Apple Reports Record $143.8 Billion Quarter as iPhone 17 Drives Growth Ahead of AI Siri Debut
Strong iPhone 17 demand and booming services helped Apple achieve its highest-ever quarterly revenue ahead of its next-generation AI Siri launch.
Apple has posted its strongest quarterly performance to date, powered largely by blockbuster sales of the iPhone 17 lineup and steady momentum in its fast-growing services business. The tech giant announced record-breaking revenue of $143.8 billion for the first quarter of 2026, marking a 16 per cent year-on-year increase and underscoring continued consumer appetite for its devices and digital ecosystem.
The earnings report, covering the quarter that ended December 27, 2025, also showed Apple’s net profit rising sharply to $42.09 billion. The results exceeded expectations and reflected robust demand across markets worldwide.
At the centre of this growth story is the iPhone 17 series, which launched in September last year. According to Apple CEO Tim Cook, demand far outpaced forecasts. Speaking about the quarter’s performance, Cook said, "The demand for iPhone was simply staggering, with revenue growing 23% year over year to achieve its biggest quarter in history."
Apple revealed that iPhone revenue alone reached $85.27 billion, accounting for the majority of the company’s earnings. Sales hit record levels in every geographic segment, highlighting the device’s global appeal. Cook added, “iPhone had its best-ever quarter driven by unprecedented demand, with all-time records across every geographic segment.”
The company also managed to gain smartphone market share in December, outperforming Android rivals during the crucial holiday shopping season. However, cook cautioned that rising RAM prices — driven by increasing demand from AI data centres — could put pressure on margins in future quarters.
Beyond hardware, Apple’s services division continued to play a crucial supporting role. Products such as Apple TV, Apple Music, and other subscription offerings generated an all-time high revenue of $30.01 billion, representing a 14 per cent year-on-year increase. This steady growth reflects Apple’s strategy of building recurring income streams alongside device sales.
Another milestone for the company is the expansion of its user base. During the earnings call, Cook confirmed that Apple’s ecosystem now includes more than 2.5 billion active devices globally. He described the figure as a sign of deep customer loyalty and trust, saying, “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.”
Looking ahead, Apple is preparing for its next major push into artificial intelligence. The company is expected to roll out an upgraded AI-powered Siri as early as February. Built in partnership with Google and leveraging Gemini technology, the revamped assistant is reportedly designed to evolve into a more advanced chatbot-style interface.
With record revenues, surging iPhone demand, and new AI innovations on the horizon, Apple appears well-positioned to sustain its growth momentum into 2026.
