Apple Inc.: Q3 FY2026 earnings call

What management said about Q3 FY2026, from the documents filed with the SEC on 30 July 2026: press release. Guidance figures: 1 kept. The quarter’s numbers.

Key takeaways

Revenue rose 16 percent: Revenue was $109.4 billion, against $94.0 billion a year earlier. Products net sales were $78.7 billion and Services net sales were $30.7 billion. Source
Diluted EPS rose 29 percent: Diluted EPS was $2.02 against $1.57 a year earlier, including $0.11 from tariff refunds. Net income was $29.8 billion against $23.4 billion. Source
Europe and Greater China each grew 22.4 percent: Europe net sales were $29.4 billion against $24.0 billion. Greater China net sales were $18.8 billion against $15.4 billion a year earlier. Source
IPhone revenue rose 21.7 percent: iPhone net sales were $54.3 billion against $44.6 billion a year earlier. It was the largest category, ahead of Services at $30.7 billion. Source
Services revenue rose 12.1 percent: Services net sales were $30.7 billion against $27.4 billion, a 12.1 percent increase within the double-digit growth management cited. Source
Siri AI introduced at WWDC26: At WWDC26, management introduced the all-new Siri AI alongside Apple’s latest software innovations and new child safety features. Source
Gross margin reached 50.1 percent: Gross margin was $54.8 billion, or 50.1 percent of net sales. Tariff refunds added about 2 percentage points to that margin, according to the company. Source

“Today, Apple is proud to report our strongest June quarter ever, with double-digit revenue growth across iPhone, Mac and Services, and in every geographic segment,”
Tim Cook, Apple’s CEO

Guidance

Area	Period	Figure	Against last quarter
Quarterly cash dividend Source	Payable August 13, 2026	$0.27 per share	Kept

What changed from last quarter

New: Siri AI and child safety features introduced at WWDC26 Source

Results and growth drivers

Revenue rose 16 percent: Revenue was $109.4 billion, against $94.0 billion a year earlier. Products net sales were $78.7 billion and Services net sales were $30.7 billion. Source
Diluted EPS rose 29 percent: Diluted EPS was $2.02 against $1.57 a year earlier, including $0.11 from tariff refunds. Net income was $29.8 billion against $23.4 billion. Source
Operating income rose to $35.7 billion: Operating income was $35,695 million against $28,202 million. Other income was $572 million, against an expense of $171 million a year earlier. Source
Nine-month revenue reached $364.4 billion: Nine-month net sales were $364.4 billion against $313.7 billion, and nine-month diluted EPS was $6.88 against $5.62 a year earlier. Source

Segments and regions

Europe and Greater China each grew 22.4 percent: Europe net sales were $29.4 billion against $24.0 billion. Greater China net sales were $18.8 billion against $15.4 billion a year earlier. Source
Americas remained the largest region: Americas net sales were $45.8 billion against $41.2 billion, up 11.1 percent, the lowest growth rate among the five reported segments. Source
Japan and Asia Pacific grew: Japan net sales rose 13.3 percent to $6.6 billion. Rest of Asia Pacific net sales rose 15.6 percent to $8.9 billion. Source

“We are very pleased with our record business performance during the quarter, which set new June quarter records for both EPS and operating cash flow,”
Kevan Parekh, Apple’s CFO

Products and customers

IPhone revenue rose 21.7 percent: iPhone net sales were $54.3 billion against $44.6 billion a year earlier. It was the largest category, ahead of Services at $30.7 billion. Source
Mac revenue rose 28.7 percent: Mac net sales were $10.4 billion against $8.0 billion, the fastest growth of any reported category in the quarter. Source
Services revenue rose 12.1 percent: Services net sales were $30.7 billion against $27.4 billion, a 12.1 percent increase within the double-digit growth management cited. Source
IPad revenue declined 5.9 percent: iPad net sales were $6.2 billion against $6.6 billion, the only reported category to decrease. Wearables, Home and Accessories rose 6.5 percent to $7.9 billion. Source
Installed base reached a new high: The company said its installed base of active devices reached a new all-time high across all major product categories and geographic segments. Source
Siri AI introduced at WWDC26: At WWDC26, management introduced the all-new Siri AI alongside Apple’s latest software innovations and new child safety features. Source

