Apple reported record quarterly sales and forecast 10%–12% revenue growth for the holiday quarter—far exceeding Wall Street’s 6% estimate—as customers rush to buy the new iPhone 17.
Key highlights:
- Holiday outlook: CFO Kevan Parekh said December-quarter revenue will rise 10%–12% year-over-year, driven by strong iPhone 17 demand.
- Q4 results (ended September): Total revenue hit $102.5 billion, up 8% from last year and slightly above the $102.2 billion analyst consensus.
- iPhone sales: $49 billion, up year-over-year for the second straight quarter but slightly below expectations due to supply constraints on several models. Parekh declined to specify which versions are leading demand.
- Stock reaction: Shares jumped more than 3% in after-hours trading.
- Services milestone: The division surpassed $100 billion in annual revenue for the first time, fueled by App Store fees, Google search payments, and subscriptions like Apple Music and Apple TV+.
- Google ruling: A judge upheld Alphabet’s $20+ billion annual payment to remain the default search engine in Safari, preserving a deal that accounts for roughly 20% of Apple’s operating profit.
Early third-party data from Consumer Intelligence Research Partners showed strong uptake of iPhone 17 Pro and Pro Max models, but “virtually no traction” for the new iPhone 17 Air.