Apple’s India story is no longer just about iPhone sales. In FY26, the smartphone maker’s local unit saw record growth in revenue and profit, while exports and launch of new services further deepened its foothold. So, as component shortages loom, can Apple sustain its India surge?

An Expanding Ecosystem: Apple India’s FY26 performance reflected strong demand across iPhones, Macs, iPads and other products. Revenue from traded goods drove most of the growth, while services such as AppleCare and maintenance contracts further added to the revenue mix.

The numbers show Apple is building a broader consumer technology business in India rather than relying solely on its flagship smartphone.

The Cost Conundrum: However, Apple’s growth came with a steep price tag. Inventory purchases remained its largest financial drain in FY26, while licensing fees more than doubled to ₹10,374 Cr. Employee costs and marketing expenditure also rose substantially as Apple expanded its operations and strengthened its presence in India.

The India Playbook: All said and done, Apple’s ambitions in India extend beyond sales. The country has become one of its largest production bases outside China, with iPhone exports crossing ₹2 Lakh Cr in FY26. At the same time, it is also expanding its services ecosystem in India. 

The OEM has launched new offerings such as Apple Pay and Fitness+ in the past few months, which are expected to create new revenue streams for the iPhone maker going forward.

The Sombre Outlook: But Apple’s near-term momentum faces pressure due to chip and memory shortages.

Source link