Defying supply pressures, Apple posts $111 billion March-quarter revenue, driven by 22% iPhone growth and strong services, extending streak of three $100 billion-plus quarters.
Apple reported a record revenue of $111 billion for the March quarter of 2026, supported by sustained demand across its product portfolio and continued growth in services, despite ongoing component supply pressures.
According to a report by Counterpoint Research, the company posted revenue for the quarter, a 17% year-on-year increase and its third consecutive quarter exceeding $100 billion, countering typical seasonal declines following the holiday period.
Both hardware and services segments recorded double-digit growth, rising 17% and 16% respectively, with hardware delivering a March quarter record and services reaching an all-time high.
Meanwhile, iPhone revenue rose 22% compared with the same period last year, marking the highest March quarter performance for the product line. Strong demand for the iPhone 17 series, particularly in Greater China and emerging markets, contributed to the increase.
Commenting on the performance, Principal Analyst at Counterpoint, Varun Mishra said, “Apple’s supply chain resilience was evident this quarter, as the company remained uniquely insulated from surging component costs. While competitors were forced into reactive price hikes, Apple’s ability to absorb BoM (bill of materials) increases allowed price stability, effectively squeezing competition.”
This price stability, he said, combined with robust global demand for the iPhone 17 series and strong growth in Greater China and emerging markets, helped iPhone consolidate market share and achieve its highest-ever March quarter revenues.
The Mac segment also outperformed the broader personal computer market, growing 6% year-on-year. Associate Director David Naranjo said, “Apple’s entry into a more affordable price segment, especially at a time when the PC industry is facing both demand normalisation and cost pressure, has restructured the PC market.”
Apple, contrary to its competitors, as Naranjo said, increased its addressable market for creators and students, who can convert into long-term Apple users with significant customer lifetime value. The ramp-up in production of the MacBook Neo is set to drive even more significant growth in the following quarter.”
iPad sales and shipments also increased, driven by an ongoing upgrade cycle tied to earlier pandemic-era demand. Consumers are transitioning to newer devices powered by Apple’s M-series chips, while first-time buyers in emerging markets continue to contribute to demand.
No significant overlap in demand between iPads and Mac devices was observed.
The ‘Wearables, Home and Accessories’ segment recorded growth, supported by stronger performance in Apple Watch and AirPods. The Watch portfolio, including Series 11, Ultra and SE 3, contributed to higher market share, while AirPods benefited from improved supply and higher average selling prices, particularly for the Pro 3 variant.
Looking ahead, Research Director at Counterpoint, Tarun Pathak said, “Securing memory capacity has become critical for survival for most OEMs as prices are expected to continue rising in the June quarter. Apple remains positive on memory supply but is more constrained on the availability of advanced node SoC.”
Furthermore, smartphone OEMs are expected to increasingly transfer the BoM rise to end consumers. This also means more Android flagships entering iPhone’s territory, where Apple has a stronger brand power.
“As a result, we expect Apple’s market share to increase through 2026 and 2027. At the same time, the rising AI-ready installed base is laying a solid foundation for multi-year services growth for Apple,” not Pathak.