Costs, margins and pricing

Gross margin reached 50.1 percent: Gross margin was $54.8 billion, or 50.1 percent of net sales. Tariff refunds added about 2 percentage points to that margin, according to the company. Source
Products margin rose to 40.1 percent: Products gross margin, calculated from products net sales and cost of sales, was 40.1 percent against 34.5 percent a year earlier. Services gross margin was 75.6 percent in both periods. Source
Research and development spending rose: Research and development was $11.7 billion against $8.9 billion a year earlier. Selling, general and administrative was $7.3 billion against $6.7 billion. Source
Income tax provision increased: Provision for income taxes was $6.5 billion against $4.6 billion a year earlier, on income before provision for income taxes of $36.3 billion. Source

Cash flow and balance sheet

Operating cash flow was $117.0 billion: Nine-month cash generated by operating activities was $117.0 billion against $81.8 billion. Calculated from the March six-month figure, the June quarter was about $34.4 billion. Source
Capital expenditure fell: Payments for property, plant and equipment were $6.8 billion for nine months, against $9.5 billion a year earlier. Source
Inventories rose from September: Inventories were $11.1 billion at June 27, 2026, up from $6.7 billion at March 28, 2026 and $5.7 billion at September 27, 2025. Source
Debt and commercial paper declined: Term debt, current and non-current, was $82.3 billion against $90.7 billion at September 27, 2025. Commercial paper was $2.0 billion against $8.0 billion. Source

Capital and returns to shareholders

Dividend held at $0.27 per share: The board declared a $0.27 per share cash dividend, the same rate as the March release, which had been an increase of 4 percent. Source
Nine-month repurchases reached $62.1 billion: Nine-month repurchases of common stock were $62.1 billion against $70.6 billion. Calculated from the March figure, June quarter repurchases were about $25.1 billion. Source
Diluted share count declined: Diluted shares used in computing EPS were about 14.71 billion in the quarter, against about 14.95 billion a year earlier. Source

Coming up, as management said on 30 July 2026

Dividend payable August 13: The $0.27 dividend is payable August 13, 2026, to holders of record at the close of business on August 10, 2026. Source

Figures management reported

Figure	Reported
Americas net sales Source	$45,781 million
Europe net sales Source	$29,395 million
Greater China net sales Source	$18,816 million
Japan net sales Source	$6,554 million
Rest of Asia Pacific net sales Source	$8,871 million
IPhone net sales Source	$54,252 million
Mac net sales Source	$10,352 million
IPad net sales Source	$6,191 million
Wearables, Home and Accessories net sales Source	$7,883 million
Services net sales Source	$30,739 million
Gross margin Source	50.1 percent

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.

As filed with the SEC

Open the filing on EDGAR

Apple reports third quarter results

June quarter records for total company revenue and EPS

iPhone, Mac and Services revenue set new June quarter records

CUPERTINO, CALIFORNIA - Apple® today announced financial results for its fiscal 2026 third quarter ended June 27, 2026. The Company posted quarterly revenue of $109.4 billion, up 16 percent year over year. Company gross margin was 50.1 percent, including a favorable impact of approximately 2 percentage points from tariff refunds. Diluted earnings per share was $2.02, up 29 percent year over year, and included a favorable impact of $0.11 from tariff refunds.

“Today, Apple is proud to report our strongest June quarter ever, with double-digit revenue growth across iPhone, Mac and Services, and in every geographic segment,” said Tim Cook, Apple’s CEO. “At WWDC26, we were thrilled to introduce the all-new Siri AI, alongside all of Apple’s latest software innovations and important new child safety features.”

“We are very pleased with our record business performance during the quarter, which set new June quarter records for both EPS and operating cash flow,” said Kevan Parekh, Apple’s CFO. “Our installed base of active devices also reached a new all-time high across all major product categories and geographic segments.”

