Apple Posts a Record $114.5 Billion Quarter — and the Stock Barely Moved

Apple (NASDAQ: AAPL) reported record September-quarter revenue of $114.5 billion on Monday, November 2, 2026, up 12% from a year ago, with earnings of $2.10 a share — beating Wall Street expectations on both lines, yet its shares were roughly flat in after-hours trading. It was the first earnings report under new chief executive John Ternus, who succeeded Tim Cook on September 1.

What happened?

Apple said revenue for its fiscal fourth quarter, ended September 26, rose to $114.48 billion from $102.47 billion a year earlier. That was above the roughly $113.4 billion analysts expected and above the top of Apple's own guidance for 9% to 11% growth. Net income rose to $30.71 billion from $27.47 billion, and diluted earnings per share rose 14% to $2.10 from $1.85, beating a consensus near $1.99.

One detail matters in those numbers. Apple received tariff refunds during the quarter — about $731 million, according to reporting on the release — which added about $0.05 to earnings per share and about one percentage point to gross margin. Without the refunds, earnings would have been about $2.05 a share, still above expectations, and gross margin would have been lower than the reported 47.9%.

Which businesses drove the record?

iPhone revenue was $57.58 billion, a September-quarter record, up from $49.0 billion a year ago and ahead of estimates near $56.5 billion. Services revenue reached an all-time high of $31.57 billion, up from $28.8 billion. Mac revenue jumped to $10.79 billion from $8.7 billion, also beating expectations.

The softer lines explain part of the muted stock reaction. iPad revenue was $6.23 billion and Wearables, Home and Accessories was $8.3 billion. Greater China revenue was $17.5 billion — up from $14.5 billion a year ago, but below forecasts of around $18.8 billion. Americas revenue was $48.7 billion and Europe was $32.0 billion.

Why is it blowing up?

This was the most closely watched report of the day. Apple and Palantir headlined Monday's after-close earnings, after the Nasdaq fell for a third straight day in a broad sell-off in artificial-intelligence stocks. Apple closed the regular session down 1.83% at $338.32, so a clean beat from the world's most valuable company was a test of whether strong results could steady a nervous tech market.

The result also capped a record year. For all of fiscal 2026, Apple reported revenue of about $479 billion — an all-time high — with net income of $132.2 billion and earnings of $8.98 a share, up from $7.46. In the September quarter alone it generated $28 billion in operating cash flow and returned $28 billion to shareholders. Its board declared a dividend of $0.27 a share, payable November 16 to shareholders of record on November 12.

Why did the stock barely move?

Three reasons stand out in the early reaction. First, part of the earnings beat came from one-time tariff refunds, so underlying earnings growth was closer to sales growth. Second, China came in below forecasts and the iPad and wearables lines were soft, giving skeptics something to point to. Third, the September quarter was widely expected to be strong — the real question for investors is the December holiday quarter, the first full quarter for the new iPhone lineup, and what rising memory costs do to margins from here. That guidance discussion on the 5 p.m. ET earnings call matters more than the September numbers themselves.

Chief executive John Ternus said Apple was proud to report a September-quarter revenue record, with iPhone reaching a September-quarter record and Services reaching an all-time high, capping what he called the company's best fiscal year ever. Chief financial officer Kevan Parekh said the quarter set September records for net income and earnings per share.

What's next?

Attention now turns to Apple's outlook for the December quarter, its biggest of the year, and to commentary on supply constraints and memory prices, which Apple had already warned were rising. Tuesday also brings the U.S. midterm elections and earnings from AMD, while Apple's shares will show in Tuesday's regular session whether investors treat this record quarter as reassurance after three days of tech selling — or as a good result that was already priced in.

Sources

9to5Mac · The Motley Fool · TipRanks · Seeking Alpha · investingLive

FAQ

How much revenue did Apple report for the September quarter?

Apple reported $114.5 billion in revenue, up 12% from $102.47 billion a year ago — a September-quarter record that beat expectations of about $113.4 billion.

Did Apple beat earnings expectations?

Yes. Earnings were $2.10 a share, up 14% and above consensus near $1.99, although about $0.05 of that came from one-time tariff refunds; excluding them, earnings were about $2.05.

Which Apple businesses set records?

iPhone revenue of $57.58 billion was a September-quarter record, Services revenue of $31.57 billion was an all-time high, and full-year fiscal 2026 revenue of about $479 billion was a company record.

Why didn't Apple stock jump after the beat?

Shares were roughly flat after hours because part of the beat came from tariff refunds, Greater China revenue of $17.5 billion missed forecasts near $18.8 billion, and investors are focused on December-quarter guidance and memory costs.