What changed in this filing

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Item 1. Financial Statements

2026-07-31 compared with 2026-05-01 · 74 added, 68 removed, 342 unchanged (29% of the section changed)

2 unchanged sentences

(In millions, except number of shares, which are reflected in thousands, and per-share amounts)

Three Months Ended Six Months Ended

2026 March 29,

2025 March 28,

2026 March 29,

Three Months Ended Nine Months Ended

2026 June 28,

2025 June 27,

2026 June 28,

Products $ 78,678 $ 66,613 $ 272,629 $ 233,287

25 unchanged sentences

(In millions)

Three Months Ended Six Months Ended

2026 March 29,

2025 March 28,

2026 March 29,

Three Months Ended Nine Months Ended

2026 June 28,

2025 June 27,

2026 June 28,

Net income $ 29,789 $ 23,434 $ 101,464 $ 84,544

58 unchanged sentences

(In millions, except per-share amounts)

Three Months Ended Six Months Ended

2026 March 29,

2025 March 28,

2026 March 29,

Three Months Ended Nine Months Ended

2026 June 28,

2025 June 27,

2026 June 28,

Total shareholders’ equity, beginning balances $ 106,491 $ 66,796 $ 73,733 $ 56,950

22 unchanged sentences

(In millions)

Six Months Ended

2026 March 29,

Nine Months Ended

2026 June 28,

Cash, cash equivalents, and restricted cash and cash equivalents, beginning balances

25 unchanged sentences

Repurchases of common stock ( 62,094 ) ( 70,579 )

Proceeds from issuance of term debt, net — 4,481

Repayments of term debt ( 8,146 ) ( 9,682 )

2 unchanged sentences

Cash used in financing activities ( 94,575 ) ( 93,210 )

Increase/(Decrease) in cash, cash equivalents, and restricted cash and cash equivalents 9,638 ( 1,781 )

Increase in cash, cash equivalents, and restricted cash and cash equivalents 3,610 6,326

Cash, cash equivalents, and restricted cash and cash equivalents, ending balances

19 unchanged sentences

Note 2 – Revenue

The following table shows disaggregated net sales, as well as the portion of total net sales that was previously deferred, for the three- and six-month periods ended March 28, 2026 and March 29, 2025 (in millions):

Three Months Ended Six Months Ended

2026 March 29,

2025 March 28,

2026 March 29,

The following table shows disaggregated net sales, as well as the portion of total net sales that was previously deferred, for the three- and nine-month periods ended June 27, 2026 and June 28, 2025 (in millions):

Three Months Ended Nine Months Ended

2026 June 28,

2025 June 27,

2026 June 28,

$ 54,252 $ 44,582 $ 196,515 $ 160,561

6 unchanged sentences

$ 4,086 $ 4,015 $ 7,260 $ 6,958

The Company’s proportion of net sales by disaggregated revenue source was generally consistent for each reportable segment in Note 10, “Segment Information” for the three- and six-month periods ended March 28, 2026 and March 29, 2025, except in Greater China, where iPhone revenue represented a moderately higher proportion of net sales.

As of March 28, 2026 and September 27, 2025, the Company had total deferred revenue of $ 14.7 billion and $ 13.7 billion, respectively.

As of March 28, 2026, the Company expects 64 % of total deferred revenue to be realized in less than a year, 23 % within one-to-two years, 11 % within two-to-three years and 2 % in greater than three years.

The Company’s proportion of net sales by disaggregated revenue source was generally consistent for each reportable segment in Note 10, “Segment Information” for the three- and nine-month periods ended June 27, 2026 and June 28, 2025, except in Greater China, where iPhone revenue represented a moderately higher proportion of net sales.

As of June 27, 2026 and September 27, 2025, the Company had total deferred revenue of $ 14.9 billion and $ 13.7 billion, respectively.

