UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
For the quarterly period ended
Commission File Number:
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation or organization) | (IRS Employer Identification No.) |
(Address of principal executive offices, including zip code)
(
(Registrant's telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading symbol | Name of each exchange on which registered |
|---|---|---|
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes
As of June 27, 2026, the registrant had
Form type: 10-Q
Period end: 2026-06-27
| Three Months Ended June 27, 2026 | Three Months Ended June 28, 2025 | Nine Months Ended June 27, 2026 | Nine Months Ended June 28, 2025 | |
|---|---|---|---|---|
| Revenue | ||||
| Total Revenue | ||||
| Cost of revenue | ||||
| Total COGS | ||||
| Gross Profit | ||||
| General and administrative | ||||
| Research and development | ||||
| Selling and marketing | ||||
| Total operating expenses | ||||
| Operating income | ||||
| Other income (expense) | ||||
| Other income (expense), net | - | - | ||
| Income before income taxes | ||||
| Income tax expense (benefit) | ||||
| Net Income | ||||
| Basic earnings per share | ||||
| Diluted earnings per share | ||||
| Weighted average shares outstanding, basic | ||||
| Weighted average shares outstanding, diluted | ||||
| Three Months Ended June 27, 2026 | Three Months Ended June 28, 2025 | Nine Months Ended June 27, 2026 | Nine Months Ended June 28, 2025 | |
|---|---|---|---|---|
| Net income | 29,789,000,000.00 | 23,434,000,000.00 | 101,464,000,000.00 | 84,544,000,000.00 |
| Foreign currency translation adjustment, net of tax | - | |||
| Other comprehensive income (loss), other components | 891,000,000.00 | -455,000,000.00 | ||
| Other comprehensive income (loss), net of tax | - | |||
| Comprehensive income |
| June 27, 2026 | September 27, 2025 | |
|---|---|---|
| Assets | ||
| Current assets | ||
| Accounts receivable | ||
| Cash and cash equivalents | ||
| Inventory | ||
| Other current assets | ||
| Short-term investments | ||
| Vendor non-trade receivables | ||
| Total current assets | ||
| Noncurrent assets | ||
| Deferred tax assets | 0.00 | 20,777,000,000.00 |
| Intangible assets net excluding goodwill | 0.00 | |
| Finite-lived intangible assets, accumulated amortization | ||
| Intangible assets, net | 0.00 | 13,301,000,000.00 |
| Long-term investments | ||
| Operating lease right-of-use assets | 0.00 | 11,205,000,000.00 |
| Other noncurrent assets | ||
| Property, plant and equipment | 0.00 | |
| Property and equipment, gross | ||
| Less: accumulated depreciation and amortization | ||
| Other noncurrent assets (derived) | 0.00 | 15,644,000,000.00 |
| Total noncurrent assets | ||
| Total Assets | ||
| Liabilities | ||
| Current liabilities | ||
| Accounts payable | ||
| Commercial paper | ||
| Debt, current | ||
| Deferred revenue | ||
| Finance lease liabilities, current | 0.00 | 538,000,000.00 |
| Operating lease liabilities, current | 0.00 | 1,579,000,000.00 |
| Other accrued liabilities | 0.00 | 44,452,000,000.00 |
| Other current liabilities | 0.00 | |
| Other current liabilities (derived) | 0.00 | 6,802,000,000.00 |
| Taxes payable | 0.00 | 13,016,000,000.00 |
| Total current liabilities | ||
| Noncurrent liabilities | ||
| Long-term debt | ||
| Other noncurrent liabilities | ||
| Total noncurrent liabilities | ||
| Total Liabilities | ||
| Equity | ||
| Accumulated other comprehensive income (loss) | - | - |
| Common stock and additional paid-in capital | ||
| Common stock, par value per share | ||
| Common stock, shares authorized | ||
| Common stock, shares issued | ||
| Common stock, shares outstanding | ||
| Retained earnings (accumulated deficit) | - | |
| Total Equity | ||
| Total liabilities and equity | ||
| Nine Months Ended June 27, 2026 | Nine Months Ended June 28, 2025 | |
|---|---|---|
| Operating activities | ||
| Net income | ||
| Depreciation and amortization | ||
| Stock-based compensation | ||
| Other noncash items, net | - | - |
| Change in accounts receivable | ||
| Change in inventories | - | |
| Change in other operating assets | - | - |
| Change in accounts payable | - | - |
| Changes in operating assets and liabilities, net | - | |
| Net cash from operating activities | ||
| Investing activities | ||
