SAN FRANCISCO (AP) — Apple delivered financial results during its summertime quarter that exceeded analyst projections, despite being caught in the crosshairs of a global trade war at the same time the trendsetting company is scrambling to catch up to its Big Tech peers in the artificial intelligence race.
The performance announced Thursday was driven largely by strong initial demand for its iPhone 17 lineup that went on sale last month.
Although the iPhone 17 lacks the AI wizardry featured in rival devices recently introduced by Samsung and Google, Apple spruced up its latest models with a redesign highlighted by a sleek “liquid glass” appearance on the display screens.
Apple also largely maintained its pricing on its latest iPhones, despite being squeezed by the tariffs that President Donald Trump has imposed on the U.S. devices that the company mostly makes in India and China. The tariffs cost Apple $1.1 billion during the past quarter and are expected to cost another $1.4 billion during the final three months of the year.
The formula apparently was enough to win over consumers, particularly in the United States and Europe, helping to produce iPhone sales totaling $49 billion during the July-September period, a 6% increase from the same time last year. That was slightly below the 8% jump in iPhone sales that had been anticipated by analysts, and less than the 13% bump in sales during the April-June period.
IDC estimates that 58.6 million iPhones were sold worldwide in the July-September quarter, putting Apple second behind Samsung at 61.4 million of their Android-powered phones sold worldwide in the quarter.
Buoyed by the iPhone results, Apple earned $27.5 billion, or $1.85 per share, nearly doubling its profit from a year ago. Revenue climbed 8% from a year ago to $102.5 billion. Both the earnings and revenue eclipsed the analyst forecasts that steer the stock market.
Apple shares surged 3% in extended trading after the numbers came out.
In a conference call with analysts, Apple CEO Tim Cook indicated his belief that the iPhone 17 lineup will continue to do well, predicting even more of the devices will be sold during the final three months of the year. “As we head into the holiday season with our most powerful lineup ever, I couldn’t be more excited for what’s to come,” Cook said. He cited the iPhone 17's popularity in most parts of the world except China, where sales of the device dipped by 4% from a year ago.
The Cupertino, California, company expects its iPhone sales to increase at least 10% from last year's holiday season, according to projections provided by Apple's chief financial officer, Kevan Parekh. Total revenue is expected to rise at a similar rate.
Apple’s stock has been on a tear since a report earlier this month from the research firm International Data Corp. telegraphed the quarterly results with a preliminary analysis that concluded the company had set a new July-September record for iPhone sales. The rally catapulted Apple’s market value above $4 trillion for the first time earlier this week and now the stage is set for the shares to hit another new high during Friday's regular trading session.
But Apple has been widely seen as a laggard in the AI craze, one of the reasons that Nvidia — a chipmaker whose processors power the technology — became the first company to be valued at $5 trillion earlier this week.
Apple had promised a wide array of AI features would be rolling out on last year’s iPhone models, but was only able to deliver a few of them. The missing upgrades included a smarter and more versatile version of its frequently flummoxed Siri virtual assistant – a makeover that Apple now doesn’t expect to complete until next year.
But Apple has a long history of late starts when technology starts to head in another direction before it finally catches up and emerges as a front-runner.
If Apple can pull it off again by eventually implanting more AI features on the iPhone, Wedbush Securities analyst Dan Ives believes those breakthroughs could boost the company’s market share by another $1 trillion to $1.5 trillion, translating into $75 to $100 per share.
FILE - The iPhone 17 Pro is displayed during an announcement of new products at Apple Park on Tuesday, Sept. 9, 2025, in Cupertino, Calif. (AP Photo/Godofredo A. Vásquez, File)
WASHINGTON (AP) — President Donald Trump was set to address the nation Wednesday night and offer an update on the war in Iran, his first prime-time speech since launching strikes alongside Israel more than a month ago.
The speech will offer Trump a wide audience to articulate clear objectives for the war that could attempt to reconcile weeks of changing goals and often contradictory messages about whether he’s winding down or ready to escalate military operations — even as Iran kept up its attacks on Israel and Persian Gulf neighbors and airstrikes pounded Tehran.
It comes amid rising oil prices, volatile financial markets and polling showing many Americans feel the U.S. military has gone too far in Iran — even as more American troops move into the region for a possible ground offensive. Trump opted not to deliver such an address closer to when the U.S. and Israel first launched attacks, and questions now remain about whether it is now too late for what he says to break through.
A White House official, who was not authorized to speak publicly ahead of the address and spoke on condition of anonymity, said the president will talk about U.S. progress on achieving his goals in Iran and will reiterate his estimated timeline for concluding operations within two to three weeks.
The president, in comments during a Easter lunch on Wednesday afternoon, said of Iran: “We could just take their oil. But you know, I’m not sure that the people in our country have the patience to do that, which is unfortunate.”
“Yeah, they want to see it end. If we stayed there, I prefer just to take the oil,” Trump said. “We could do it so easily. I would prefer that. But people in the country sort of say: ‘Just win. You’re winning so big. Just win. Come home.’ And I’m OK with that, too, because we have a lot of oil between Venezuela and our oil.”
The media was not permitted to watch the president’s remarks at the lunch, but the White House uploaded video of the speech online before taking it down. The White House did not return requests for comment from The Associated Press on the video and why it was taken down.
