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Get filing alertsApple's net sales rose 16.4% to $109.42B in the fiscal third quarter, with net income up 27.1% to $29.79B.
Filed July 31, 2026 · Period ending June 27, 2026 · Compared to 10-Q Aug 1, 2025 · ~1 min read
Key Financials
SEC XBRL| Metric | PriorJun 28, 2025 | CurrentJun 27, 2026 | Δ |
|---|---|---|---|
| Revenue | $94.0B | $109.4B | ▲ +16.4% |
| Net income | $23.4B | $29.8B | ▲ +27.1% |
| Diluted EPS | $1.57 | $2.02 | ▲ +28.7% |
| Operating income | $28.2B | $35.7B | ▲ +26.6% |
| Cash & equivalents | $36.3B | $39.5B | ▲ +9.0% |
| Long-term debt (noncurrent) | $82.4B | $71.3B | ▼ -13.5% |
| Total assets | $331.5B | $383.3B | ▲ +15.6% |
As reported in XBRL by the filer · 10-Q vs 10-Q. Income figures cover the fiscal quarter (not year-to-date); cash & assets are period-end balances. n/m = not meaningful (sign change; a % would mislead). about this table · verify on EDGAR →
Key Number Changes
Prior filing · verify on EDGAR →
As of June 28, 2025, the Company's quarterly cash dividend was $0.26 per share.
Current filing · verify on EDGAR →
As of June 27, 2026, the Company's quarterly cash dividend was $0.27 per share.
Prior filing · verify on EDGAR →
During the third quarter of 2025, the Company repurchased $21.0 billion of its common stock and paid dividends and dividend equivalents of $3.9 billion.
Current filing · verify on EDGAR →
During the third quarter of 2026, the Company repurchased $25.8 billion of its common stock and paid dividends and dividend equivalents of $4.0 billion.
Key Changes
-
high
iPhone net sales increased 21.7% to $54.25B, which the company attributes to higher net sales of Pro models.
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medium
Services net sales rose 12.1% to $30.74B, driven by higher net sales from advertising and cloud services.
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high
Operating cash flow for the first nine months was $117.00B, up 43.1% from $81.75B.
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medium
The company repurchased $25.8 billion of its common stock in the quarter and paid $4.0 billion in dividends.
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low
Total assets reached $383.27B, while total liabilities declined to $275.75B.
Summary
Apple delivered strong third-quarter results, with total net sales up 16.4% to $109.42B. iPhone remained the largest driver, rising 21.7% to $54.25B, which the company attributes to higher net sales of Pro models. Services also grew 12.1% to $30.74B, helped by higher net sales from advertising and cloud services.
Operating income increased 26.6% to $35.70B, and net income rose 27.1% to $29.79B. Diluted earnings per share were $2.02, up from $1.57. The company generated $117.00B in operating cash flow for the first nine months, a 43.1% increase, and returned significant capital to shareholders, repurchasing $25.8 billion of its common stock and paying $4.0 billion in dividends during the quarter.
Looking at the balance sheet, total assets grew to $383.27B, while total liabilities decreased to $275.75B. The company's cash, cash equivalents and marketable securities stood at $146.52B, up from $132.42B. Management highlighted ongoing supply constraints and rising component costs, which could pressure future margins.
Section-by-Section Diff
MD&A
Apple's MD&A now discloses supply constraints and rising component costs, new tariff developments including a Supreme Court ruling and refunds, and updated contractual obligations.
Previous filing · verify on EDGAR →
Macroeconomic conditions, including inflation, interest rates and currency fluctuations, have directly and indirectly impacted, and could in the future materially impact, the Company's results of operations and financial condition.
Current filing · verify on EDGAR →
The Company is experiencing a period of supply constraints and increasing costs for components driven by factors such as industry supply-demand imbalances for components, including advanced semiconductors, storage (NAND) and memory (DRAM). The Company expects these trends to intensify, which may materially negatively impact the Company's revenue, costs, gross margin, results of operations and financial condition.
The current filing adds a specific warning about supply constraints and rising component costs, including advanced semiconductors, NAND, and DRAM, which the baseline did not mention. This new disclosure highlights a material risk to revenue, costs, and gross margin.
Previous filing · verify on EDGAR →
For example, the U.S. Department of Commerce has initiated an investigation under Section 232 of the Trade Expansion Act of 1962, as amended, into, among other things, imports of semiconductors, semiconductor manufacturing equipment, and their derivative products, including downstream products that contain semiconductors.