Apple’s board of directors has declared a cash dividend of $0.27 per share of the Company’s common stock. The dividend is payable on August 13, 2026, to shareholders of record as of the close of business on August 10, 2026.

Apple will provide live streaming of its Q3 2026 financial results conference call beginning at 2:00 p.m. PT on July 30, 2026, at apple.com/investor/earnings-call. The webcast will be available for replay for approximately two weeks thereafter.

Apple periodically provides information for investors on its corporate website, apple.com, and its investor relations website, investor.apple.com. This includes press releases and other information about financial performance, reports filed or furnished with the SEC, information on corporate governance, and details related to its annual meeting of shareholders.

Forward-looking statements notice

This press release contains forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include without limitation those about payment of the Company’s quarterly dividend and future business plans. These statements involve risks and uncertainties, and actual results may differ materially from any future results expressed or implied by the forward-looking statements. Risks and uncertainties include without limitation: effects of global and regional economic conditions, including as a result of government policies, trade and other international disputes, geopolitical tensions, conflict, terrorism, natural disasters, and public health issues; risks relating to the design, manufacture, introduction, and transition of products and services in highly competitive and rapidly changing markets, including from reliance on third parties for components, technology, manufacturing, applications, services, support, and content; risks relating to information technology system failures, network disruptions, and failure to protect, loss of, or unauthorized access to, or release of, data; and effects of unfavorable legal proceedings, government investigations, and complex and changing laws and regulations. More information on these risks and other potential factors that could affect the Company’s business, reputation, results of operations, financial condition, and stock price is included in the Company’s filings with the SEC, including in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of the Company’s most recently filed periodic reports on Form 10-K and Form 10-Q and subsequent filings. The Company assumes no obligation to update any forward-looking statements, which speak only as of the date they are made.

Apple revolutionized personal technology with the introduction of the Macintosh in 1984. Today, Apple leads the world in innovation with iPhone, iPad, Mac, AirPods, Apple Watch, and Apple Vision Pro. Apple’s six software platforms - iOS, iPadOS, macOS, watchOS, visionOS, and tvOS - provide seamless experiences across all Apple devices and empower people with breakthrough services including the App Store, Apple Music, Apple Pay, iCloud, and Apple TV. Apple’s more than 150,000 employees are dedicated to making the best products on earth and to leaving the world better than we found it.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)

(In millions, except number of shares, which are reflected in thousands, and per-share amounts)

	Three Months Ended		Nine Months Ended
	June 27, 2026	June 28, 2025	June 27, 2026	June 28, 2025
Net sales:
Products	$78,678	$66,613	$272,629	$233,287
Services	30,739	27,423	91,728	80,408
Total net sales	109,417	94,036	364,357	313,695
Cost of sales:
Products	47,153	43,620	163,810	147,097
Services	7,494	6,698	21,765	19,738
Total cost of sales	54,647	50,318	185,575	166,835
Gross margin	54,770	43,718	178,782	146,860
Operating expenses:
Research and development	11,729	8,866	34,035	25,684
Selling, general and administrative	7,346	6,650	22,315	20,553
Total operating expenses	19,075	15,516	56,350	46,237
Operating income	35,695	28,202	122,432	100,623
Other income/(expense), net	572	(171)	670	(698)
Income before provision for income taxes	36,267	28,031	123,102	99,925
Provision for income taxes	6,478	4,597	21,638	15,381
Net income	$29,789	$23,434	$101,464	$84,544
Earnings per share:
Basic	$2.03	$1.57	$6.91	$5.64
Diluted	$2.02	$1.57	$6.88	$5.62
Shares used in computing earnings per share:
Basic	14,656,110	14,902,886	14,692,515	14,992,898
Diluted	14,714,676	14,948,179	14,750,302	15,051,726
Net sales by reportable segment:
Americas	$45,781	$41,198	$149,403	$134,161
Europe	29,395	24,014	95,596	82,329
Greater China	18,816	15,369	64,839	49,884
Japan	6,554	5,782	24,368	22,067
Rest of Asia Pacific	8,871	7,673	30,151	25,254
Total net sales	$109,417	$94,036	$364,357	$313,695
Net sales by category:
iPhone	$54,252	$44,582	$196,515	$160,561
Mac	10,352	8,046	27,137	24,982
iPad	6,191	6,581	21,700	21,071
Wearables, Home and Accessories	7,883	7,404	27,277	26,673
Services	30,739	27,423	91,728	80,408
Total net sales	$109,417	$94,036	$364,357	$313,695

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)

(In millions, except number of shares, which are reflected in thousands, and par value)

	June 27, 2026	September 27, 2025
ASSETS:
Current assets:
Cash and cash equivalents	$39,544	$35,934
Marketable securities	22,855	18,763
Accounts receivable, net	31,398	39,777
Vendor non-trade receivables	27,509	33,180
Inventories	11,092	5,718
Other current assets	17,420	14,585
Total current assets	149,818	147,957
Non-current assets:
Marketable securities	84,118	77,723
Property, plant and equipment, net	51,431	49,834
Intangible assets, net	20,342	11,093
Other non-current assets	77,557	72,634
Total non-current assets	233,448	211,284
Total assets	$383,266	$359,241
LIABILITIES AND SHAREHOLDERS’ EQUITY:
Current liabilities:
Accounts payable	$64,525	$69,860
Other current liabilities	62,259	66,387
Deferred revenue	9,538	9,055
Commercial paper	1,997	7,979
Term debt	11,007	12,350
Total current liabilities	149,326	165,631
Non-current liabilities:
Term debt	71,340	78,328
Other non-current liabilities	55,080	41,549
Total non-current liabilities	126,420	119,877
Total liabilities	275,746	285,508
Commitments and contingencies
Shareholders’ equity:
Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares authorized; 14,608,963 and 14,773,260 shares issued and outstanding, respectively	100,702	93,568
Retained earnings/(Accumulated deficit)	11,326	(14,264)
Accumulated other comprehensive loss	(4,508)	(5,571)
Total shareholders’ equity	107,520	73,733
Total liabilities and shareholders’ equity	$383,266	$359,241

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

(In millions)

	Nine Months Ended
	June 27, 2026	June 28, 2025
Cash, cash equivalents, and restricted cash and cash equivalents, beginning balances	$35,934	$29,943
Operating activities:
Net income	101,464	84,544
Adjustments to reconcile net income to cash generated by operating activities:
Depreciation and amortization	9,973	8,571
Share-based compensation expense	10,523	9,680
Other	(2,037)	(1,748)
Changes in operating assets and liabilities:
Accounts receivable, net	8,316	5,685
Vendor non-trade receivables	5,671	13,555
Inventories	(5,461)	1,223
Other current and non-current assets	(16,266)	(6,116)
Accounts payable	(5,203)	(18,479)
Other current and non-current liabilities	10,016	(15,161)
Cash generated by operating activities	116,996	81,754
Investing activities:
Purchases of marketable securities	(48,752)	(17,591)
Proceeds from maturities of marketable securities	26,504	35,036
Proceeds from sales of marketable securities	12,016	10,785
Payments for acquisition of property, plant and equipment	(6,799)	(9,473)
Other	(1,780)	(975)
Cash generated by/(used in) investing activities	(18,811)	17,782
Financing activities:
Payments for taxes related to net share settlement of equity awards	(6,462)	(5,719)
Payments for dividends and dividend equivalents	(11,778)	(11,559)
Repurchases of common stock	(62,094)	(70,579)
Proceeds from issuance of term debt, net	-	4,481
Repayments of term debt	(8,146)	(9,682)
Repayments of commercial paper, net	(5,911)	(65)
Other	(184)	(87)
Cash used in financing activities	(94,575)	(93,210)
Increase in cash, cash equivalents, and restricted cash and cash equivalents	3,610	6,326
Cash, cash equivalents, and restricted cash and cash equivalents, ending balances	$39,544	$36,269
Supplemental cash flow disclosure:
Cash paid for income taxes, net	$26,555	$37,332

Contacts
Josh Rosenstock
Apple jrosenstock@apple.com
(408) 862-1142
Suhasini Chandramouli
Apple suhasini@apple.com
(408) 974-3123
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