In a social media post earlier Wednesday, Trump maintained a belligerent tone, demanding that Iran stop blocking the Strait of Hormuz — the waterway vital to global oil supplies — or the U.S. would bomb the Islamic Republic “back to the Stone Ages.” The president has also said the U.S. “will not have anything to do with” ensuring the security of ships passing through Hormuz, an apparent backtrack from a previous threat to attack Iran’s power grid if it didn’t open the strait by April 6.
In the same Easter lunch, the president reiterated some of his complaints about NATO allies for their reluctance to get involved in securing the Strait of Hormuz while suggesting that China, Japan and South Korea could also step up to reopen the waterway.
“Let South Korea, you know, we only have 45,000 soldiers in harm’s way over there, right next to a nuclear force -- let South Korea do it,” Trump said of efforts to reopen the strait. “Let Japan do it. They get 90% of their oil from the strait. Let China do it.”
In another morning social media post, Trump wrote that “Iran’s New Regime President” wanted a ceasefire. It wasn’t clear to whom the U.S. president was referring since Iran still has the same president. Iran’s Foreign Ministry spokesman, Esmail Baghaei, called Trump’s claim “false and baseless,” according to a report on Iranian state television.
Speaking earlier to Al Jazeera, Iranian Foreign Minister Abbas Araghchi signaled Tehran’s willingness to keep fighting. “You cannot speak to the people of Iran in the language of threats and deadlines,” he said. “We do not set any deadline for defending ourselves.”
Hours before Trump’s address, Iranian President Masoud Pezeshkian posted a lengthy letter in English on his X account appealing to U.S. citizens and stressing that his country had pursued negotiations before the U.S. withdrew from that path. “Exactly which of the American people’s interests are truly being served by this war?” he wrote.
Since the war began on Feb. 28, Trump has offered shifting objectives and repeatedly has said it could be over soon while also threatening to widen the conflict. Thousands of additional U.S. troops are currently heading to the Middle East, and speculation abounds about why.
Trump has also threatened to attack Iran’s Kharg Island oil export hub. And the U.S. could decide to send in military forces to secure Iran’s uranium stockpile — a complex and risky operation, fraught with radiation and chemical dangers, experts and former government officials say.
Adding to the confusion is what role Israel — which has been bombing Iran alongside the U.S. — might play in any of these scenarios.
Trump has been under growing pressure to end the war that has been pushing up the cost of gasoline, food and other goods. The price of Brent crude, the international standard, is up more than 40% since the start of the war.
The U.S. has presented Iran with a 15-point plan aimed at bringing about a ceasefire, including a demand for the strait to be reopened and for its nuclear program to be rolled back.
Iran insists its nuclear program is peaceful. And in a report last week by Iranian state TV's English-language broadcaster, an anonymous official was quoted as saying Iran had its own demands to end the fighting, including retaining sovereignty over the strait.
In the interview with Al Jazeera, Araghchi acknowledged receiving direct messages from U.S. Mideast envoy Steve Witkoff. He insisted, however, that there were no direct negotiations and said Iran has no faith that talks with the U.S. could yield any results, saying “the trust level is at zero.”
He warned against any U.S. attempt to launch a ground offensive, saying “we are waiting for them.”
In a deal ostensibly to give diplomacy a chance, U.S. officials have given “clear assurances” that Araghchi and Iran's Parliamentary Speaker Mohammad Bagher Qalibaf won't be targeted, according to three officials who spoke on condition of anonymity because they're not authorized to speak publicly about the matter.
Gambrell reported from Dubai, United Arab Emirates. Rising reported from Bangkok. Associated Press writers Giovanna Dell’Orto in Miami, Farnoush Amiri in New York and Samy Magdy in Cairo contributed to this report.
A rainbow forms over the White House on Wednesday, April 1, 2026, in Washington. (AP Photo/Alex Brandon)
A young girl is comforted by her father and Israeli soldiers as they take cover in a bomb shelter during air raid sirens warning of incoming Iranian missile strikes in Bnei Brak, Israel, Wednesday, April 1, 2026. (AP Photo/Oded Balilty)
People inspect the site of an Israeli strike amid debris and damaged vehicles in Beirut, Lebanon, Wednesday, April 1, 2026. (AP Photo/Hassan Ammar)
A man feeds stray cats in Tehran, Iran, Tuesday, March 31, 2026. (AP Photo/Vahid Salemi)
The Indian flagged LPG carrier Jag Vasant transporting liquefied petroleum gas, is seen at the Mumbai Port in Mumbai, India, after it arrived clearing the Strait of Hormuz, Wednesday, April 1, 2026. (AP Photo/Rafiq Maqbool)
Firefighters and rescue workers work at the site of Israeli airstrikes, in Beirut, Lebanon, Wednesday, April 1, 2026. (AP Photo/Hussein Malla)
A firefighter extinguishes a car at the site of Israeli airstrikes, in Beirut, Lebanon, Wednesday, April 1, 2026. (AP Photo/Hussein Malla)
Israel's rescue teams and residents take shelter as sirens sounds next to a site struck by an Iranian missile in Bnei Brak, Wednesday, April 1, 2026. (AP Photo/Oded Balilty)
A police vehicle is seen through a shattered windshield at the site of an Israeli strike in Beirut, Lebanon, Wednesday, April 1, 2026. (AP Photo/Hassan Ammar)
Two men ride scooters past charred debris at the site of an Israeli strike in Beirut, Lebanon, Wednesday, April 1, 2026. (AP Photo/Hassan Ammar)