Current filing · verify on EDGAR →
On January 14, 2026, initial results were published of the previously announced U.S. Department of Commerce investigation under Section 232 of the Trade Expansion Act of 1962, as amended, into imports of semiconductors, semiconductor manufacturing equipment, and their derivative products, including downstream products that contain semiconductors. The announcement of the initial results of the investigation did not impose any additional tariffs affecting the Company's products. Separately, on February 20, 2026, the U.S. Supreme Court ("Supreme Court") issued a ruling striking down certain tariffs previously imposed under the International Emergency Economic Powers Act of 1977. The Company has applied for a refund of tariffs paid, following the processes established by U.S. Customs and Border Protection, and has recognized any refunds received as a reduction of products cost of sales.
The current filing updates the tariff discussion with the publication of initial Section 232 investigation results, a Supreme Court ruling striking down certain tariffs, and the Company's application for refunds. These developments could materially affect costs and gross margin.
Added in current filing · verify on EDGAR →
As of June 27, 2026, the Company had other purchase obligations of $29.3 billion, with $9.2 billion payable within 12 months.
The current filing adds a new disclosure of other purchase obligations of $29.3 billion, which was not separately disclosed in the baseline. This represents a significant contractual commitment.
Added in current filing · verify on EDGAR →
During the first nine months of 2026, the Company paid the remaining $8.8 billion balance of the deemed repatriation tax payable imposed by the U.S. Tax Cuts and Jobs Act of 2017.
The current filing discloses the payment of the remaining $8.8 billion deemed repatriation tax, a significant cash outflow not mentioned in the baseline.
Previous filing · verify on EDGAR →
During the third quarter of 2025, the Company repurchased $21.0 billion of its common stock and paid dividends and dividend equivalents of $3.9 billion.
Current filing · verify on EDGAR →
During the third quarter of 2026, the Company repurchased $25.8 billion of its common stock and paid dividends and dividend equivalents of $4.0 billion.
The Company increased its quarterly share repurchases from $21.0 billion to $25.8 billion and dividends paid from $3.9 billion to $4.0 billion, reflecting a higher capital return to shareholders.
Show 2 minor / wording changes
Removed from previous filing · verify on EDGAR →
During the first nine months of 2025, the Company released from escrow €14.2 billion, or $15.4 billion, to Ireland in connection with the State Aid Decision, which fully settled the obligation.
The baseline disclosed the settlement of the State Aid Decision tax payable, which is no longer present in the current filing as the obligation was fully settled.
Previous filing · verify on EDGAR →
As of June 28, 2025, the Company's quarterly cash dividend was $0.26 per share.
Current filing · verify on EDGAR →
As of June 27, 2026, the Company's quarterly cash dividend was $0.27 per share.
The quarterly cash dividend increased from $0.26 to $0.27 per share, consistent with the Company's intention to increase its dividend annually.
Risk Factors
Apple added new risk factors on supply constraints for components and computing resources, and updated risks related to third-party developers, regulatory scrutiny, and data protection.
Added in current filing · verify on EDGAR →
The Company currently obtains certain components from single or limited sources, which exposes it to significant supply and pricing risks. In addition, many components, including those that are available from multiple sources, are at times subject to industry-wide shortages and significant commodity pricing fluctuations that can materially adversely affect the Company’s business, results of operations, financial condition and stock price. For example, the Company is experiencing a period of supply constraints and increasing costs for components driven by factors such as industry supply-demand imbalances for components, including advanced semiconductors, storage (NAND) and memory (DRAM), which adversely affects the Company’s ability to obtain sufficient quantities of components and products on commercially reasonable terms, or at all. The Company expects these trends to intensify, which may materially adversely impact the Company’s revenue, costs, gross margin, results of operations and financial condition.
The current filing adds a new risk factor describing supply constraints and increasing costs for components, including advanced semiconductors, storage, and memory, and expects these trends to intensify, which could materially adversely impact revenue, costs, gross margin, results of operations, and financial condition.
Added in current filing · verify on EDGAR →
The Company’s business, including its artificial intelligence and machine learning offerings, also depends on access to sufficient computing resources. Demand for cloud computing and artificial intelligence infrastructure has increased substantially across the technology industry, resulting in constrained supply, extended lead times, and increasing costs. In addition to its own data center infrastructure, the Company relies on third-party cloud service providers to meet these compute needs, and the Company may be unable to secure sufficient capacity on commercially reasonable terms, or at all, to meet customer demand.