As of June 27, 2026, the Company expects 64 % of total deferred revenue to be realized in less than a year, 23 % within one-to-two years, 11 % within two-to-three years and 2 % in greater than three years.

| Q3 2026 Form 10-Q | 6

Note 3 – Earnings Per Share

The following table shows the computation of basic and diluted earnings per share for the three- and six-month periods ended March 28, 2026 and March 29, 2025 (net income in millions and shares in thousands):

Three Months Ended Six Months Ended

2026 March 29,

2025 March 28,

2026 March 29,

The following table shows the computation of basic and diluted earnings per share for the three- and nine-month periods ended June 27, 2026 and June 28, 2025 (net income in millions and shares in thousands):

Three Months Ended Nine Months Ended

2026 June 28,

2025 June 27,

2026 June 28,

Net income $ 29,789 $ 23,434 $ 101,464 $ 84,544

7 unchanged sentences

Cash, Cash Equivalents and Marketable Securities

The following tables show the Company’s cash, cash equivalents and marketable securities by significant investment category as of March 28, 2026 and September 27, 2025 (in millions):

March 28, 2026

The following tables show the Company’s cash, cash equivalents and marketable securities by significant investment category as of June 27, 2026 and September 27, 2025 (in millions):

June 27, 2026

Cost Unrealized

14 unchanged sentences

Corporate debt securities 49,679 121 ( 709 ) 49,091 — 10,808 38,283

Municipal securities 122 — ( 1 ) 121 — 95 26

Mortgage- and asset-backed securities 24,828 65 ( 1,192 ) 23,701 — 73 23,628

24 unchanged sentences

(1) The valuation techniques used to measure the fair values of the Company’s Level 2 financial instruments, which generally have counterparties with high credit ratings, are based on quoted market prices or model-driven valuations using significant inputs derived from or corroborated by observable market data.

As of March 28, 2026, 79 % of the Company’s non-current marketable debt securities other than mortgage- and asset-backed securities had maturities between 1 and 5 years, 17 % between 5 and 10 years, and 4 % greater than 10 years.

As of March 28, 2026, 13 % of the Company’s non-current mortgage- and asset-backed securities had maturities between 1 and 5 years, 22 % between 5 and 10 years, and 65 % greater than 10 years.

As of June 27, 2026, 81 % of the Company’s non-current marketable debt securities other than mortgage- and asset-backed securities had maturities between 1 and 5 years, 16 % between 5 and 10 years, and 3 % greater than 10 years.

As of June 27, 2026, 14 % of the Company’s non-current mortgage- and asset-backed securities had maturities between 1 and 5 years, 21 % between 5 and 10 years, and 65 % greater than 10 years.

Derivative Instruments and Hedging

7 unchanged sentences

The Company designates these instruments as either cash flow or fair value hedges.

As of March 28, 2026, the maximum length of time over which the Company is hedging its exposure to the variability in future cash flows for term debt–related foreign currency transactions is 16 years.

As of June 27, 2026, the maximum length of time over which the Company is hedging its exposure to the variability in future cash flows for term debt–related foreign currency transactions is 16 years.

The Company may also use derivative instruments that are not designated as accounting hedges to protect gross margins from certain fluctuations in foreign exchange rates, as well as to offset a portion of the foreign currency gains and losses generated by the remeasurement of certain assets and liabilities denominated in non-functional currencies.

3 unchanged sentences

| Q3 2026 Form 10-Q | 8

The notional amounts of the Company’s outstanding derivative instruments as of March 28, 2026 and September 27, 2025, were as follows (in millions):

The notional amounts of the Company’s outstanding derivative instruments as of June 27, 2026 and September 27, 2025, were as follows (in millions):

2026 September 27,

4 unchanged sentences

Foreign exchange contracts $ 64,053 $ 109,079

As of March 28, 2026 and September 27, 2025, the carrying amount of the Company’s current and non-current term debt subject to fair value hedges was $ 10.4 billion and $ 12.6 billion, respectively.

As of June 27, 2026 and September 27, 2025, the carrying amount of the Company’s current and non-current term debt subject to fair value hedges was $ 10.4 billion and $ 12.6 billion, respectively.

Accounts Receivable

Trade Receivables

As of both March 28, 2026 and September 27, 2025, the Company had one customer that represented 10% or more of total trade receivables, which accounted for 17 % and 12 %, respectively.

The Company’s third-party cellular network carriers accounted for 30 % and 34 % of total trade receivables as of March 28, 2026 and September 27, 2025, respectively.

As of both June 27, 2026 and September 27, 2025, the Company had one customer that represented 10% or more of total trade receivables, which accounted for 18 % and 12 %, respectively.

The Company’s third-party cellular network carriers accounted for 27 % and 34 % of total trade receivables as of June 27, 2026 and September 27, 2025, respectively.

