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Apple Posts Record Quarter but Warns Memory Costs Will Squeeze Margins

Rising DRAM and NAND prices plus limited advanced‑chip capacity threaten September revenue growth, trimming gross margin.

Overview

  • Apple reported a record June quarter with $109.4 billion in revenue and 16% year‑over‑year growth, with iPhone and Mac each setting June‑quarter records.
  • Management guided September‑quarter revenue growth to 9%–11% and said gross margin should fall to about 47%–48% because rising memory costs will raise component spending and currency will modestly weigh on results.
  • Apple described current supply limits as a demand‑forecast miss rather than weak demand, saying it pulled supply forward and now faces constrained flexibility from scarce advanced chip nodes.
  • Investors reacted strongly, sending the shares down roughly 7%–10% after the July 30 report, and services revenue of $30.7 billion fell short of analyst expectations.
  • The company is shifting its AI approach toward renting large‑model capacity and will hand CEO duties to John Ternus on September 1, and reports of a possible foldable iPhone this fall remain unconfirmed.