The current filing adds a new risk factor about the Company's dependence on sufficient computing resources for its AI and ML offerings, noting constrained supply, extended lead times, and increasing costs, and reliance on third-party cloud providers.
Added in current filing · verify on EDGAR →
The Company is also subject to new and changing laws, regulations and other legal obligations regarding online safety, including enhanced protections for minors and mandatory age verification requirements. These obligations can increase regulatory risks by requiring complex compliance measures and significant modifications to the Company’s products, services and operations, and may lead to operational disruptions, heightened privacy and data security risks, and increased costs, all of which can have a material adverse impact on the Company’s business, results of operations, financial condition and stock price.
The current filing adds a new paragraph to the data protection risk factor about online safety laws, including enhanced protections for minors and mandatory age verification requirements, and the potential impact on the Company's business.
Legal Proceedings
Epic Games litigation advanced significantly, with the Ninth Circuit upholding the 2025 Injunction in part and the Supreme Court granting review of the civil contempt standard.
Previous filing · verify on EDGAR →
The California District Court also denied the Company’s motion to narrow or vacate the 2021 Injunction and referred the Company to the U.S. Attorney for the Northern District of California for a determination whether criminal contempt proceedings are appropriate. The Company will continue to vigorously defend its actions and employees, and has appealed the California District Court’s most recent decision to the U.S. Court of Appeals for the Ninth Circuit (the “Ninth Circuit Court”). Although the Company’s request to stay the decision pending appeal was denied, the Ninth Circuit Court has agreed to consider the Company’s appeal on an expedited basis, with arguments scheduled for October 2025.
Current filing · verify on EDGAR →
On December 11, 2025, the Ninth Circuit Court issued an order upholding the 2025 Injunction in part and modifying certain aspects to allow the Company to require parity in size, form and placement between the Company’s in-app purchase and any links for consumers to make purchases outside an app. The Ninth Circuit Court also held that the Company can charge some commission on link-out purchases, and remanded to the California District Court to further amend or modify the 2025 Injunction, consistent with the Ninth Circuit Court’s order. On May 21, 2026, the Company filed a petition seeking Supreme Court review of the Ninth Circuit Court’s opinion. On June 30, 2026, the Supreme Court granted the Company’s petition to review the applicable legal standard for civil contempt.
The Epic Games litigation has progressed through appellate review: the Ninth Circuit upheld the 2025 Injunction in part, allowed some commission on link-out purchases, and the Supreme Court granted review of the civil contempt standard.
Notes
Apple added a new note on commitments and contingencies with unconditional purchase obligations and expanded segment disclosures.
Added in current filing · verify on EDGAR →
The Company has entered into certain off–balance sheet commitments that require the future purchase of goods or services (“unconditional purchase obligations”). The Company’s unconditional purchase obligations primarily consist of supplier arrangements, licensed intellectual property and content, and distribution rights.
The current filing adds a new disclosure of unconditional purchase obligations, with payments scheduled through 2030 and beyond. This was not present in the prior year's notes.
Show 7 minor / wording changes
Previous filing · verify on EDGAR →
The following table shows information by reportable segment for the three- and nine-month periods ended June 28, 2025 and June 29, 2024 (in millions):
Current filing · verify on EDGAR →
The following tables show information by reportable segment for the three- and nine-month periods ended June 27, 2026 and June 28, 2025 (in millions):
The segment note now presents a single table with net sales, cost of sales, research and development, selling and marketing, general and administrative, and operating income for each segment, whereas the prior filing only showed net sales and operating income by segment with a separate reconciliation.
Previous filing · verify on EDGAR →
As of June 28, 2025, the Company had two customers that individually represented 10% or more of total trade receivables, which accounted for 18% and 10%.
Current filing · verify on EDGAR →
As of both June 27, 2026 and September 27, 2025, the Company had one customer that represented 10% or more of total trade receivables, which accounted for 18% and 12%, respectively.
The number of customers representing 10% or more of trade receivables decreased from two to one, and the concentration percentage for the largest customer changed from 18% to 18% (current) and 12% (prior year-end).
Previous filing · verify on EDGAR →
As of June 28, 2025, the Company had two vendors that individually represented 10% or more of total vendor non-trade receivables, which accounted for 48% and 14%.
Current filing · verify on EDGAR →
As of June 27, 2026, the Company had two vendors that individually represented 10% or more of total vendor non-trade receivables, which accounted for 47% and 22%.
The concentration percentages for the vendor non-trade receivable counterparties changed from 48% and 14% to 47% and 22%.
