Apple just reported another record-breaking quarter, despite the company being forced to increase prices on many of its products because of an ongoing global memory shortage.
“Today, Apple is proud to report a September quarter revenue record of $114.5 billion, up 12 percent from a year ago, with iPhone reaching a September quarter record and Services reaching an all-time high,” said John Ternus, Apple’s CEO, in a statement Monday.
Apple’s strong quarterly earnings beat lofty Wall Street expectations
Before the official announcement, Wall Street analysts predicted big things from Apple in the September quarter, with revenue at about $113 billion, up from $102 billion in the same quarter of last year — an increase of about 11%. Earnings per share were anticipated to be around $2.
These predictions are important to investors because these expectations are priced into the AAPL share price. Missing them would have brought a painful drop in the share price. But earnings per share hit $2.10 — up 14% year over year. This means Apple exceeded analysts’ expectations for total revenue and EPS.
“Apple delivered September quarter records for net income and EPS,” said Kevan Parekh, Apple’s CFO.
Strong iPhone and Mac demand despite price hikes
The worldwide memory shortage dubbed RAMageddon drove up the cost of components this year, forcing Apple to raise prices on some products to protect its profit margins. Higher prices could have discouraged customers from buying new iPhones, Macs and iPads, potentially slowing sales growth. But Apple’s latest quarterly results suggest that didn’t happen.
iPhone revenue increased 17% in the September quarter versus the same quarter of last year, reaching $57.6 billion. Revenue from Mac sales increased 24%, hitting $10.8 billion.
Not all the news was good, though. iPad revenue dropped 10% year-over-year. However, that’s mitigated by the fact that the company did not launch any new tablets during the quarter, while a new iPad Pro debuted in the September quarter of 2025. Wearables revenue dropped 8%.
Ed Hardy has been writing full-time about tech for 26 years, and using it for much longer than that. His intro to Apple was a Macintosh SE/30 (which he still has), but now he uses a 13-inch iPad Pro as his primary computer.
That’s because he’s a “tablet first” type of guy. Rather than use a Macbook, he connects a keyboard case to the iPad. And instead of a desktop Mac, he connects his tablet to a 27-inch display and full-size keyboard. (So don’t try to tell him that everyone has to use a Mac to be productive.)
Before coming to Cult of Mac, Ed wrote for NotebookReview, TabletPCReview and Brighthand, as well as other sites.
