Apple reports first quarter results
Rhea-AI Summary
Apple (AAPL) reported fiscal Q1 2026 results for the quarter ended December 27, 2025, with $143.8 billion revenue (+16% YoY) and $2.84 diluted EPS (+19% YoY), both all-time records. iPhone and Services reached new revenue highs, with Services up 14% YoY.
Operating cash flow was nearly $54 billion; Apple returned almost $32 billion to shareholders and declared a $0.26 per-share cash dividend payable February 12, 2026 (record Feb 9, 2026).
Positive
- Total revenue of $143.8B, up 16% YoY
- Diluted EPS of $2.84, up 19% YoY
- Operating cash flow of nearly $54B
- Returned almost $32B to shareholders in the quarter
- Installed base exceeded 2.5 billion active devices
- Services revenue reached an all-time high, up 14% YoY
Negative
- None.
Key Figures
Market Reality Check
Peers on Argus
Ahead of the report, AAPL was down 0.71% with peers SONY, LPL, MSFT, and UEIC also negative (from about -0.9% to -1.5%), while NVDA was modestly positive, suggesting broader large-cap tech softness rather than an AAPL-only move.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Oct 30 | Quarterly earnings | Positive | -0.4% | Record Q4 2025 revenue and EPS with strong Services contribution. |
| Jul 31 | Quarterly earnings | Positive | -2.5% | Record Q3 2025 revenue and EPS, iPhone and Services strength. |
| May 01 | Quarterly earnings | Positive | -3.7% | Strong Q2 2025 growth, record Services and new $100B buyback. |
| Jan 30 | Quarterly earnings | Positive | -0.7% | Record Q1 2025 revenue and EPS with robust holiday performance. |
| Oct 31 | Quarterly earnings | Positive | -1.3% | Record Q4 2024 revenue, strong cash flow and shareholder returns. |
Earnings releases have consistently highlighted record revenue and EPS, yet short-term price reactions have often been negative or muted despite positive fundamentals.
Over the past five earnings cycles, Apple reported steadily rising revenue and EPS, with multiple references to all-time records and strong Services contributions. Dividends of $0.25–$0.26 per share and large buyback authorizations underscored ongoing capital returns. Despite this, immediate 24-hour price reactions around these earnings dates were frequently negative. Today’s Q1 2026 record results and reiterated $0.26 dividend fit this pattern of strong fundamentals against cautious short-term trading responses.
Historical Comparison
In the last five earnings reports, AAPL showed an average move of 1.72% despite consistently strong revenue and EPS, suggesting modest but often cautious post-earnings trading.
Across recent earnings, Apple has repeatedly delivered record revenue, EPS growth, and stable dividends around <b>$0.26</b>, with Services and installed base metrics steadily reaching new highs.
Market Pulse Summary
This announcement highlighted Apple’s fiscal Q1 2026 strength, with revenue of $143.8 billion and diluted EPS of $2.84, both growing at double-digit rates. iPhone and Services set new records, and the installed base surpassed 2.5 billion active devices. Nearly $54 billion in operating cash flow funded almost $32 billion in shareholder returns and a $0.26 dividend. Compared with prior earnings, the update continues a trend of record results, making future Services momentum, device growth, and capital returns key metrics to watch.
AI-generated analysis. Not financial advice.
All-time records for total company revenue and EPS
iPhone and Services revenue reach new all-time highs
“Today, Apple is proud to report a remarkable, record-breaking quarter, with revenue of
“During the December quarter, our record business performance and strong margins led to EPS growth of 19 percent, setting a new all-time EPS record,” said Kevan Parekh, Apple’s CFO. “These exceptionally strong results generated nearly
Apple’s board of directors has declared a cash dividend of
Apple will provide live streaming of its Q1 2026 financial results conference call beginning at 2:00 p.m. PT on January 29, 2026, at apple.com/investor/earnings-call. The webcast will be available for replay for approximately two weeks thereafter.
