- Apple reported June 2026 quarter net sales of $109.4 billion, up 16%, and net income of $29.8 billion ($2.02 per diluted share), its strongest June quarter on record.
- iPhone sales rose to $54.3 billion and services revenue grew 12% to $30.7 billion, with all geographic segments contributing to growth.
- Tariff refunds contributed about two percentage points to the 50.1% gross margin and added $0.11 to diluted EPS, a non-recurring benefit that inflates headline results.
- R&D spending rose to $11.7 billion on heavier AI investment, raising ongoing operating costs.
- Over the first nine months of fiscal 2026, Apple generated $117.0 billion in operating cash flow, returned $62.1 billion through buybacks, and paid $11.8 billion in dividends.
- The stock trades at 36 times next year's projected earnings, its highest multiple since 2007, and has risen 27% year-to-date to a $5 trillion market value.
- Analysts are split on whether new hardware, including the foldable iPhone Duo, will lift revenue, with some citing reduced iPhone component orders.
Quotes
“strongest June quarter on record”
“steep price”