As of about 12:45 PM IST, Tuesday 3 November 2026. Figures are attributed to the sources that published them; anything not independently confirmed is flagged.
Apple reported record revenue for its fiscal fourth quarter on Monday 2 November, the first results since John Ternus succeeded Tim Cook as chief executive on 1 September. Revenue and earnings beat Wall Street estimates, but a softer gross margin forecast for the holiday quarter, which Apple linked partly to higher memory costs, sent the shares down about 3% in extended trading, CNBC reported.
The numbers (quarter ended 26 September)
- Revenue: $114.5 billion, up 12% year on year and a September-quarter record, per Apple. Analysts expected $113.39 billion (LSEG via CNBC).
- Earnings per share: $2.10, up 14%, against $1.99 expected. Apple said tariff refunds added about $0.05.
- Gross margin: 47.9%, including about 1 percentage point from tariff refunds, down from 50.1% the previous quarter, according to CNBC.
- iPhone: $57.58 billion, up about 17%, ahead of the $56.54 billion estimate. The quarter included only eight days of iPhone 18 Pro sales; the new iPhone Duo went on sale after it ended.
- Mac: $10.79 billion, up nearly 24%, the fastest-growing product line.
- iPad: about $6.2 billion, down more than 10% and below estimates.
- Wearables, Home and Accessories: $8.3 billion, down nearly 8%.
- Services: an all-time high, but growth below 10%, the slowest since 2022, CNBC said.
- Greater China: up 21% to $17.53 billion.
- Full year: record revenue of $479 billion, CFO Kevan Parekh said.
Why the shares fell
For the December quarter, Apple guided revenue growth of 7% to 10%, above the 6.1% analysts expected, according to CNBC. But it forecast gross margin of 45% to 46%, below the 46.3% consensus, and services growth of 8% to 9%. Apple said memory costs were higher than in the June quarter. Reuters, as carried by RTHK, reported the stock was down 2.8% after hours.
The wider industry is under pressure from a global memory crunch. IDC's Ryan Reith told CNBC the smartphone and PC market had "never been worse", with IDC expecting smartphone shipments to fall nearly 17% this year. Apple raised prices across its range in June, including $100 on iPhones; Ternus said the company did so "reluctantly".
What Ternus said
Ternus called fiscal 2026 Apple's "best fiscal year ever" and pointed to a busy launch slate, including the folding iPhone Duo, iPhone 18 Pro models, the HomeView home device, a touch-screen MacBook and an updated Siri. Asked about making money from AI, he said the new Siri "offers a compelling reason for upgrading or switching". CNBC noted reports that some iPhone Duo units can crack in normal use; Apple has said this affected a "small number" of devices.
What to watch
- Early iPhone Duo supply and demand; CNBC said first-day preorders slipped into 2027 ship dates.
- Memory prices and their effect on margins across the hardware industry.
- Apple's capital spending, $2.24 billion in the quarter, which remains far below AI-heavy peers.
Related reading on HorizonDesk
- Alphabet Q3 2026 earnings miss as cash flow turns negative
- Amazon Q3 2026 earnings: AWS grows 39%
- Samsung posts record Q3 operating profit on AI chips