The Company requires third-party credit support or collateral from certain customers to limit credit risk.

4 unchanged sentences

Rather, the Company recognizes any gain on these sales as a reduction of products cost of sales when the related final products are sold by the Company.

As of March 28, 2026, the Company had two vendors that individually represented 10% or more of total vendor non-trade receivables, which accounted f or 51 % and 18 %.

As of June 27, 2026, the Company had two vendors that individually represented 10% or more of total vendor non-trade receivables, which accounted f or 47 % and 22 %.

A s of September 27, 2025, the Company had two vendors that individually represented 10% or more of total vendor non-trade receivables, which accounted for 46 % and 23 %.

Note 5 – Condensed Consolidated Financial Statement Details

The following tables show the Company’s condensed consolidated financial statement details as of March 28, 2026 and September 27, 2025 (in millions):

The following tables show the Company’s condensed consolidated financial statement details as of June 27, 2026 and September 27, 2025 (in millions):

2026 September 27,

Components $ 7,645 $ 2,124

Finished goods 3,447 3,594

Total inventories $ 11,092 $ 5,718

Property, Plant and Equipment, Net

4 unchanged sentences

Total property, plant and equipment, net $ 51,431 $ 49,834

| Q3 2026 Form 10-Q | 9

Intangible Assets, Net

5 unchanged sentences

Non-current portion of intangible assets, net $ 20,342 $ 11,093

| Q2 2026 Form 10-Q | 9

Note 6 – Debt

2 unchanged sentences

The Company uses net proceeds from the commercial paper program for general corporate purposes, including dividends and share repurchases.

As of March 28, 2026 and September 27, 2025, the Company had $ 2.0 billion and $ 8.0 billion of commercial paper outstanding, respectively.

The following table provides a summary of cash flows associated with commercial paper for the six months ended March 28, 2026 and March 29, 2025 (in millions):

Six Months Ended

2026 March 29,

As of June 27, 2026 and September 27, 2025, the Company had $ 2.0 billion and $ 8.0 billion of commercial paper outstanding, respectively.

The following table provides a summary of cash flows associated with commercial paper for the nine months ended June 27, 2026 and June 28, 2025 (in millions):

Nine Months Ended

2026 June 28,

Maturities 90 days or less:

1 unchanged sentence

Maturities greater than 90 days:

Proceeds from commercial paper — 5,625

Repayments of commercial paper ( 3,788 ) —

Proceeds from/(Repayments of) commercial paper, net ( 3,788 ) 5,625

Total repayments of commercial paper, net $ ( 5,911 ) $ ( 65 )

As of March 28, 2026 and September 27, 2025, the Company had outstanding fixed-rate notes with varying maturities for an aggregate carrying amount of $ 82.7 billion and $ 90.7 billion, respectively (collectively the “Notes”).

As of March 28, 2026 and September 27, 2025, the fair value of the Company’s Notes, based on Level 2 inputs, was $ 70.8 billion and $ 80.4 billion, respectively.

As of June 27, 2026 and September 27, 2025, the Company had outstanding fixed-rate notes with varying maturities for an aggregate carrying amount of $ 82.3 billion and $ 90.7 billion, respectively (collectively the “Notes”).

As of June 27, 2026 and September 27, 2025, the fair value of the Company’s Notes, based on Level 2 inputs, was $ 71.2 billion and $ 80.4 billion, respectively.

Note 7 – Shareholders’ Equity

Share Repurchase Program

During the six months ended March 28, 2026, the Company repurchased 135 million shares of its common stock for $ 36.0 billion.

The Company’s share repurchase program does not obligate the Company to acquire a minimum amount of shares.

Under the program, shares may be repurchased in privately negotiated or open market transactions, including under plans complying with Rule 10b5-1 under the Securities Exchange Act of 1934, as amended (“Exchange Act”).

During the nine months ended June 27, 2026, the Company repurchased 215 million shares of its common stock for $ 61.8 billion.

The Company’s share repurchase programs do not obligate the Company to acquire a minimum amount of shares.

