Apple (NASDAQ:AAPL) Posts Record June Quarter: Revenue $109.4B, EPS $2.02, Up 29% YoY

Apple (NASDAQ:AAPL) delivered its strongest June quarter on record, reporting fiscal Q3 2026 revenue of $109.4 billion, up 16.4% year over year, with diluted GAAP EPS of $2.02 beating the $1.93 analyst consensus by 4.7%. Net income rose 27.1% year over year to $29.8 billion, while operating income climbed 26.6% to $35.7 billion, expanding the operating margin to 32.6% from 30.0% in the prior-year period.

Q3 2026 Results

• Revenue: $109.4B, up 16.4% year over year from $94.0B, setting a new June quarter record across all five geographic segments.
• Diluted GAAP EPS: $2.02, up 28.7% from $1.57 in Q3 2025, beating the $1.93 consensus estimate. The company noted EPS included a favorable $0.11 impact from tariff refunds.
• Gross margin: 50.1%, including an approximately 2 percentage point favorable impact from tariff refunds, expanding meaningfully from the prior-year period.
• iPhone revenue: $54.3B, up 21.7% year over year from $44.6B, setting a new June quarter record.
• Mac revenue: $10.4B, up 28.6% year over year from $8.0B, also a June quarter record. iPad revenue of $6.2B declined from $6.6B in the year-ago period.
• Services revenue: $30.7B, up 12.1% year over year from $27.4B, also a June quarter record.

What Drove the Results

GAAP EPS of $2.02 beat the $1.93 consensus by $0.09, or 4.7%. Revenue of $109.4 billion exceeded estimates across most product lines, with iPhone and Mac as the primary growth engines. The operating margin expansion of 2.6 percentage points to 32.6% reflected gross margin improvement and operating leverage that more than offset a 32.3% increase in research and development spending, which reached $11.7 billion versus $8.9 billion in the year-ago quarter.

All five geographic segments posted year-over-year revenue growth. Greater China revenue rose 22.4% to $18.8 billion from $15.4 billion, Americas grew 11.1% to $45.8 billion, and Europe advanced 22.4% to $29.4 billion. The company's installed base of active devices reached a new all-time high across all major product categories and geographic segments, according to the official earnings release. iPad was the one hardware category where revenue declined year over year, falling to $6.2 billion from $6.6 billion.

Apple also noted that iPhone prices face potential pressure from rising memory costs, a supply-side dynamic that analysts flagged as a watch item for future quarters, according to market reports.

Wall Street View

Apple's board declared a quarterly cash dividend of $0.27 per share, payable August 13, 2026, to shareholders of record as of August 10, 2026. At the time of writing, no specific post-earnings analyst price target revisions were available in the source data to report.

Investor Takeaway

The Q3 results confirm Apple's ability to drive double-digit top-line growth alongside meaningful margin expansion, with operating margin reaching 32.6% despite a sharp acceleration in R&D investment. The key forward question is whether Services revenue growth of 12.1% year over year, while a June quarter record in absolute terms, can reaccelerate, and whether the memory cost environment affects iPhone pricing power in coming quarters. Shares fell -1.41% on Thursday, July 30, 2026, while the S&P 500 gained 1.68%.