Apple reports Q3 revenue up 16% YoY to $109.42B, above $108.65B est., net income up 27% to $29.79B, and China revenue up 22% to $18.82B, below $19.6B est.

CUPERTINO, Calif.—(BUSINESS WIRE)—Apple® today announced financial results for its fiscal 2026 third quarter ended June 27, 2026.

Apple 2026-07-31

Context & Ripple Effects

Apple’s fiscal Q3 extends the growth pace reported in its strong fiscal Q1 results, when revenue also rose 16% year over year and China sales grew 38%. The latest quarter pairs the same overall revenue-growth rate with faster net-income growth.

The result also builds on Apple’s prior-year Q3 acceleration, when quarterly revenue rose 10% and China sales increased 4%. China’s 22% year-over-year gain is therefore a substantial improvement from that earlier Q3, even though it fell short of the current estimate.

First-order effects

Apple exceeded the revenue forecast and grew net income faster than revenue, reinforcing the earnings strength of its fiscal Q3.
China remains a growth contributor, but the $18.82B result versus a $19.6B estimate makes that market the principal shortfall within an otherwise above-estimate quarter.

Second-order effects

Investors and competitors will have a higher benchmark for large-device-platform growth: Apple sustained 16% revenue growth after posting the same rate in fiscal Q1.
The China miss is likely to concentrate attention on whether the regional growth rate can be maintained, rather than on Apple’s consolidated revenue trajectory alone.

Third-order effects

If the pattern persists, Apple’s earnings narrative will increasingly hinge on its ability to translate a large active-device base into durable revenue growth, while China remains an outsized source of both upside and forecast risk.
The contrast between consolidated outperformance and a regional miss underscores how mature global platforms can become more dependent on execution in a small number of major markets.

The trend: This is one data point in the continued effort by global device platforms to sustain growth and profitability at scale while managing increasingly consequential regional-demand swings.

