Apple closes the Cook era with a record June quarter

Apple reported its strongest June quarter yet, with fiscal third-quarter revenue of $109.42 billion, up 16% from a year earlier. Net income reached $29.79 billion and diluted earnings per share were $2.01, while the reported $2.02 basic figure was helped by an 11-cent-per-share tariff refund, according to the Associated Press.

The iPhone was the main engine: sales reached $54.25 billion, up about 22% year over year. Mac revenue also rose to $10.35 billion, Services to $30.74 billion and Wearables, Home and Accessories to $7.88 billion. iPad revenue was the exception, at $6.19 billion. Every geographic segment set a June-quarter record in the company’s reporting, including Greater China at $18.8 billion.

The quality of the result matters as much as the headline. Apple exceeded the consensus earnings and revenue figures cited by FactSet, but part of the earnings-per-share beat came from the tariff refund. The company also says memory costs will rise again in the September quarter, alongside tighter supply for iPhone, Mac and iPad. That combination could put pressure on margins even as demand remains strong.

This was Tim Cook’s final earnings call before John Ternus becomes CEO on September 1. The handoff therefore starts from a position of financial strength, but not without constraints: Apple must absorb more expensive memory, manage the next iPhone cycle and continue investing in AI without matching the much higher capital spending of some rivals.