Apple periodically provides information for investors on its corporate website, apple.com, and its investor relations website, investor.apple.com. This includes press releases and other information about financial performance, reports filed or furnished with the SEC, information on corporate governance, and details related to its annual meeting of shareholders.
This press release contains forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include without limitation those about payment of the Company’s quarterly dividend and future business plans. These statements involve risks and uncertainties, and actual results may differ materially from any future results expressed or implied by the forward-looking statements. Risks and uncertainties include without limitation: effects of global and regional economic conditions, including as a result of government policies, trade and other international disputes, geopolitical tensions, conflict, terrorism, natural disasters, and public health issues; risks relating to the design, manufacture, introduction, and transition of products and services in highly competitive and rapidly changing markets, including from reliance on third parties for components, technology, manufacturing, applications, services, support, and content; risks relating to information technology system failures, network disruptions, and failure to protect, loss of, or unauthorized access to, or release of, data; and effects of unfavorable legal proceedings, government investigations, and complex and changing laws and regulations. More information on these risks and other potential factors that could affect the Company’s business, reputation, results of operations, financial condition, and stock price is included in the Company’s filings with the SEC, including in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of the Company’s most recently filed periodic reports on Form 10-K and Form 10-Q and subsequent filings. The Company assumes no obligation to update any forward-looking statements, which speak only as of the date they are made.
Apple revolutionized personal technology with the introduction of the Macintosh in 1984. Today, Apple leads the world in innovation with iPhone, iPad, Mac, AirPods, Apple Watch, and Apple Vision Pro. Apple’s six software platforms — iOS, iPadOS, macOS, watchOS, visionOS, and tvOS — provide seamless experiences across all Apple devices and empower people with breakthrough services including the App Store, Apple Music, Apple Pay, iCloud, and Apple TV. Apple’s more than 150,000 employees are dedicated to making the best products on earth and to leaving the world better than we found it.
NOTE TO EDITORS: For additional information visit Apple Newsroom (www.apple.com/newsroom), or email Apple’s Media Helpline at media.help@apple.com.
© 2026 Apple Inc. All rights reserved. Apple and the Apple logo are trademarks of Apple. Other company and product names may be trademarks of their respective owners.
Apple Inc. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (In millions, except number of shares, which are reflected in thousands, and per-share amounts) |
||||||
|
Three Months Ended |
|||||
|
December 27,
|
|
December 28,
|
|||
Net sales: |
|
|
|
|||
Products |
$ |
113,743 |
|
$ |
97,960 |
|
Services |
|
30,013 |
|
|
26,340 |
|
