New Delhi, Nov 3: India used to come up on Apple's earnings calls mainly as a story about iPhone sales growth. This time it showed up across almost every product and service. On the call for Apple's fiscal 2026 fourth quarter, which ended September 26, CEO John Ternus said the company had posted an all-time revenue record in India.

Ternus, who succeeded Tim Cook as CEO on September 1, said Apple set September quarter records in the Americas, Europe, Greater China and the rest of Asia-Pacific.

"We also set September quarter revenue records in both developed and emerging markets, in addition to an all-time record in India," Ternus said. He added that Apple set a September quarter record for upgraders worldwide, as well as in the US, China mainland and India.

Fewer iPhones, higher prices

The most important number for India comes from Counterpoint Research, not Apple. According to Counterpoint, iPhone shipments in India fell year-on-year during the quarter. Even so, Apple's average selling price in the country rose to an all-time high of more than $1,000.

In other words, Indian buyers are moving to more expensive models, even as the overall smartphone market gets tougher. Counterpoint said the iPhone 17 was the top-shipped model in India in Q3, and the MacBook Neo had a record quarter for sales.

"Consumer aspirations remain Apple's biggest tailwind in India, and easy financing, trade-ins, channel expansion and local manufacturing are turning that aspiration into actual purchases. Even in a tougher smartphone market, users are willing to stretch their budgets for Apple products," Tarun Pathak, Research Director at Counterpoint Research, told IANS.

Pathak said one highlight of the call was how many different data points featured India: record iPhone upgraders, all-time Mac and Services records, iPhone ranking among the top-selling models, and the Apple Pay launch.

"India is moving from an iPhone growth market to a full ecosystem market for Apple, and we expect that shift to accelerate in 2027 and beyond as the installed base expands," he noted.

Apple Pay completes the picture

The Apple Pay launch is a big part of the ecosystem shift. "Turning to Apple Pay, we recently launched in India with Axis Bank, bringing a seamless, safe, and secure way to pay in one of the biggest markets in the world. Today, Apple Pay is available in over 90 markets, giving customers around the world peace of mind built into every transaction," Ternus said.

Apple Pay is entering a payments market already shaped by UPI. That gives Apple a way to stay part of a user's daily life between phone upgrades.

CFO Kevan Parekh said the iPhone's active installed base grew to an all-time high. He added that iPhone had a record year for upgraders globally and in markets including the US, China mainland, India and Japan.

"According to a recent survey from World Panel, iPhone was a top-selling model in the US, urban China, India, the UK, Germany, Australia, and Japan," he said.

Globally, iPhone revenue was $57.6 billion, up 17 per cent despite supply constraints and foreign exchange headwinds. Mac revenue rose 24 per cent to $10.8 billion. "This performance was driven by the strength of the MacBook Neo and MacBook Pro. We saw a double-digit growth in both developed and emerging markets, with all-time records in markets like India and Southeast Asia," Parekh said.

Services revenue was an all-time record of $31.6 billion, up 10 per cent despite over 1.5 points of sequential FX headwinds. "We set all-time revenue records in the majority of markets we track, including several emerging markets like Latin America and India," Parekh added.

What it means

As India's installed base grows, more of Apple's revenue there should come from services, payments and upgrades, not just new phone buyers. If Counterpoint's forecast is right, India could become one of Apple's key growth markets after 2027.

(With inputs from IANS)