Apple broke by way of the $100 billion income barrier for the primary time in a single quarter, reporting $102.5 billion in gross sales for the July-September interval, pushed by robust demand for its newly launched iPhone 17 lineup regardless of lingering AI considerations and commerce conflict pressures.The Cupertino big's fourth-quarter outcomes for the yr marked an 8% year-over-year improve and delivered document iPhone income of $49 billion, up 6% from final yr. CEO Tim Prepare dinner forecast even stronger efficiency forward, projecting 10-12% income development for the vacation quarter—surpassing Wall Road expectations and signaling continued iPhone 17 momentum.
1,000,000 extra iPhones bought, billions extra earned
Apple's successful system wasn't nearly quantity—analysts estimate the corporate bought roughly a million extra iPhones than final yr. As an alternative, the corporate raised costs by $100 on well-liked fashions and launched attention-grabbing design modifications: a razor-thin iPhone Air and a redesigned iPhone Professional with a particular raised again. The technique labored spectacularly, with revenue surging 86% to $27.5 billion.Providers income additionally hit an all-time excessive of $28.8 billion, bolstered by Google's estimated $20 billion annual cost to stay the default iPhone search engine. The corporate set income information throughout dozens of worldwide markets, together with an all-time excessive in India, although China gross sales dipped 3.6% to $14.5 billion amid regulatory delays for the iPhone Air.
Provide crunch turns into ‘good downside' as AI race continues
Prepare dinner acknowledged persistent provide constraints throughout a number of iPhone 17 fashions extending into the vacation quarter, telling Reuters the corporate is “filling orders simply as quick as we will”—characterizing overwhelming demand as “a very good downside to have.” Extra regarding for traders: Apple's continued lag within the AI arms race. At the same time as Google, Microsoft, and Samsung flood the market with AI-powered options, Apple canceled its deliberate Siri overhaul earlier this yr, pushing main digital assistant upgrades to 2026. Nevertheless, given the robust demand for iPhones and the “good downside” Apple is going through with provide constraints, the AI lag seemingly is not proving to be a lot of an issue for the iPhone maker.Including stress, tariffs are anticipated to value Apple $1.4 billion this quarter because the Trump administration's commerce insurance policies squeeze margins on units manufactured primarily in India and China.
