Apple Q4 2026 Earnings: iPhone 18 Sales, New CEO Ternus, and iPhone Duo Launch in Focus
Apple reported fiscal fourth-quarter results that beat Wall Street estimates on revenue and earnings, its 14th straight quarter of beats, driven by iPhone 18 Pro sales and price increases in the first report under CEO John Ternus.
Newsnibs Staff
- 2026-11-02
- Updated 10:00 PM UTC
Apple reported fiscal fourth-quarter results on Monday that beat Wall Street expectations. Revenue came in at $114.48 billion against an estimate of $113.39 billion, and earnings per share were $2.10 against $1.99, according to LSEG data. Gross margin was 47.9%, ahead of the 47.5% analysts expected. Apple has now beaten revenue and earnings estimates for 14 straight quarters.
It was the first earnings report under CEO John Ternus, who took over from Tim Cook on September 1. The strength came from the iPhone 18 Pro lineup, which went on sale in September, and from price increases. Apple raised iPhone 17 prices by $100 and adjusted MacBook pricing to offset higher memory-chip costs. Only nine days of iPhone 18 Pro and Pro Max sales fell inside the quarter.
Mac sales reached $10.79 billion, well above the $9.69 billion analysts had modeled. The platform's popularity as a place to run AI agents was cited as a driver. Apple also said Siri now handles 2.5 billion requests a day.
The iPhone Duo, Apple's first foldable phone, is mostly outside this report. It opened for preorder on October 16 and reached stores October 23, after the September quarter ended, though one account credits it with helping the results. Ternus told investors that a very small percentage of Duo units had been returned for display issues. He added that Apple cannot yet say when supply and demand will balance. Reports of hinge and screen problems have drawn scrutiny, while longer wait times for the phone point to strong demand.
Ternus is also moving Apple toward spreading iPhone launches across the year. The base iPhone 18 and a follow-up to the iPhone Air are expected early next year.
Heading into the report, analysts expected iPhone revenue of about $56.5 billion, up 15%, and Services revenue of about $31.6 billion, up 10%. Overall revenue growth of roughly 11% would have been the slowest in four quarters. Dan Ives of Yorkville Ives, who rates the stock Outperform with a $400 price target, said the call would turn on iPhone supply and demand, gross margins, and comments on Siri and Services. He estimates AI monetization could add more than 15% to Services revenue in the coming years, worth about $75 a share.
Memory-chip shortages, rising component costs and currency pressure were the main worries on margins. Apple's market value is about $5.03 trillion, which put it back ahead of Nvidia as the world's most valuable listed company. Its shares have risen about 30% over the past year, and they hit a record last week. Before the report, the stock traded at $340.71, down 1.1% on Monday and 25.7% higher for the year. Of the analysts tracked by Koyfin, 24 rate Apple Buy or higher, 13 Hold and 6 Sell or lower.
Photo by Chris on Unsplash
