Apple reported a spectacular fiscal third quarter this afternoon led by the iPhone. Just weeks before the next iteration of Apple’s most important product is announced, the company reported that the iPhone had fiscal Q3 revenue of $44.58 billion. Not only was that a gain of 13% year-over-year, it also blew away expected iPhone revenue of $40.22 billion. Revenue attributed to iPad sales declined 8.1% from the same quarter last year to $6.58 billion which failed to meet Wall Street’s expectations of $7.24 billion in iPad revenue.
Apple’s sales rose in every geographic region it tracks
Sales rose in every geographical reason. In the Americas Apple generated $41.20 billion in revenue for a gain of 9.34%. Sales in Greater China rose from last year’s $14.73 billion to $15.37 billion, up 4.34%. Sales rose a strong 20% in the rest of the Asian Pacific region for the fiscal third quarter to $7.67 billion. Sales of $24.01 billion were recorded in Europe, up 9.73% on an annual basis. Fiscal Q3 revenue in Japan came to $5.78 billion from the $5.10 billion reported last year, a 13.3% jump in revenue.
During the regular trading session, Apple’s shares declined $1.48 or .71% to $207.57. In after hours trading after the earnings report was released, Apple shares rose $3.61 or 1.74% to $211.18. The tech giant lost its title of the most valuable U.S. public company to AI chip designer NVIDIA at various times last year into 2025. Currently, Apple has a valuation of $3.1 trillion while NVIDIA’s market cap comes to $4.34 trillion.
Kevan Parekh, Apple’s CFO, said, “We are very pleased with our record business performance for the June quarter, which generated EPS growth of 12 percent.Our installed base of active devices also reached a new all-time high across all product categories and geographic segments, thanks to our very high levels of customer satisfaction and loyalty.”
Cook said, “It’s difficult to see a world where iPhone is not living in it”
During the earnings call on Thursday evening, Tim Cook said Apple paid $800 million during the quarter due to tariffs. That actually was $100 million less than the $900 million Apple estimated in May that it would have to pay during fiscal Q3. For the current fiscal fourth quarter, assuming no changes, Cook said Apple would have to pay $1.1 billion in additional costs related to tariffs.
