $0.05 impact from tariff refunds.Apple Newsroom: “Diluted earnings per share was $2.10, up 14 percent year over year, and included a favorable impact of $0.05 from tariff refunds.”
- SupportedGross margin was 47.9 percent, including an approximately one-percentage-point favorable impact from tariff refunds.Apple Newsroom: “Company gross margin was 47.9 percent, including a favorable impact of approximately 1 percentage point from tariff refunds.”
- SupportedFiscal 2026 ended September 26.Apple Newsroom: “Apple today announced financial results for its fiscal 2026 fourth quarter ended September 26, 2026.”
- SupportedTernus highlighted a new generation of home hardware, Touch to Mac and the all-new Siri AI.Apple Newsroom: “We also just introduced a whole new generation of hardware for the home and brought Touch to Mac for the first time. Together with the all-new Siri AI”
- SupportedParekh said Apple generated $28 billion in quarterly operating cash flow and returned $28 billion to shareholders.Apple Newsroom: ““We generated $28 billion in operating cash flow during the quarter, allowing us to return $28 billion to shareholders.”
- SupportedParekh said the installed base of active devices reached an all-time high across all major product categories and geographic segments.Apple Newsroom: “our installed base of active devices reached a new all-time high across all major product categories and geographic segments.”
- SupportedApple declared a $0.27-per-share cash dividend, payable November 16 to shareholders of record as of November 12.Apple Newsroom: “The dividend is payable on November 16, 2026, to shareholders of record as of the close of business on November 12, 2026.”