Total net sales (1) |
|
143,756 |
|
|
124,300 |
|
Cost of sales: |
|
|
|
|||
Products |
|
67,478 |
|
|
59,447 |
|
Services |
|
7,047 |
|
|
6,578 |
|
Total cost of sales |
|
74,525 |
|
|
66,025 |
|
Gross margin |
|
69,231 |
|
|
58,275 |
|
|
|
|
|
|||
Operating expenses: |
|
|
|
|||
Research and development |
|
10,887 |
|
|
8,268 |
|
Selling, general and administrative |
|
7,492 |
|
|
7,175 |
|
Total operating expenses |
|
18,379 |
|
|
15,443 |
|
|
|
|
|
|||
Operating income |
|
50,852 |
|
|
42,832 |
|
Other income/(expense), net |
|
150 |
|
|
(248 |
) |
Income before provision for income taxes |
|
51,002 |
|
|
42,584 |
|
Provision for income taxes |
|
8,905 |
|
|
6,254 |
|
Net income |
$ |
42,097 |
|
$ |
36,330 |
|
|
|
|
|
|||
Earnings per share: |
|
|
|
|||
Basic |
$ |
2.85 |
|
$ |
2.41 |
|
Diluted |
$ |
2.84 |
|
$ |
2.40 |
|
Shares used in computing earnings per share: |
|
|
|
|||
Basic |
|
14,748,158 |
|
|
15,081,724 |
|
Diluted |
|
14,810,356 |
|
|
15,150,865 |
|
|
|
|
|
|||
(1) Net sales by reportable segment: |
|
|
|
|||
|
$ |
58,529 |
|
$ |
52,648 |
|
|
|
38,146 |
|
|
33,861 |
|
Greater China |
|
25,526 |
|
|
18,513 |
|
|
|
9,413 |
|
|
8,987 |
|
Rest of |
|
12,142 |
|
|
10,291 |
|
Total net sales |
$ |
143,756 |
|
$ |
124,300 |
|
|
|
|
|
|||
(1) Net sales by category: |
|
|
|
|||
iPhone |
$ |
85,269 |
|
$ |
69,138 |
|
Mac |
|
8,386 |
|
|
8,987 |
|
iPad |
|
8,595 |
|
|
8,088 |
|
Wearables, Home and Accessories |
|
11,493 |
|
|
11,747 |
|
Services |
|
30,013 |
|
|
26,340 |
|
Total net sales |
$ |
143,756 |
$ |
124,300 |
|
|
Apple Inc. CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (In millions, except number of shares, which are reflected in thousands, and par value) |
|||||||
|
December 27,
|
|
September 27,
|
||||
ASSETS: |
|||||||
Current assets: |
|
|
|
||||
Cash and cash equivalents |
$ |
45,317 |
|
|
$ |
35,934 |
|
Marketable securities |
|
21,590 |
|
|
|
18,763 |
|
Accounts receivable, net |
|
39,921 |
|
|
|
39,777 |
|
Vendor non-trade receivables |
|
30,399 |
|
|
|
33,180 |
|
Inventories |
|
5,875 |
|
|
|
5,718 |
|
Other current assets |
|
15,002 |
|
|
|
14,585 |
|
Total current assets |
|
158,104 |
|
|
|
147,957 |
|
|
|
|
|
||||
Non-current assets: |
|
|
|
||||
Marketable securities |
|
77,888 |
|
|
|
77,723 |
|
Property, plant and equipment, net |
|
50,159 |
|
|
|
49,834 |
|
Other non-current assets |
|
93,146 |
|
|
|
83,727 |
|
Total non-current assets |
|
221,193 |
|
|
|
211,284 |
|
Total assets |
$ |
379,297 |
|
|
$ |
359,241 |
|
|
|
|
|
||||
LIABILITIES AND SHAREHOLDERS’ EQUITY: |
|||||||
Current liabilities: |
|
|
|
||||
Accounts payable |
$ |
70,587 |
|
|
$ |
69,860 |
|
Other current liabilities |
|
68,543 |
|
|
|
66,387 |
|
Deferred revenue |
|
9,413 |
|
|
|
9,055 |
|
Commercial paper |
|
1,997 |
|
|
|
7,979 |
|
Term debt |
|
11,827 |
|
|
|
12,350 |
|
Total current liabilities |
|
162,367 |
|
|
|
165,631 |
|
|
|
|
|
||||
Non-current liabilities: |
|
|
|
||||
Term debt |
|
76,685 |
|
|
|
78,328 |
|
Other non-current liabilities |
|
52,055 |
|
|
|
41,549 |
|
Total non-current liabilities |
|
128,740 |
|
|
|
119,877 |
|
Total liabilities |
|
291,107 |
|
|
|
285,508 |
|
|
|
|
|
||||
Commitments and contingencies |
|
|
|
||||
|
|
|
|
||||
Shareholders’ equity: |
|
|
|
||||
Common stock and additional paid-in capital, |
|
95,221 |
|
|
|
93,568 |
|