| Purchases of property and equipment | - | - |
| Payments for (proceeds from) other investing activities | - | - |
| Purchases of available-for-sale securities | - | - |
| Proceeds from sales of available-for-sale securities | ||
| Proceeds from maturities, prepayments and calls of available-for-sale securities | ||
| Net cash from investing activities | - | |
| Financing activities | ||
| Repurchases of common stock | - | - |
| Dividends paid | - | - |
| Tax withholding payments for share-based compensation | - | - |
| Proceeds from (payments for) other financing activities | - | - |
| Other financing activities (derived) | - | - |
| Net cash from financing activities | - | - |
| Net change in cash | ||
| Cash at beginning of period | 29,943,000,000.00 | |
| Cash at end of period | 36,269,000,000.00 | |
| Supplemental cash flow information | ||
| Cash paid for income taxes | ||
| Common stock and additional paid-in capital | Retained earnings (accumulated deficit) | Accumulated other comprehensive income (loss) | Total | |
|---|---|---|---|---|
| Balance at March 31, 2025 | 88,711,000,000.00 | -15,552,000,000.00 | -6,363,000,000.00 | 66,796,000,000.00 |
| Net income | ||||
| Other equity movements | 1,095,000,000.00 | -25,489,000,000.00 | -6,000,000.00 | -24,400,000,000.00 |
| Balance at June 27, 2025 | 89,806,000,000.00 | -17,607,000,000.00 | -6,369,000,000.00 | 65,830,000,000.00 |
| Balance at March 31, 2026 | 99,507,000,000.00 | 12,359,000,000.00 | -5,375,000,000.00 | 106,491,000,000.00 |
| Net income | ||||
| Other equity movements | 1,195,000,000.00 | -30,822,000,000.00 | 867,000,000.00 | -28,760,000,000.00 |
| Balance at June 27, 2026 | 100,702,000,000.00 | 11,326,000,000.00 | -4,508,000,000.00 | 107,520,000,000.00 |
| Balance at September 26, 2024 | 83,276,000,000.00 | -19,154,000,000.00 | -7,172,000,000.00 | 56,950,000,000.00 |
| Net income | ||||
| Other equity movements | 6,530,000,000.00 | -82,997,000,000.00 | 803,000,000.00 | -75,664,000,000.00 |
| Balance at June 27, 2025 | 89,806,000,000.00 | -17,607,000,000.00 | -6,369,000,000.00 | 65,830,000,000.00 |
| Balance at September 27, 2025 | - | - | ||
| Net income | ||||
| Other equity movements | 7,134,000,000.00 | -75,874,000,000.00 | 1,063,000,000.00 | -67,677,000,000.00 |
| Balance at June 27, 2026 | - |
Apple Inc. (the "Company") is a public reporting company classified under Electronic Computers. The accompanying unaudited condensed financial statements of the Company as of and for the period ended June 27, 2026 have been prepared from the Company's connected books and records, and the results of operations for the interim period are not necessarily indicative of the results to be expected for the full fiscal year. These interim statements should be read in conjunction with the Company's audited financial statements included in its Annual Report on Form 10-K for the fiscal year ended September 27, 2025. The Company evaluates the applicability and impact of Accounting Standards Updates issued by the Financial Accounting Standards Board as they are issued, and adopted updates and updates not yet effective are not expected to have a material effect on the financial statements, except as otherwise described in these notes. Advertising and marketing costs are expensed as incurred and are included in operating expenses in the statements of operations.
Revenue for the period ended June 27, 2026 was $109,417 million, compared with $94,036 million in the prior period, an increase of 16.4%. Cost of revenue was $54,647 million, compared with $50,318 million in the prior period, an increase of 8.6%. Deferred revenue, representing amounts billed or collected in advance of performance, was $9,538 million as of June 27, 2026, compared with $8,979 million at the prior period end. Net income for the period was $29,789 million. Basic earnings per share is computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding for the period, and diluted earnings per share reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock, except when the effect would be antidilutive. Basic earnings per share for the period was $2.03 based on weighted-average basic shares outstanding of 14,656,110,000, and diluted earnings per share was $2.02, reflecting a dilutive adjustment of 58,566,000 shares.
