Apple India's FY26 Profit Surges 66% on Premium Smartphone Growth
Apple India's net profit jumped 66% year-on-year to ₹5,311 crore in FY26, driven by a 31% revenue rise to over ₹1.03 lakh crore.
Apple India reported a 66% year-on-year net profit increase to ₹5,311 crore in FY26, driven by strong revenue growth and improved margins. Operating revenue grew 31.4% to ₹1.04 lakh crore from ₹79,060 crore the previous year, crossing the one lakh crore mark for the first time. Profit margin improved to 5.1% from 4% in FY25.
Total expenses grew at a slower 28% pace to ₹96,224 crore. The company's income was diversified across several streams.
| Revenue Stream | FY26 Amount (₹ Cr) | Growth/Notes |
|---|---|---|
| Traded Goods | 99,068 | 33% increase from FY25 |
| Support Services | 4,292.8 | 7.6% growth |
| Finance Income | 463 | - |
| Other Income | 291 | - |
Major expense lines included inventory costs of ₹78,228.7 crore, a 21.6% rise, and a license fee expense that more than doubled to ₹10,373.7 crore. Employee benefit expenses rose 13% to ₹3,531.3 crore, while marketing spend increased 22.6% to ₹1,075.2 crore.
Premium Smartphone Growth
The premium smartphone segment, defined as devices priced above ₹30,000, grew 12% in sales volume during FY26. Apple's smartphone volume growth reached 24%, more than doubling its own 11% growth from the previous year and significantly outpacing the segment. This occurred as the broader Indian smartphone market grew just 2% in volume and 9% in value terms.
Apple's performance contrasts with key rival Samsung. Samsung Electronics India reported total revenue of ₹1.12 lakh crore, with its mobile phone business generating ₹81,472 crore, a 1.4% decline from the prior year.
Supply Constraints and Market Expansion
Apple expects supply constraints in the coming months due to global semiconductor and memory component shortages, which could affect the availability of iPhones, Macs, and iPads in India. Concurrently, the company is expanding its retail presence into Tier 2 cities to drive further growth.
The company's manufacturing push in India also yielded significant export figures, with iPhone exports crossing ₹2 lakh crore in FY26.
New Payment and Financing Strategies
To boost device affordability and usage, Apple launched Apple Pay in India in partnership with Axis Bank. The service enables payments for iPhone, iPad, and Apple Watch users and is currently accepted at physical Apple Store locations, Blinkit, Chaayos, Comet, Croma, and merchants like Reliance brands, Tata 1mg, and Zomato.
The company also aggressively promoted financing options. It offered No-Cost EMIs through bank and fintech partners, allowing monthly instalments of ₹3,000 to ₹6,000 for devices costing between ₹80,000 and ₹1,30,000. E-commerce platforms like Amazon and Flipkart supplemented this with trade-in bonuses to reduce effective iPhone prices.
Apple's continued expansion into Tier 2 cities and the potential resolution of supply constraints will determine its market share growth in India's premium smartphone segment.
