Apple has reported one of its strongest quarterly results ever, thanks to a huge increase in iPhone sales, especially in China, and steady growth in its services business.
For the first quarter of fiscal 2026, Apple earned $143.8 billion in revenue, up 16% from last year, and a profit of $42.1 billion, exceeding analyst expectations. iPhone sales were the main driver, generating $85.3 billion, a 23% rise compared with the previous year.
China played a big role in this growth. iPhone sales in the country jumped about 38%, reaching $25.5 billion. Apple is seeing more customers switch from Android phones, helping it regain market share.
CEO Tim Cook said demand for the iPhone 17 was “staggering,” with strong sales across all major regions. Upgraded features, better performance, and customer upgrades from older models helped boost sales.
Apple’s services, including digital content, subscriptions, and software, also grew 14% to $30 billion, supported by a global active device base of 2.5 billion.
Not everything was perfect. Wearables and home accessories grew slowly, and rising chip costs and supply issues could affect future profits. Apple is also investing in artificial intelligence, including partnering with Google to use the Gemini AI model and buying AI startup Q.ai.
Looking ahead, Apple expects revenue growth of 13–16% for the next quarter, showing confidence in its iPhones and services despite ongoing supply challenges.
Apple’s strong results highlight the continued popularity of its devices and the resilience of its business, with China emerging as a key market once again.
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