Apple reports record-breaking quarter results, thanks to best ever iPhone sales

Apple has announced its financial results for the first quarter of fiscal year 2026, and the company has delivered a record-breaking performance. For the quarter ended December 27, 2025, Apple reported revenue of USD143.8 billion, representing a 16% year-on-year increase. Diluted earnings per share (EPS) also hit a new record at USD2.84, up 19% compared to the same period last year.

According to Apple, both iPhone and Services achieved their highest-ever quarterly revenue. iPhone recorded its best quarter in history, driven by strong demand across all geographic regions, with a total revenue of USD85.269 million. Meanwhile, Apple’s Services business—which includes the App Store, Apple Music, iCloud and Apple TV+—grew 14% year-on-year, setting a new all-time revenue record.

“Today, Apple is proud to report a remarkable, record-breaking quarter, with revenue of $143.8 billion, up 16 percent from a year ago and well above our expectations.

iPhone had its best-ever quarter driven by unprecedented demand, with all-time records across every geographic segment, and Services also achieved an all-time revenue record, up 14 percent from a year ago.

We are also excited to announce that our installed base now has more than 2.5 billion active devices, which is a testament to incredible customer satisfaction for the very best products and services in the world,” – Tim Cook, Apple CEO

Chief Financial Officer Kevan Parekh added that Apple’s strong margins and operating performance resulted in nearly USD54 billion in operating cash flow for the quarter. The company returned almost USD32 billion to shareholders during the period. In addition, Apple’s board of directors has declared a cash dividend of USD0.26 per share, which will be paid on February 12, 2026, to shareholders on record as of February 9, 2026.

The high sales for the iPhone 17 lineup happened despite the delays to a supposedly upgraded AI-powered Siri, perhaps hinting that consumers care more for the hardware and user experience more than AI buzzwords. Indeed, it probably helped that the base iPhone 17 is one of the best smartphones you can buy as Cupertino brought over many features previously limited to the Pro models. Even lackluster iPhone Air sales didn’t stop the iPhone helping Apple hit new highs.

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