Fourth-quarter revenue rose 12 percent to $114.5 billion, bolstered by record iPhone sales of $57.58 billion and a 24 percent surge in Mac shipments. However, shares slid roughly 2 percent as leadership warned that holiday gross margins will retreat to between 45 and 46 percent due to escalating memory chip costs. To protect profitability while scaling new Siri AI infrastructure, Apple will introduce usage caps that customers can expand via iCloud+ tiers. Supply constraints also linger elsewhere, with the newly launched foldable iPhone Duo facing shipment delays into next year.
Key points
Accelerating memory chip expenses are actively squeezing profitability and tightening Mac…: Accelerating memory chip expenses are actively squeezing profitability and tightening Mac and iPad inventory ahead of the holidays.
Services revenue growth is projected to decelerate to between 8 and 9 percent amid legal…: Services revenue growth is projected to decelerate to between 8 and 9 percent amid legal rulings and gaming softness.
Infrastructure costs from server-side Siri AI features will be managed through usage caps…: Infrastructure costs from server-side Siri AI features will be managed through usage caps tied to paid iCloud+ subscriptions.
Sources checked by our analysis pipeline: 1
John Ternus’ first report card as
Apple CEO beats Wall Street’s numbers, but the holiday quarter looks pricier to deliver. Apple’s revenue for the September quarter, the fourth of fiscal 2026, was $114.5 billion, up 12 percent and ahead of the $113.4 billion analysts expected. Earnings per share rose 14 percent to $2.10.
The good mood lasted until Apple started talking about December. It expects gross margin of 45 to 46 percent, down from 47.9 percent, because memory chips keep getting more expensive, and it guided services growth at 8 to 9 percent, below what analysts wanted. Shares barely moved after the results, fell about 4 percent while the call was on, and settled around 2 percent lower.
Ternus took over from Tim Cook on September 1, so this was his first call with analysts, and he did not do it alone. CFO Kevan Parekh was there, and so was COO Sabih Khan, a rare face on an Apple earnings call. Apple closed fiscal 2026 with record revenue of $478.8 billion, up 15 percent, and earnings per share of $8.98.
Following a dispute in Punjab, a consumer forum ruled that e-commerce intermediaries cannot escape accountability for defective fulfillment merely by classifying themselves as intermediary platforms. The judgment established that security measures like delivery verification codes fail to guarantee that the correct merchandise is actually present inside a parcel. Consequently, both the e-commerce giant and its independent vendor were held jointly accountable for customer service failures.
Strong operational gains were propelled by higher volumes and an increasing shift toward high-voltage equipment like 220 kV and 400 kV products. Robust order intake has significantly expanded the firm's multi-year execution pipeline, positioning it well to meet ambitious full-year financial targets. Meanwhile, market analysts have highlighted crucial technical levels to monitor potential downside risks following the recent rally.
The capital infusion backs the Mumbai-based studio's ambition to export a homegrown, high-end PC gaming franchise to international audiences. With this strategic support, the venture aims to tap into lucrative overseas markets across modern platforms. The deal highlights growing entertainment crossover into premium game development within India.