Previous filing · verify on EDGAR →
Derivative instruments not designated as accounting hedges: Foreign exchange contracts $ 78,649 $ 91,493
Current filing · verify on EDGAR →
Derivative instruments not designated as accounting hedges: Foreign exchange contracts $ 64,053 $ 109,079
The notional amount of foreign exchange contracts not designated as accounting hedges decreased from the prior period end, while the prior year-end comparison also changed.
Previous filing · verify on EDGAR →
As of June 28, 2025, the maximum length of time over which the Company is hedging its exposure to the variability in future cash flows for term debt–related foreign currency transactions is 17 years.
Current filing · verify on EDGAR →
As of June 27, 2026, the maximum length of time over which the Company is hedging its exposure to the variability in future cash flows for term debt–related foreign currency transactions is 16 years.
The maximum hedge length for term debt-related foreign currency transactions decreased from 17 years to 16 years.
Previous filing · verify on EDGAR →
As of June 28, 2025, the Company expects 66% of total deferred revenue to be realized in less than a year, 23% within one-to-two years, 9% within two-to-three years and 2% in greater than three years.
Current filing · verify on EDGAR →
As of June 27, 2026, the Company expects 64% of total deferred revenue to be realized in less than a year, 23% within one-to-two years, 11% within two-to-three years and 2% in greater than three years.
The expected realization of deferred revenue shifted slightly, with 64% expected in less than a year versus 66% previously, and 11% within two-to-three years versus 9% previously.
Previous filing · verify on EDGAR →
As of June 28, 2025 and September 28, 2024, the Company had $9.9 billion and $10.0 billion of commercial paper outstanding, respectively.
Current filing · verify on EDGAR →
As of June 27, 2026 and September 27, 2025, the Company had $2.0 billion and $8.0 billion of commercial paper outstanding, respectively.
Commercial paper outstanding decreased significantly from $9.9 billion to $2.0 billion at the current period end.
Financial Statements
Primary statements as printed on the EDGAR filing (iXBRL face). Companyfacts is used only when a statement is not on the HTML face. Not generated by the model.
Condensed Consolidated Statements of Operations (Unaudited)
(In millions, except number of shares, which are reflected in thousands, and per-share amounts)
| Description | Three months ended June 27, 2026 | Three months ended June 28, 2025 | Nine months ended June 27, 2026 | Nine months ended June 28, 2025 |
|---|---|---|---|---|
| Net sales: | ||||
| Products | 78,678 | 66,613 | 272,629 | 233,287 |
| Services | 30,739 | 27,423 | 91,728 | 80,408 |
| Total net sales | 109,417 | 94,036 | 364,357 | 313,695 |
| Cost of sales: | ||||
| Products | 47,153 | 43,620 | 163,810 | 147,097 |
| Services | 7,494 | 6,698 | 21,765 | 19,738 |
| Total cost of sales | 54,647 | 50,318 | 185,575 | 166,835 |
| Gross margin | 54,770 | 43,718 | 178,782 | 146,860 |
| Operating expenses: | ||||
| Research and development | 11,729 | 8,866 | 34,035 | 25,684 |
| Selling, general and administrative | 7,346 | 6,650 | 22,315 | 20,553 |
| Total operating expenses | 19,075 | 15,516 | 56,350 | 46,237 |
| Operating income | 35,695 | 28,202 | 122,432 | 100,623 |
| Other income/(expense), net | 572 | (171) | 670 | (698) |
| Income before provision for income taxes | 36,267 | 28,031 | 123,102 | 99,925 |
| Provision for income taxes | 6,478 | 4,597 | 21,638 | 15,381 |
| Net income | 29,789 | 23,434 | 101,464 | 84,544 |
| Earnings per share: | ||||
| Basic | 2.03 | 1.57 | 6.91 | 5.64 |
| Diluted | 2.02 | 1.57 | 6.88 | 5.62 |
| Shares used in computing earnings per share: | ||||
| Basic | 14,656,110 | 14,902,886 | 14,692,515 | 14,992,898 |
| Diluted | 14,714,676 | 14,948,179 | 14,750,302 | 15,051,726 |
Condensed Consolidated Balance Sheets (Unaudited)
(In millions, except number of shares, which are reflected in thousands, and par value)
| Description | June 27, 2026 | September 27, 2025 |
|---|---|---|
| ASSETS: | ||
| Current assets: | ||
| Cash and cash equivalents | 39,544 | 35,934 |
