Apple Inc.

Strong Q3 results; broad-based growth - Apple reported $109.4B revenue (+16% YoY), a June-quarter record (and iPhone, Mac, and Services each hit June-quarter records). - iPhone: $54.3B (+22% YoY), iPhone 17 family driving growth; share gains globally per IDC; strong across developed + emerging markets. - Mac: $10.4B (+29% YoY), best June quarter ever; share gains per IDC; strength in MacBook Neo + MacBook Pro, though the supply chain constrained shipments. - Services: $30.7B (+12% YoY), June-quarter record; all-time category records including cloud + payment services; gross margin still very high but fell sequentially (see below). - Installed base: over 2.5B active devices, another all-time high.

Margins: boosted by tariff refund benefits, but mixed sequential trends - Company gross margin: 50.1%, +80 bps sequentially, helped by tariff refunds (~2 percentage points) (i.e., underlying trend is less favorable than headline). - Products gross margin: 40.1%, +140 bps sequentially, also helped by tariff refunds (~+2.5 percentage points to products). - Services gross margin: 75.6%, -110 bps sequentially, attributed to mix (so growth is solid but profitability dynamics changed). - Operating expenses: $19.1B (+23% YoY), driven by R&D investment.

Key Q4/September guidance: growth decelerates due to FX + rising supply constraints - September-quarter revenue growth guide: +9% to +11% YoY (sequential deceleration vs June). - Two main headwinds built into guidance: - FX headwind: about -2.5 percentage points sequentially to YoY growth rate. - Supply constraints worsening sequentially: expected to significantly increase from June to September. - Product-specific expectations: - iPhone: demand remains high, but reported growth expected in “mid-teens” YoY due to FX + supply constraints. - iPad + Mac: also affected by worsening supply constraints (notably tied to SoC “advanced nodes” capacity). - Gross margin guide: 47%–48%, including expected ~+1 percentage point tariff refund benefit. - Operating expenses guide: $19.1B–$19.4B; tax rate ~16.5%.