As of June 27, 2026, the Company's borrowings consisted of commercial paper of $1,997 million, compared with $9,923 million at the prior period end, a decrease of 79.9%; current debt of $11,007 million, compared with $9,345 million, an increase of 17.8%; and long-term debt of $71,340 million, compared with $82,430 million, a decrease of 13.5%. No current finance lease liabilities or current operating lease liabilities were recorded as of June 27, 2026. Total liabilities as of June 27, 2026 were $275,746 million. Other noncurrent liabilities were $55,080 million, compared with $42,115 million at the prior period end, and other current liabilities were $62,259 million, compared with $62,499 million.
Equity instruments issued by the Company are classified in stockholders' equity based on their terms. Total stockholders' equity as of June 27, 2026 was $107,520 million. Common stock and additional paid-in capital was $100,702 million, compared with $89,806 million at the prior period end, an increase of 12.1%. Retained earnings was $11,326 million as of June 27, 2026, compared with an accumulated deficit of $17,607 million at the prior period end. Accumulated other comprehensive loss was $4,508 million as of June 27, 2026, compared with $6,369 million at the prior period end. Total share-based compensation expense recognized for the period was $3,401 million, compared with $3,168 million in the prior period. The Company had [COMPLETE: shares of common stock issued and outstanding and share repurchase and dividend activity for the period] as of June 27, 2026.
The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) and the applicable rules and regulations of the Securities and Exchange Commission. In the opinion of management, the financial statements reflect all adjustments necessary for a fair statement of the financial position, results of operations, and cash flows for the periods presented.
The financial statements include the accounts of the Company and its consolidated subsidiaries, if any. All intercompany balances and transactions have been eliminated in consolidation.
Inventories are stated at the lower of cost and net realizable value.
Receivables are recorded at the amounts contractually due from customers and other counterparties, net of any allowance for amounts not expected to be collected.
Property and equipment are stated at cost less accumulated depreciation. Depreciation is recognized over the estimated useful lives of the related assets, generally on a straight-line basis. Expenditures for maintenance and repairs are expensed as incurred.
Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group may not be recoverable. When the carrying amount of an asset or asset group is not recoverable, an impairment loss is recognized for the amount by which the carrying amount exceeds fair value.
Debt is carried at amortized cost. Debt issuance costs and discounts or premiums are presented as an adjustment to the carrying amount of the related debt and amortized to interest expense over the contractual term of the debt.
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences of temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases, measured using enacted tax rates expected to apply in the years in which those temporary differences are expected to be recovered or settled. A valuation allowance is recognized when it is more likely than not that some portion of the deferred tax assets will not be realized.
Share-based compensation is measured at the grant-date fair value of the award and recognized as expense over the requisite service period of the award.
Basic earnings per share is computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock, except when the effect would be antidilutive.
Advertising and marketing costs are expensed as incurred and are included in operating expenses in the statements of operations.
Equity instruments issued by the Company are classified in stockholders' equity based on their terms. The components of stockholders' equity and the changes in those components for the periods presented are set forth in the equity note.
The Company evaluates the applicability and impact of Accounting Standards Updates issued by the Financial Accounting Standards Board as they are issued. Adopted updates and updates not yet effective are not expected to have a material effect on the financial statements, except as otherwise described in these notes.
