Surging demand for iPhones lifted Apple’s revenue during the three months ending in September, helping the company close its fiscal year with record profits. Apple beat Wall Street expectations despite challenges from a global trade war and fierce competition in artificial intelligence.
Strong early sales of the iPhone 17 line fueled the performance. Tim Cook, Apple’s CEO, announced that the company achieved record September-quarter revenue of $102.5 billion, including all-time highs for iPhone and Services. Boosted by this success, Apple earned $27.5 billion (€23.8bn), nearly twice last year’s profit. Shares rose 2% in after-hours trading following the announcement.
Apple enhanced the iPhone 17 with a redesigned “liquid glass” display but left its pricing largely unchanged. The company absorbed $1.1 billion (€950m) in tariffs from U.S. trade policies, with another $1.4 billion (€1.2bn) expected in the year’s final quarter. Despite these pressures, iPhone sales reached $49 billion (€42.4bn) between July and September, a 6% increase from last year, though below the 8% rise analysts had forecast and the 13% jump from the prior quarter.
Ben Barringer of Quilter Cheviot reported that Mac sales grew 12% while iPhone sales climbed 6%. He noted that iPad and wearables remained flat, and sales in China fell 4% due to supply constraints and weaker demand. IDC estimated Apple sold 58.6 million iPhones globally, placing it second behind Samsung’s 61.4 million. For the full fiscal year, Apple posted a record net income of $112 billion (€96.8bn), a 20% increase over the previous year.
Apple Eyes Strong Holiday Quarter
During a call with analysts, Tim Cook predicted sustained demand for the iPhone 17 through the holiday season. Apple expects iPhone sales to grow at least 10% over last year’s festive period, according to CFO Kevan Parekh. Overall revenue should rise at a similar pace.
Barringer called Apple’s forecast “robust,” citing a projected 10–12% growth rate heading into the Christmas quarter. He highlighted strong consumer demand as a key driver of that outlook.
Investors Weigh Apple’s Next Moves
Apple’s stock has surged since research firm IDC reported record iPhone sales in the July–September quarter. The rally lifted Apple’s market value past $4 trillion for the first time, positioning the company for potential new highs in regular trading.
However, Apple continues to lag rivals in artificial intelligence. Nvidia recently reached a $5 trillion valuation, powered by its dominance in AI chips. Apple had promised several AI features for its iPhones but delivered only a few. A smarter version of Siri remains delayed until next year.
Barringer questioned whether Apple can maintain investor enthusiasm amid uncertainty in China and faster growth from Microsoft and Nvidia. Still, Apple’s history shows its ability to rebound and lead after slow starts in new technologies.
If Apple successfully integrates advanced AI features into future iPhones, Wedbush analyst Dan Ives believes the company could add $1 trillion (€860bn) to $1.5 trillion (€1.3tr) in market value, boosting its share price by $75 to $100.