Discussion

@mweinbach Max Weinbach on x
For those worried MacBook Neo would hurt Apple's product margin, from the earnings call: “Products gross margin was 40.1%, up 140 basis points sequentially. This also included a benefit from the tariff refunds, which had a favorable impact of over 2.5%.”
@stocksavvyshay Shay Boloor on x
$AAPL Q3 EARNINGS • Revenue $109.4B vs Est. $108.9B • EPS $2.02 vs Est. $1.89 • China Revenue $18.8B vs Est. $19.6B • iPhone Revenue $54.3B vs Est. $53.6B • Mac Revenue $10.4B vs Est. $8.6B • R&D spend: $11.7B (+32% YoY) [image]
@caro_milanesi Carolina Milanesi on x
Ah we knew today was going to be @tim_cook last earnings call but it turns out to be John Ternus' first as well - continuity! $AAPL
@neilcybart Neil Cybart on x
Apple returned to its usual $25B of share buyback pace last quarter.
@asymco Horace Dediu on x
Tim Cook's last earnings conference call. A bit sad.
@lanceulanoff Lance Ulanoff on x
Tim Cook on incoming CEO John Ternus, “He is truly one of a kind.” #AppleEarnings
@danielnewmanuv Daniel Newman on x
$AAPL calmly beats top and bottom despite its significant price increases and loud complaining about the rising cost of memory and its need for the U.S. to approve it to use Chinese memory.
@lanceulanoff Lance Ulanoff on x
If I'm reading Apple's earnings right, Services is now over $30B in revenue. As I've said before, this is Cook's legacy. #AppleEarnings [image]
@munster_gene Gene Munster on x
$AAPL was overall slightly better than expected, which explains why the stock is down 2% …
@charliebilello Charlie Bilello on x
Apple revenues increased 16% over the last year to a new Q2 record of $109 billion. Net Income grew 27% year-over-year to new Q2 record of $30 billion. Gross margins increased to 50% (from 46% a year ago), the highest margin in company history. $AAPL [image]
@wolf_financial Wolf on x
BURIED IN APPLE'S $AAPL BALANCE SHEET IS A NUMBER THAT SHOWS HOW SERIOUSLY IT'S TAKING …
@munster_gene Gene Munster on x
Cook says Mac had significant supply constrains and grew at 29%. Would have been better. $AAPL
@zerohedge @zerohedge on x
AAPL is desperately in need of a new revenue stream. Even Services has topped out. The rest is a melting icecube, and after the price hikes, sales will crater [image]
@munster_gene Gene Munster on x
Cook says Apple has created the world's best consumer hardware to experience AI. My take: I agree and expect a consumer hardware upgrade cycle in 2027-2029 driven by personalized AI.
@neilcybart Neil Cybart on x
Apple's 3Q26 earnings are out. $109.4B revenue. Consensus was $109B $1.91 EPS (adjusted). …
@zerohedge @zerohedge on x
*APPLE 3Q REV. $109.42B, EST. $108.85B
Emil Protalinski Emil Protalinski on linkedin
Apple's Q3 2026 earnings report was okay, but nothing special. — Here are the year-over-year numbers: — Revenue up 16% to $109.4 billion …
r/apple r on reddit
Apple reports third quarter results
@neilcybart Neil Cybart on x
I need to spend more time in my Apple earnings model, but Apple may have just reported the strongest year-over-year quarterly revenue growth for Apple Watch and AirPods in years. Will need to confirm how Home/Accessories performed.
@asymco Horace Dediu on x
iPhone grew 21.7%, same as previous q. Mac grew 28.7%(!), well above 5.7% in the previous quarter. iPad down 5.9% (as expected given compare). Wearables up 6.5% vs. 5%. Services up 12% only disappointment.
@asymco Horace Dediu on x
Diluted earnings per share was $2.02, up 29% y/y, and included a favorable impact of $0.11 from tariff refunds. Excluding refunds earnings would have been $1.91, inline with expectations of $1.90 and a slight miss from my $1.93 estimate.
@asymco Horace Dediu on x
iPhone grew 21.7%, same as previous q. Mac grew 28.7%(!), well above 5.7% in the previous quarter. iPad down 5.9% (as expected given compare). Wearables up 6.5% vs. 5%. Services up 12% only disappointment. [image]
@deitaone @deitaone on x
APPLE BEATS ESTIMATES ON IPHONE, MAC STRENGTH Results EPS: $2.02 ($1.91 ex-tariff refunds) …
@mweinbach Max Weinbach on x
For those interested in Apple's services being a bit below guide, Tim Cook says “Turning to services Revenue was $30.7 billion a June quarter. Revenue record, and up 12% from a year ago. Despite significant sequential foreign exchange headwinds.”
@munster_gene Gene Munster on x
$AAPL guide was soft because of supply constraints and 2.5% qq FX growth headwind. Guided Sep revenue up 9-11%. Street was at 12%. Adjusting for FX it would have been up 11.5%-13%. Investors don't care why the guide is lower (FX and supply are not long term issues), they just wan…
@mweinbach Max Weinbach on x
Cook essentially just said on the earnings call that Chinese memory, if they could use it, would help on the supply side and they are not sure about the pricing side Essentially, they just need access and it doesn't necessarily mean it's “cheap Chinese memory”
@neilcybart Neil Cybart on x
Tim Cook on the memory crisis: The impact from higher memory pricing is growing. We are offsetting some of the impact via: 1) Carry-in inventory. 2) Lower costs for things that aren't memory. Pricing continues to move higher though. We are looking at options to add memory supplie…
@munster_gene Gene Munster on x
The $AAPL guide is not as bad as it first looks. Stock now down 8%, at after-hours lows. …
@asymco Horace Dediu on x
Demand has been so strong that Apple has failed to order sufficient production on the SOC nodes. They pulled production forward to cope with 22% iPhone and 29% Mac growth but ran out for the end of year.
@stocksavvyshay Shay Boloor on x
$AAPL CEO Tim Cook said Apple is “evaluating all options” as the DRAM market remains concentrated among just $MU, $SKHY and Samsung. One of the world's largest memory buyer just admitted it has almost no leverage over supply. [image]
@neilcybart Neil Cybart on x
Cook (paraphrasing): We messed up bigly because we didn't see such spectacular demand for iPhone and Mac coming.
@tgod34748 @tgod34748 on x
So essentially Apple's current product cycle is so high in demand that it's hard to keep up with demand. Tim even calls it a great issue.
@mweinbach Max Weinbach on x
Apple is really pushing that there will be supply constraints in the September quarter for iPhone, which essentially means the iPhone 18 series will not be easy to get. Good for investors to know, but worth mentioning for consumers too
@firstadopter Tae Kim on x
Sounds like Apple is expecting further memory chip price hikes in the coming quarters …
@htsfhickey Fred Hickey on x
Listening to Apple conference call currently. What a mess! Services growth slowed significantly. …
r/apple r on reddit
Apple Warns of Growing Supply Constraints for iPhone, iPad, and Mac
@asymco Horace Dediu on x
Tim Cook cites *significant* headwinds on currency for Services growth.
@sssjeffpu Jeff Pu on x
Earnings Note - AAPL Downgrade from Buy to Hold: * Valuation looks full after a 19% outperformance …

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