Apple's latest earnings call marked a milestone of its own: it was the first quarterly review for John Ternus, who took over as CEO from Tim Cook as of September 1.

For the fourth quarter of fiscal year 2026 (the third calendar quarter), the company's revenue rose 12% year over year to $114.5 billion. Net profit came in at $30.7 billion, or $2.10 per share. In the same quarter a year earlier, Apple had posted $102.5 billion in revenue and $27.5 billion in net profit.

iPhone and Mac sales stood out

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Gross margin climbed to 47.9%, up from 47.2% in the year-ago quarter. CFO Kevan Parekh said tariff refunds contributed roughly one percentage point to that improvement. The company also announced a dividend of $0.27 per share, payable on November 16 to shareholders on record as of November 12.

For the full fiscal year, Apple generated $478.8 billion in revenue and $132.2 billion in net profit, surpassing the $416.2 billion in sales and $112.0 billion in profit it recorded in 2025.

Product revenue grew 12% in the quarter to $82.9 billion. The main growth drivers were the iPhone, up 17.5% to $57.6 billion, and the Mac, up 23.7% to $10.8 billion. The newly unveiled foldable iPhone Duo, the iPhone 18 Pro series, and new MacBook Pro models with touchscreens kept demand strong.

Not every segment followed the same trend

The rest of the portfolio declined. iPad revenue fell 10.4% year over year to $6.2 billion. The Wearables, Home and Accessories category dropped 7.9% to $8.3 billion, with last year's launches of the Watch SE 3 and AirPods Pro 3 having created a tough comparison base.

Apple's most profitable business, Services, grew 9.8% to a quarterly record of $31.6 billion. The segment's gross margin rose 40 basis points to 76%. Active device installations surpassed 2.5 billion, setting records across all major product categories and geographic segments, while paid subscriptions across the platform exceeded the 1.5 billion mark with double-digit growth.