| Marketable securities | 22,855 | 18,763 |
| Accounts receivable, net | 31,398 | 39,777 |
| Vendor non-trade receivables | 27,509 | 33,180 |
| Inventories | 11,092 | 5,718 |
| Other current assets | 17,420 | 14,585 |
| Total current assets | 149,818 | 147,957 |
| Non-current assets: | ||
| Marketable securities | 84,118 | 77,723 |
| Property, plant and equipment, net | 51,431 | 49,834 |
| Intangible assets, net | 20,342 | 11,093 |
| Other non-current assets | 77,557 | 72,634 |
| Total non-current assets | 233,448 | 211,284 |
| Total assets | 383,266 | 359,241 |
| LIABILITIES AND SHAREHOLDERS’ EQUITY: | ||
| Current liabilities: | ||
| Accounts payable | 64,525 | 69,860 |
| Other current liabilities | 62,259 | 66,387 |
| Deferred revenue | 9,538 | 9,055 |
| Commercial paper | 1,997 | 7,979 |
| Term debt | 11,007 | 12,350 |
| Total current liabilities | 149,326 | 165,631 |
| Non-current liabilities: | ||
| Term debt | 71,340 | 78,328 |
| Other non-current liabilities | 55,080 | 41,549 |
| Total non-current liabilities | 126,420 | 119,877 |
| Total liabilities | 275,746 | 285,508 |
| Commitments and contingencies | ||
| Shareholders’ equity: | ||
| Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares authorized; 14,608,963 and 14,773,260 shares issued and outstanding, respectively | 100,702 | 93,568 |
| Retained earnings/(Accumulated deficit) | 11,326 | (14,264) |
| Accumulated other comprehensive loss | (4,508) | (5,571) |
| Total shareholders’ equity | 107,520 | 73,733 |
| Total liabilities and shareholders’ equity | 383,266 | 359,241 |
Condensed Consolidated Statements of Cash Flows (Unaudited)
(In millions)
| Description | Nine months ended June 27, 2026 | Nine months ended June 28, 2025 |
|---|---|---|
| Cash, cash equivalents, and restricted cash and cash equivalents, beginning balances | 35,934 | 29,943 |
| Operating activities: | ||
| Net income | 101,464 | 84,544 |
| Adjustments to reconcile net income to cash generated by operating activities: | ||
| Depreciation and amortization | 9,973 | 8,571 |
| Share-based compensation expense | 10,523 | 9,680 |
| Other | (2,037) | (1,748) |
| Changes in operating assets and liabilities: | ||
| Accounts receivable, net | 8,316 | 5,685 |
| Vendor non-trade receivables | 5,671 | 13,555 |
| Inventories | (5,461) | 1,223 |
| Other current and non-current assets | (16,266) | (6,116) |
| Accounts payable | (5,203) | (18,479) |
| Other current and non-current liabilities | 10,016 | (15,161) |
| Cash generated by operating activities | 116,996 | 81,754 |
| Investing activities: | ||
| Purchases of marketable securities | (48,752) | (17,591) |
| Proceeds from maturities of marketable securities | 26,504 | 35,036 |
| Proceeds from sales of marketable securities | 12,016 | 10,785 |
| Payments for acquisition of property, plant and equipment | (6,799) | (9,473) |
| Other | (1,780) | (975) |
| Cash generated by/(used in) investing activities | (18,811) | 17,782 |
| Financing activities: | ||
| Payments for taxes related to net share settlement of equity awards | (6,462) | (5,719) |
| Payments for dividends and dividend equivalents | (11,778) | (11,559) |
| Repurchases of common stock | (62,094) | (70,579) |
| Proceeds from issuance of term debt, net | — | 4,481 |
| Repayments of term debt | (8,146) | (9,682) |
| Repayments of commercial paper, net | (5,911) | (65) |
| Other | (184) | (87) |
| Cash used in financing activities | (94,575) | (93,210) |
| Increase in cash, cash equivalents, and restricted cash and cash equivalents | 3,610 | 6,326 |
| Cash, cash equivalents, and restricted cash and cash equivalents, ending balances | 39,544 | 36,269 |
| Supplemental cash flow disclosure: | ||
| Cash paid for income taxes, net | 26,555 | 37,332 |
Amounts as printed on the EDGAR/iXBRL face — (In millions, except number of shares, which are reflected in thousands, and per-share amounts); (In millions, except number of shares, which are reflected in thousands, and par value); (In millions). Labels, columns, and figures are the filing face, not a GAAP stencil. Interactive statements & notes on EDGAR ↗
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Figures/quotes linked to EDGAR · Narrative written by AI · Sep 12, 2026 · How we verify