Apple reports fiscal third-quarter earnings

Key Points:

• Apple reported a record $109.4 billion in revenue for the June quarter, driven by a 22% increase in iPhone sales and record Mac revenue, surpassing analyst expectations ahead of CEO Tim Cook’s departure.
• Tim Cook emphasized a pragmatic approach to AI, expressing openness to open-source models and highlighting Apple’s upcoming AI-powered Siri launch, while noting the importance of China in Apple's AI strategy and business growth.
• Apple’s China sales rose 22% to $18.81 billion, though slightly below estimates, and the company recently received approval for Apple Intelligence in China, enhancing its competitive position in the market.
• Tariff refunds boosted profits by about 5%, with Apple reinvesting these funds into U.S. advanced manufacturing as part of its $600 billion economic commitment over four years.
• Cook will step down as CEO on September 1 after 15 years, leaving a legacy of significant growth and innovation; John Ternus will succeed him, ushering in a new era focused on AI, geopolitical challenges, and sustaining Apple's market leadership.