| Current | Prior | |
|---|---|---|
| Commercial paper | ||
| Debt, current | ||
| Finance lease liabilities, current | 0.00 | |
| Long-term debt | ||
| Operating lease liabilities, current | 0.00 | |
| Total debt | 84,344,000,000.00 | 100,774,000,000.00 |
| Current | Prior | |
|---|---|---|
| Property, plant and equipment | 0.00 | |
| Total property and equipment | 51,431,000,000.00 | 0.00 |
| Current | Prior | |
|---|---|---|
| Accumulated other comprehensive income (loss) | - | - |
| Common stock and additional paid-in capital | ||
| Retained earnings (accumulated deficit) | - | |
| Total stockholders' equity | 107,520,000,000.00 | 73,733,000,000.00 |
| Current | Prior | |
|---|---|---|
| Weighted average shares outstanding, basic | ||
| Dilutive effect of potential common shares | ||
| Weighted average shares outstanding, diluted | ||
| Basic earnings per share | 2.03 | 1.57 |
| Diluted earnings per share |
| Current | Prior | |
|---|---|---|
| Deferred tax assets, gross | ||
| Other deferred tax assets | ||
| Valuation allowance | ||
| Deferred tax assets, net | ||
| Tax credit carryforwards | ||
| Deferred income | ||
| Reserves and accruals | ||
| Foreign tax credit carryforwards | ||
| Research tax credit carryforwards | ||
| Deferred income tax liabilities | ||
| Property and equipment | ||
| Other deferred tax liabilities | ||
| Leasing arrangements | ||
| Net deferred tax position |
| Amount | |
|---|---|
| Balance at beginning of period |
| Current | Prior | |
|---|---|---|
| Portion that would impact the effective tax rate | ||
| Decrease reasonably possible within twelve months |
| Current | Prior | |
|---|---|---|
| Total share-based compensation expense |
Net sales for the quarter ended June 27, 2026 were $109,417 million, an increase of $15,381 million, or 16.4%, compared with $94,036 million in the comparable prior-year period, driven by [COMPLETE: describe principal product, service and geographic drivers of the revenue increase]. Cost of revenue increased 8.6% to $54,647 million from $50,318 million, and because revenue grew faster than cost of revenue, gross margin expanded to approximately $54,770 million, or 50.1% of revenue, compared with approximately $43,718 million, or 46.5% of revenue, in the prior-year period, reflecting [COMPLETE: describe drivers of gross margin expansion, including mix and cost factors]. Net income for the quarter was $29,789 million, and basic earnings per share were $2.03 on weighted-average basic shares outstanding of 14,656,110,000.
Operating expenses increased across all categories. Research and development expense increased 32.3% to $11,729 million from $8,866 million, an increase of $2,863 million, primarily due to [COMPLETE: describe drivers of research and development growth, such as headcount and program investment]. Selling and marketing expense increased 5.6% to $5,034 million from $4,769 million, and general and administrative expense increased 22.9% to $2,312 million from $1,881 million, reflecting [COMPLETE: describe drivers of selling, marketing and general and administrative increases]. Other income, net was $572 million for the quarter compared with other expense, net of $171 million in the prior-year period, a favorable change of $743 million attributable to [COMPLETE: describe components of other income (expense), net]. Income tax expense increased 40.9% to $6,478 million from $4,597 million, an increase of $1,881 million, primarily as a result of higher pre-tax earnings and [COMPLETE: describe changes in effective tax rate and discrete items].
The Company's balance sheet reflected significant investment in working capital and other assets during the period. Inventory increased 87.2% to $11,092 million from $5,925 million, vendor non-trade receivables increased 42.7% to $27,509 million from $19,278 million, and accounts receivable increased 13.9% to $31,398 million from $27,557 million, consistent with the higher level of business activity and [COMPLETE: describe supply chain and timing factors affecting inventory and receivables]. Intangible assets, net, excluding goodwill, were $20,342 million at period end compared with none in the prior-year period, reflecting [COMPLETE: describe the acquisition or other transaction giving rise to the intangible assets]. Accounts payable increased 28.1% to $64,525 million from $50,374 million, and other noncurrent liabilities increased 30.8% to $55,080 million from $42,115 million. Total liabilities were $275,746 million and total shareholders' equity was $107,520 million at period end, with retained earnings of $11,326 million compared with an accumulated deficit of $17,607 million in the prior-year period.
