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3Q26 vs. 3Q25 Financial Results

Apple reported the following results for the fiscal third quarter ended June 27, 2026:

• Total Revenue: $109.417B ($109,417M) in 3Q26 compared to $94.036B ($94,036M) in 3Q25, up 16.4% year-over-year ¹.

• Diluted EPS: $2.02 in 3Q26 compared to $1.57 in 3Q25, up 28.7% year-over-year ¹. Diluted EPS in 3Q26 included a favorable impact of $0.11 from tariff refunds ¹.

Management Outlook for the September Quarter (4Q26)

On Apple's 3Q26 earnings call on July 30, 2026, CFO Kevan Parekh and CEO Tim Cook provided guidance and commentary on the outlook for the September quarter:

Revenue Growth Guidance and Drivers

• Total Company Revenue Growth: CFO Kevan Parekh:

  "As a result, we expect our September quarter total company revenue to grow between 9%-11% year-over-year." ²

• Foreign Exchange and Supply Headwinds: CFO Kevan Parekh:

  "First, we expect foreign exchange to be a sequential headwind of about 2.5% points to the year-over-year total company growth rate from the June quarter to the September quarter. Second, we expect the impact from supply constraints to increase significantly sequentially. The projected supply constraints in the September quarter affect iPhone, Mac, and iPad." ²

• iPhone Revenue Growth: CFO Kevan Parekh:

  "On iPhone, we expect to continue to see high levels of demand. However, we do expect iPhone revenue to be impacted by these foreign exchange headwinds and supply constraints. Therefore, we expect the September quarter reported growth rate for iPhone to be mid-teens year-over-year." ²

• Services Revenue Growth: CFO Kevan Parekh:

  "For services, we expect the September quarter year-over-year reported growth rate to be largely similar to what we reported in the June quarter after removing the negative sequential impact of about 2.5% points from foreign exchange that we just described." ²

Gross Margin Outlook and Tariff Refund Impact

• Gross Margin Range: CFO Kevan Parekh:

  "We expect gross margin to be between 47%-48%. This includes an expected benefit of approximately 1% point related to tariff refunds." ²

• Underlying Margin Walk Excluding Tariff Refunds: CFO Kevan Parekh:

  "We are seeing the same dynamics when you go from the 48.1% that we printed in the June quarter to the 46.5% midpoint you referenced of our range without the tariff refund impact. That 160 basis point change is also more than that is explained by the change in memory cost." ²

Tariff Costs, Policy Assumptions, and Capital Allocation

• Tariff Policy Baseline: CFO Kevan Parekh:

  "Importantly, the color we're providing assumes that global tariff rates, policies, and their application remain in effect as of this call, and the global macroeconomic outlook does not worsen from today." ²

• Reinvestment of Tariff Refunds: CEO Tim Cook:

  "Last year, we made a $600 billion commitment to the U.S. over four years, and now, as we said before, we plan to reinvest the tariff refunds we've received into the U.S. We're pleased with the progress we've already made advancing the American supply chain." ²

Additional Guidance Metrics

• Operating Expenses: CFO Kevan Parekh:

  "We expect operating expenses to be between $19.1 billion-$19.4 billion." ²

• Other Income & Expense (OI&E) and Tax Rate: CFO Kevan Parekh:

  "We expect OIE to be around $350mn, excluding any potential impact from the mark to market of minority investments, and our tax rate to be around 16.5%." ²