For the first quarter of fiscal 2026, which ended on December 27, 2025, Apple posted revenue of $143.8 billion, marking a 16 percent increase year over year. Net profit climbed to $42.09 billion, making it one of the company’s most profitable quarters ever.

A major contributor to the surge was the iPhone 17 series, launched in September last year. Strong global demand helped Apple outperform expectations and capture additional market share. CEO Tim Cook described the momentum during the earnings call, stating, "The demand for iPhone was simply staggering, with revenue growing 23% year over year to achieve its biggest quarter in history."

The iPhone category alone generated $85.27 billion in revenue, accounting for more than half of Apple’s total quarterly earnings. The company also reported record sales across every geographic market, highlighting the device’s broad international appeal. Cook added, “iPhone had its best-ever quarter driven by unprecedented demand, with all-time records across every geographic segment.”

However, the company is keeping an eye on rising component costs. Cook acknowledged that increasing RAM prices, driven by higher demand from AI data centres, could affect margins in the coming quarters.

Beyond hardware, Apple’s services segment continued to strengthen its position as a dependable growth engine. Platforms such as Apple TV+, Apple Music, and other subscriptions delivered an all-time high performance. Services revenue grew 14 percent year over year, reaching $30.01 billion. This steady expansion reflects Apple’s ongoing push to diversify its income beyond device sales and build recurring revenue streams.

Another milestone highlighted during the earnings call was the scale of Apple’s ecosystem. Cook revealed that the company now supports over 2.5 billion active devices worldwide. He said, “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 big move in artificial intelligence. The company is expected to introduce an upgraded version of Siri as early as February. Developed in partnership with Google and powered by Gemini technology, the enhanced assistant is expected to become more conversational and capable, potentially evolving into a chatbot-style experience.

With record earnings, expanding services, and new AI features on the horizon, Apple appears well-positioned to sustain its growth momentum into 2026.