The Company's principal sources of liquidity are its cash, cash equivalents and investments, together with cash generated from operations. Cash and cash equivalents were $39,544 million at June 27, 2026, an increase of $3,275 million, or 9.0%, from $36,269 million in the prior-year period, and short-term investments increased 19.6% to $22,855 million from $19,103 million. Long-term investments were $84,118 million, up 8.4% from $77,614 million. The Company reduced its reliance on short-term borrowings and term debt during the period: commercial paper outstanding decreased 79.9% to $1,997 million from $9,923 million, long-term debt decreased 13.5% to $71,340 million from $82,430 million, and the current portion of debt increased 17.8% to $11,007 million from $9,345 million. Property, plant and equipment increased 6.0% to $51,431 million from $48,508 million, and capital expenditures for the period were [COMPLETE: capital expenditures and cash flow from operating, investing and financing activities for the period]. The Company's primary market risk exposure is interest rate risk on its cash, cash equivalents and short-term investments, and it does not have material foreign currency or commodity price exposure. Management believes the Company's existing cash, cash equivalents and investments, together with cash expected to be generated from operations and access to the capital markets, will be sufficient to fund its operating requirements, capital expenditures, debt maturities and other obligations for at least the next twelve months.
The Company's primary market risk exposure is interest rate risk on its cash, cash equivalents, and short-term investments. As of June 27, 2026, the Company held cash and cash equivalents of $39.5 billion, short-term investments of $22.9 billion, and long-term investments of $84.1 billion, compared with $36.3 billion, $19.1 billion, and $77.6 billion, respectively, as of the prior period end. Changes in prevailing interest rates affect the interest income the Company earns on these balances and the fair value of its investment portfolio. Short-term investments increased 19.6% and long-term investments increased 8.4% from the prior period, increasing the base of interest-sensitive assets. A hypothetical change in interest rates would have affected the fair value of the Company's investment portfolio by [COMPLETE: quantified impact of a hypothetical basis-point change in interest rates on the fair value of the investment portfolio].
The Company is also exposed to interest rate risk on its outstanding debt. Debt is carried at amortized cost. As of the end of the period, the Company had current debt of $11.0 billion and long-term debt of $71.3 billion, compared with $9.3 billion and $82.4 billion, respectively, in the prior period, with long-term debt declining 13.5%. Future interest payments associated with the Notes total $37.0 billion, with $2.6 billion payable within 12 months. The Company also issues unsecured short-term promissory notes pursuant to a commercial paper program, and as of September 27, 2025, the Company had $8.0 billion of commercial paper outstanding, which was payable within 12 months. Commercial paper outstanding was $2.0 billion at the end of the current period, down 79.9% from $9.9 billion in the prior period. Because commercial paper is short-term in nature, changes in market interest rates affect the cost of refinancing these obligations as they mature. The effect of a hypothetical change in interest rates on the Company's interest expense would be [COMPLETE: quantified impact of a hypothetical basis-point change in interest rates on annual interest expense].
The Company does not have material foreign currency or commodity price exposure. The Company utilizes several outsourcing partners to manufacture subassemblies for the Company's products and to perform final assembly and testing of finished products, and it also obtains individual components for its products from a wide variety of individual suppliers. As of September 27, 2025, the Company had manufacturing purchase obligations of $56.2 billion, with $55.4 billion payable within 12 months. The Company will continue to monitor its market risk exposures and may adjust its investment and financing strategies in response to changes in market conditions.
Management, with the participation of our principal executive officer and principal financial officer, evaluated the effectiveness of our disclosure controls and procedures as of 2026-06-27. Our certifying officers are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)), consistent with the certifications furnished with our prior periodic reports, including the certification of the Principal Executive Officer pursuant to Rule 13a-14(a) and the certification of the Principal Financial Officer pursuant to Rule 13a-14(a). Based on that evaluation, management concluded that our disclosure controls and procedures were effective at the reasonable assurance level as of the end of the period. [COMPLETE: management to review and formally adopt the foregoing conclusion language prior to filing.]
There were no changes in our internal control over financial reporting during the quarter that materially affected, or are reasonably likely to materially affect, our internal control over financial reporting. This assessment is consistent with the responsibilities acknowledged by Parekh Kevan, Principal Financial Officer of Apple Inc., and our principal executive officer in their certifications filed with our prior reports.
Our disclosure controls and procedures and internal control over financial reporting are designed to provide reasonable, not absolute, assurance that their objectives are achieved, and no system of controls can prevent or detect all errors or misstatements. Because of these inherent limitations, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions or that the degree of compliance with policies or procedures may deteriorate.