Accumulated deficit |
|
(2,177 |
) |
|
|
(14,264 |
) |
Accumulated other comprehensive loss |
|
(4,854 |
) |
|
|
(5,571 |
) |
Total shareholders’ equity |
|
88,190 |
|
|
|
73,733 |
|
Total liabilities and shareholders’ equity |
$ |
379,297 |
|
|
$ |
359,241 |
|
Apple Inc. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (In millions) |
|||||||
|
Three Months Ended |
||||||
|
December 27,
|
|
December 28,
|
||||
Cash, cash equivalents, and restricted cash and cash equivalents, beginning balances |
$ |
35,934 |
|
|
$ |
29,943 |
|
|
|
|
|
||||
Operating activities: |
|
|
|
||||
Net income |
|
42,097 |
|
|
|
36,330 |
|
Adjustments to reconcile net income to cash generated by operating activities: |
|
|
|
||||
Depreciation and amortization |
|
3,214 |
|
|
|
3,080 |
|
Share-based compensation expense |
|
3,594 |
|
|
|
3,286 |
|
Other |
|
(528 |
) |
|
|
(2,009 |
) |
Changes in operating assets and liabilities: |
|
|
|
||||
Accounts receivable, net |
|
(153 |
) |
|
|
3,597 |
|
Vendor non-trade receivables |
|
2,781 |
|
|
|
3,166 |
|
Inventories |
|
(211 |
) |
|
|
215 |
|
Other current and non-current assets |
|
(10,250 |
) |
|
|
939 |
|
Accounts payable |
|
848 |
|
|
|
(6,671 |
) |
Other current and non-current liabilities |
|
12,533 |
|
|
|
(11,998 |
) |
Cash generated by operating activities |
|
53,925 |
|
|
|
29,935 |
|
|
|
|
|
||||
Investing activities: |
|
|
|
||||
Purchases of marketable securities |
|
(12,693 |
) |
|
|
(6,124 |
) |
Proceeds from maturities of marketable securities |
|
7,510 |
|
|
|
15,967 |
|
Proceeds from sales of marketable securities |
|
2,824 |
|
|
|
3,492 |
|
Payments for acquisition of property, plant and equipment |
|
(2,373 |
) |
|
|
(2,940 |
) |
Other |
|
(154 |
) |
|
|
(603 |
) |
Cash generated by/(used in) investing activities |
|
(4,886 |
) |
|
|
9,792 |
|
|
|
|
|
||||
Financing activities: |
|
|
|
||||
Payments for taxes related to net share settlement of equity awards |
|
(2,922 |
) |
|
|
(2,921 |
) |
Payments for dividends and dividend equivalents |
|
(3,921 |
) |
|
|
(3,856 |
) |
Repurchases of common stock |
|
(24,701 |
) |
|
|
(23,606 |
) |
Repayments of term debt |
|
(2,164 |
) |
|
|
(1,009 |
) |
Repayments of commercial paper, net |
|
(5,910 |
) |
|
|
(7,944 |
) |
Other |
|
(38 |
) |
|
|
(35 |
) |
Cash used in financing activities |
|
(39,656 |
) |
|
|
(39,371 |
) |
|
|
|
|
||||
Increase in cash, cash equivalents, and restricted cash and cash equivalents |
|
9,383 |
|
|
|
356 |
|
Cash, cash equivalents, and restricted cash and cash equivalents, ending balances |
$ |
45,317 |
|
|
$ |
30,299 |
|
|
|
|
|
||||
Supplemental cash flow disclosure: |
|
|
|
||||
Cash paid for income taxes, net |
$ |
3,434 |
|
|
$ |
18,651 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20260129405756/en/
Press Contact:
Josh Rosenstock
Apple
jrosenstock@apple.com
(408) 862-1142
Investor Relations Contact:
Suhasini Chandramouli
Apple
suhasini@apple.com
(408) 974-3123
Source: Apple Inc.
FAQ
What were Apple (AAPL) total revenue and EPS for fiscal Q1 2026?
How did iPhone and Services perform in Apple (AAPL) Q1 2026 results?
How much cash did Apple (AAPL) generate and return to shareholders in Q1 2026?
What dividend did Apple (AAPL) declare with its Q1 2026 results and when is it payable?
What milestone did Apple (AAPL) report for its installed device base in Q1 2026?
