Apple reported revenue of $114.5 billion on November 2 for its fiscal fourth quarter, up 12% from a year earlier and above Wall Street expectations. The Cupertino, California company delivered its first earnings report under chief executive John Ternus, who took over in September, according to Associated Press and the company release.
The quarter ended September 26. Apple said diluted earnings reached $2.10 a share, including a five-cent benefit from tariff refunds. AP reported that analysts surveyed by FactSet had expected $1.99 a share and revenue of $113.4 billion. The figures put both reported measures above those forecasts.
Apple said iPhone revenue set a September-quarter record while services revenue reached an all-time high. Axios reported that Greater China revenue increased more than 20% to $17.5 billion. These results highlighted growth in both the company's flagship product and an important regional market during the leadership transition.
Costs remain a focus for investors. Reuters reported ahead of the results that rising memory-chip prices would put pressure on profitability, with attention also on the holiday outlook and Ternus's artificial intelligence strategy. AP said recent device price increases partly reflected a global memory shortage linked to the AI boom.
Apple reported a gross margin of 47.9%, including approximately one percentage point from tariff refunds. Chief financial officer Kevan Parekh said quarterly operating cash flow totaled $28 billion and the company returned $28 billion to shareholders. Apple also reported record annual revenue of $479 billion for fiscal 2026.
The next quarter will include sales of the iPhone Duo, Apple's first foldable phone, which AP said went on sale in October and therefore did not contribute to these results. Reuters reported that supply constraints and display complaints were attracting scrutiny. Investors will be watching whether the new products can sustain growth as component costs rise.
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