The Company is involved in legal proceedings arising in the ordinary course of business from time to time. Management does not currently believe any pending matter is material to the Company's financial statements. The outcome of litigation is inherently uncertain, and the Company evaluates developments in these matters on an ongoing basis.
Apple Inc. is a public reporting company classified under Electronic Computers, and the legal proceedings to which it is subject from time to time arise in the ordinary course of business and, in management's current view, no pending matter is material to the financial statements as of the period ended June 27, 2026. Should the Company's assessment of any pending matter change in future periods, it would update its disclosure accordingly.
Apple Inc. is a public reporting company classified under Electronic Computers. The Company's business, financial condition, and results of operations are subject to various risks and uncertainties, including those described under the heading "Risk Factors" in Part I, Item 1A of its Annual Report on Form 10-K for the fiscal year ended [COMPLETE: fiscal year end date], and investors should carefully consider those risk factors in conjunction with the information presented in this Form 10-Q. The Company's future gross margins can be impacted by a variety of factors, as discussed in Part I, Item 1A of this Form 10-K under the heading "Risk Factors." As a result, the Company believes, in general, gross margins will be subject to volatility and downward pressure. There have been no material changes to the risk factors previously disclosed in the Annual Report on Form 10-K, except as supplemented below.
For the period ended June 27, 2026, the Company reported revenue of $109,417,000,000 and net income of $29,789,000,000. Cost of revenue was $54,647,000,000 compared to $50,318,000,000 in the prior period, an increase of 8.6%, while revenue grew 16.4% from $94,036,000,000. Services gross margin percentage increased during 2025 compared to 2024 primarily due to a different mix of services, partially offset by higher costs, and there can be no assurance that favorable mix or pricing will continue in future periods. Research and development expense increased 32.3% to $11,729,000,000 from $8,866,000,000, and if the Company's investments in new products, services, and technologies do not generate anticipated returns, its operating results could be adversely affected. Inventory increased 87.2% to $11,092,000,000 from $5,925,000,000, and vendor non-trade receivables increased 42.7% to $27,509,000,000 from $19,278,000,000, which exposes the Company to risks of excess or obsolete inventory, component price fluctuations, and supplier concentration should demand for its products fall short of expectations. The Company also carries intangible assets, net, excluding goodwill of $20,342,000,000, compared to none in the prior period, and any impairment of these assets could result in charges that reduce reported earnings.
The Company's primary market risk exposure is interest rate risk on cash, cash equivalents, and short-term investments. As of the end of the period, cash and cash equivalents were $39,544,000,000, short-term investments were $22,855,000,000, and long-term investments were $84,118,000,000, and changes in interest rates could affect the fair value of these holdings and the interest income they generate. The Company had long-term debt of $71,340,000,000, current debt of $11,007,000,000, and commercial paper of $1,997,000,000 outstanding, and unfavorable changes in credit markets or the Company's credit ratings could increase borrowing costs or limit access to financing on acceptable terms. The Company does not have material foreign currency or commodity price exposure.
The Company is involved in legal proceedings arising in the ordinary course of business from time to time. Management does not currently believe any pending matter is material to the financial statements. However, litigation is inherently uncertain, and an unfavorable outcome in one or more matters could adversely affect the Company's financial condition or results of operations. Management evaluated disclosure controls and procedures as of the end of the period and concluded they were effective at the reasonable assurance level, and no changes materially affected internal control over financial reporting during the quarter. Any future failure to maintain effective controls could impair the Company's ability to report financial results accurately and on a timely basis, which could harm investor confidence and the market price of the Company's stock.
Apple Inc. is providing the following other information for the quarterly period ended June 27, 2026. No other information is required to be disclosed in this Item that has not otherwise been reported on a Current Report on Form 8-K during the period covered by this report.
Pursuant to Item 408(a) of Regulation S-K, the Company discloses below the adoption, modification, or termination during the quarter of any contract, instruction, or written plan for the purchase or sale of Company securities by its directors and officers that is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) under the Securities Exchange Act of 1934, or any non-Rule 10b5-1 trading arrangement. [COMPLETE: Rule 10b5-1 trading arrangement adoptions and terminations from the D&O questionnaires]