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Apple 1Q26 Earnings Review: Let’s Talk About iPhone Results

Happy Tuesday. We are going to continue our Apple 1Q26 earnings review. Today’s update took a bit longer than expected to finalize.

Last Friday, we went over my initial thoughts regarding Apple’s results and how the numbers compared to my estimates. 1Q26 earnings and 2Q26 guidance were very strong. For this week, we will take a closer look at specific earnings-related topics. Today’s update will be focused on the iPhone.

Apple 1Q26 Earnings Review: Let’s Talk About the iPhone

Based on Apple’s earnings releases and conference call with analysts, here’s what we know about the latest iPhone results:

  • iPhone revenue: $85.3B (up 23%).

  • The $85.3B of revenue was constrained a bit by supply (advanced node 3nm capacity for SoCs). This supply shortage materialized via “very lean channel inventory” as management could not put as many iPhones into the channel as they wanted. 

  • Apple said they sold a record number of iPhones in China in 1Q26 (Greater China revenue was up 38%). Records were put in for number of upgraders and strong double-digit growth on switchers. Recall how Apple’s 4Q25 iPhone results were hit by iPhone shortages in China.

As shown in the exhibit below, Apple is experiencing a step-up in iPhone revenue from approximately $200B/year to

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