Apple Reports $114.5 Billion in Quarterly Revenue Under New CEO John Ternus
Apple reported fiscal fourth-quarter revenue of $114.5 billion on November 2, 2026, a 12 percent year-over-year increase, under new CEO John Ternus, who took over in September 2026. The company warned of potential margin pressure in the December quarter due to rising memory costs and investments in Siri AI.
Apple reported fiscal fourth-quarter revenue of $114.5 billion on November 2, 2026, a 12 percent increase year over year, marking the first full earnings report under new CEO John Ternus, who took over from Tim Cook in September 2026.
Gross margin for the quarter came in at 47.9 percent. For the December quarter, Apple projected gross margin of 45 to 46 percent, citing rising memory prices and costs tied to ongoing investments in Siri AI features.
Ternus, who previously led Apple's hardware engineering division, has maintained the company's focus on integrating AI features across its product lineup. Apple Intelligence, the company's suite of on-device AI tools, has been rolling out to iPhone, iPad, and Mac users throughout 2026.
The memory cost pressure reflects broader trends in the semiconductor market, where demand for high-bandwidth memory used in AI applications has pushed prices higher across the industry. Apple uses large amounts of memory in its devices and data centers.
Services revenue, which includes the App Store, Apple Music, iCloud, and Apple TV+, continued to grow and now represents a significant portion of the company's overall revenue. Hardware sales, including iPhone and Mac, also contributed to the strong quarter.
Apple's results came in above analyst expectations. The company did not provide specific guidance on unit sales but said it expects continued growth in the December quarter despite the margin headwinds.
Ternus has been with Apple for more than two decades and is known for overseeing the development of the M-series chips and the transition of the Mac lineup to Apple Silicon.
