Overview
- Apple reported revenue of $143.8 billion, diluted EPS of $2.84 and net income of $42.1 billion, with iPhone revenue at $85.27 billion and services hitting a record $30.01 billion.
- Greater China sales jumped about 38% to roughly $25.5 billion as iPhone set records across regions, and Apple’s installed base reached approximately 2.5 billion active devices.
- For the March quarter, Apple guided year-over-year revenue growth of 13%–16% and a gross margin of 48%–49%, citing lean channel inventory and supply tightness for advanced silicon nodes.
- Rising memory and DRAM costs were flagged as a potential margin headwind later in fiscal 2026, with CFO commentary indicating the impact was not yet visible in the reported quarter.
- Apple advanced its AI strategy with a multiyear deal to use Google’s Gemini for Apple Intelligence features, and reports point to a nearly $2 billion acquisition of Israeli startup Q.ai as Mac and Wearables trailed expectations while iPad returned to growth.