Under the programs, shares may be repurchased in privately negotiated or open market transactions, including under plans complying with Rule 10b5-1 under the Securities Exchange Act of 1934, as amended (“Exchange Act”).

| Q3 2026 Form 10-Q | 10

Note 8 – Share-Based Compensation

Restricted Stock Units

A summary of the Company’s restricted stock unit (“RSU”) activity and related information for the six months ended March 28, 2026, is as follows:

A summary of the Company’s restricted stock unit (“RSU”) activity and related information for the nine months ended June 27, 2026, is as follows:

(in thousands)

6 unchanged sentences

RSUs forfeited ( 9,418 ) $ 213.67

Balance as of March 28, 2026 173,985 $ 217.51

The total vesting-date fair value of RSUs was $ 917 million and $ 906 million for the three months ended March 28, 2026 and March 29, 2025, respectively, and was $ 9.5 billion and $ 9.3 billion for the six months ended March 28, 2026 and March 29, 2025, respectively.

| Q2 2026 Form 10-Q | 10

Balance as of June 27, 2026 143,962 $ 225.06

The total vesting-date fair value of RSUs was $ 8.9 billion and $ 7.0 billion for the three months ended June 27, 2026 and June 28, 2025, respectively, and was $ 18.4 billion and $ 16.3 billion for the nine months ended June 27, 2026 and June 28, 2025, respectively.

Share-Based Compensation

The following table shows share-based compensation expense and the related income tax benefit included in the Condensed Consolidated Statements of Operations for the three- and six-month periods ended March 28, 2026 and March 29, 2025 (in millions):

Three Months Ended Six Months Ended

2026 March 29,

2025 March 28,

2026 March 29,

The following table shows share-based compensation expense and the related income tax benefit included in the Condensed Consolidated Statements of Operations for the three- and nine-month periods ended June 27, 2026 and June 28, 2025 (in millions):

Three Months Ended Nine Months Ended

2026 June 28,

2025 June 27,

2026 June 28,

Share-based compensation expense $ 3,401 $ 3,168 $ 10,523 $ 9,680

Income tax benefit related to share-based compensation expense $ ( 1,122 ) $ ( 795 ) $ ( 3,217 ) $ ( 2,870 )

As of March 28, 2026, the total unrecognized compensation cost related to outstanding RSUs was $ 28.8 billion, which the Company expects to recognize over a weighted-average period of 2.8 years.

As of June 27, 2026, the total unrecognized compensation cost related to outstanding RSUs was $ 26.7 billion, which the Company expects to recognize over a weighted-average period of 2.7 years.

Note 9 – Commitments and Contingencies

1 unchanged sentence

The Company has entered into certain off–balance sheet commitments that require the future purchase of goods or services (“unconditional purchase obligations”).

The Company’s unconditional purchase obligations primarily consist of supplier arrangements, distribution rights, and licensed intellectual property and content.

Future payments under unconditional purchase obligations with a remaining term in excess of one year as of March 28, 2026, are as follows (in millions):

2026 (remaining six months) $ 2,994

The Company’s unconditional purchase obligations primarily consist of supplier arrangements, licensed intellectual property and content, and distribution rights.

Future payments under unconditional purchase obligations with a remaining term in excess of one year as of June 27, 2026, are as follows (in millions):

2026 (remaining three months) $ 2,053

Thereafter 615

6 unchanged sentences

Note 10 – Segment Information

The following tables show information by reportable segment for the three- and six-month periods ended March 28, 2026 and March 29, 2025 (in millions):

Three Months Ended March 28, 2026

The following tables show information by reportable segment for the three- and nine-month periods ended June 27, 2026 and June 28, 2025 (in millions):

Three Months Ended June 27, 2026

Americas Europe Greater

7 unchanged sentences

Operating income/(loss) $ 21,701 $ 13,443 $ 7,406 $ 3,004 $ 4,182 $ ( 14,041 ) $ 35,695

Three Months Ended March 29, 2025

Three Months Ended June 28, 2025

Americas Europe Greater

7 unchanged sentences

Operating income/(loss) $ 16,511 $ 10,501 $ 5,822 $ 2,872 $ 3,243 $ ( 10,747 ) $ 28,202

Six Months Ended March 28, 2026

Nine Months Ended June 27, 2026

Americas Europe Greater

7 unchanged sentences

Operating income/(loss) $ 65,027 $ 44,285 $ 28,387 $ 11,456 $ 13,995 $ ( 40,718 ) $ 122,432

Six Months Ended March 29, 2025

Nine Months Ended June 28, 2025

Americas Europe Greater

9 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements