Apple reported record September-quarter revenue of $114.5 billion on November 2, 2026, a 12% increase from a year earlier, as stronger iPhone sales and continued growth in Services helped the company close its biggest fiscal year on record.
The results cover Apple’s fiscal fourth quarter, which ended September 26, 2026. Revenue rose from $102.47 billion in the comparable 2025 period to $114.48 billion, according to financial statements filed with the U.S. Securities and Exchange Commission. Net income increased to $30.71 billion from $27.47 billion, while diluted earnings per share climbed to $2.10 from $1.85.
The increase highlights the continued importance of Apple’s flagship smartphone business at a time when investors are closely examining technology companies’ earnings, spending plans and ability to sustain growth. Investozora’s earlier coverage of technology earnings and the Nasdaq selloff provides context for that wider market scrutiny.
Apple’s iPhone revenue reached $57.58 billion, compared with $49.03 billion a year earlier, an increase of approximately 17.5%. That was a September-quarter record, not a claim that every quarterly iPhone sales record had been surpassed. The company’s disclosed revenue figures measure sales in dollars rather than the number of devices sold, so they do not establish an equivalent increase in unit shipments.
An Investozora calculation using Apple’s reported figures shows that the $8.56 billion increase in iPhone revenue represented approximately 71% of the company’s $12.01 billion overall year-over-year revenue gain. The comparison demonstrates how heavily the quarter’s expansion depended on iPhone performance, even as Apple’s other businesses contributed additional revenue.
iPhone’s Share of Apple’s Revenue Growth
Original calculation | Fiscal Q4 2026 vs. Fiscal Q4 2025 | USD billions
Apple reported quarterly revenue of $114.477 billion, compared with $102.466 billion a year earlier. The increase was $12.011 billion. A comparison of Apple’s SEC-filed product-category figures shows how much of that growth came from iPhone.
Step 1 — Calculate revenue growth
Total revenue increase: $114.477B − $102.466B = $12.011B
iPhone revenue increase: $57.583B − $49.025B = $8.558B
Step 2 — Calculate iPhone’s contribution
($8.558B ÷ $12.011B) × 100 = 71.3%
Calculated from Apple’s reported revenue figures, not device shipment volumes.
What the Revenue Calculation Shows
Approximately 71 cents of every dollar in Apple’s year-over-year quarterly revenue increase came from iPhone. The remaining 29 cents came from all other reported categories combined, including Services, Mac, iPad, and Wearables, Home and Accessories.
This is a contribution-to-growth measure, not iPhone’s share of total revenue. It also does not establish how many additional iPhones Apple sold, whether higher prices contributed to growth, or how much each product category contributed to profit.
Tariff Refunds and Apple’s Gross Margin
Illustrative adjustment | Fiscal Q4 2026 | Percentage points
Apple’s reported gross margin was 47.9%. The company disclosed that tariff refunds contributed approximately one percentage point to the reported figure. This allows an illustrative adjustment using Apple’s own stated estimate.
Reported margin and illustrative adjustment
47.9% − approximately 1.0 percentage point ≈ 46.9%
Not an official Apple adjusted gross margin. Based on an approximate company disclosure.
Why the Adjustment Matters
Apple’s reported gross margin increased from approximately 47.2% in the comparable 2025 quarter to 47.9% in 2026. However, the latest figure included a favorable tariff-refund impact. The entire reported improvement therefore should not be interpreted as an improvement in underlying product profitability.
The illustrative 46.9% figure removes only Apple’s stated current-quarter refund benefit. It is not a fully normalized margin, does not adjust the prior-year quarter for any comparable effects, and should not be used as a definitive like-for-like profitability comparison.
Calculation Methodology
Investozora calculated revenue growth using Apple’s reported total net sales and iPhone sales for the three-month periods ended September 26, 2026, and September 27, 2025. The original financial statements report dollar amounts in millions. Values were converted into billions by dividing by 1,000.
iPhone’s contribution was calculated by dividing the year-over-year increase in iPhone revenue by the year-over-year increase in total company revenue, then multiplying by 100. The remaining contribution was calculated by subtracting the iPhone increase from the total company increase. Final percentages are rounded to one decimal.
The gross-margin illustration subtracts Apple’s disclosed approximate one-percentage-point tariff-refund benefit from its rounded 47.9% reported gross margin. This approximation is not a company-reported adjusted measure.
Primary sources: Apple Q4 2026 earnings release (November 2, 2026).
SEC Exhibit 99.1 — Consolidated Statements . See total net sales, net sales by category, and the company’s tariff-refund disclosure.
Research attribution: Revenue contribution calculations and the illustrative margin adjustment by Investozora, using publicly disclosed Apple financial data. No independent assurance or company endorsement is implied.
Services generated $31.57 billion, up from $28.75 billion, reaching a new all-time quarterly high. Mac revenue climbed to $10.79 billion from $8.73 billion. However, iPad revenue fell to $6.23 billion from $6.95 billion, while Wearables, Home and Accessories declined to $8.30 billion from $9.01 billion. The results therefore show strength across major parts of Apple’s business, but not growth in every product category.
The geographic picture was similarly uneven. Greater China revenue rose to $17.54 billion from $14.49 billion, an increase of roughly 21%, while Americas revenue advanced to $48.68 billion from $44.19 billion. Europe also grew, but Japan revenue slipped slightly to $6.54 billion from $6.64 billion. These are Apple’s geographic reporting segments, not necessarily individual-country sales totals.
Profitability requires an additional qualification. Apple reported a gross margin of 47.9%, compared with approximately 47.2% a year earlier. But the company said tariff refunds contributed approximately one percentage point to its latest quarterly gross margin and five cents to diluted earnings per share, according to its earnings announcement. Removing only that stated current-quarter margin benefit produces an illustrative 46.9% margin, below the prior-year reported figure; it is not a fully adjusted, like-for-like comparison of both periods.
That distinction matters because the headline margin improvement cannot be attributed entirely to stronger product economics or operating efficiency. Investors evaluating the durability of Apple’s profitability need to separate the refund benefit from repeatable business performance.
Apple also increased investment in its operations. Research and development expenses rose to $11.73 billion from $8.87 billion, while total operating expenses increased to $19.19 billion from $15.91 billion. The rise comes amid wider scrutiny of technology-sector investment, reflected in Investozora’s reporting on the recent AI stock selloff, and whether spending on new capabilities ultimately translates into sustainable earnings.
For the full 2026 fiscal year, Apple reported revenue of $478.83 billion, compared with $416.16 billion in fiscal 2025. Annual net income increased to $132.18 billion from $112.01 billion. Apple also reported $145.10 billion in annual operating cash flow, compared with $111.48 billion a year earlier, reinforcing the scale of cash generation behind its investments and shareholder distributions.
CEO John Ternus, who took over in September, pointed to the company’s expanded iPhone lineup and new artificial intelligence features as important elements of its product strategy. Those statements describe management’s commercial priorities, not independently verified forecasts of future demand.
Apple said its board declared a quarterly cash dividend of $0.27 per common share, payable November 16 to shareholders of record on November 12. The next test for investors will be whether demand for newer products and Services growth can sustain revenue gains without relying on one-time profitability benefits. The September-quarter results establish Apple’s strong starting position, but do not guarantee its performance in the holiday shopping period.
