UPDATED with exec comments. Apple shares rose 5% in after-hours trading after CEO Tim Cook told investors that sales of the company’s flagship product, the iPhone, were on pace to hit a record during the holiday quarter.

“We expect the December quarter’s revenue to be the best ever for the company and the best ever for iPhone,” Cook said during an earnings call with Wall Street analysts after the company reported solid results for the July-to-September quarter. “We are heading into the holiday season with a truly remarkable lineup. That includes the big biggest leap ever for iPhone, which has had a tremendous response from our users around the world.”

Early reports of sales for the iPhone 17 have been positive, prompting a boost in Apple’s stock. Shares perked up 4% in after-hours trading on Cook’s comments.

Asked why the latest iteration of the iPhone has gained traction when the last one did not, Cook said, “It’s all about the product.” The design of the 17 Pro “sings,” he said, while the iPhone Air, introduced this year, “feels so thin and so light in your hand, it feels like it’s going to fly away.”

CFO Kevan Parekh said total company revenue would grow by 10% to 12% in the holiday quarter, with iPhone sales rising by double digits compared with the same period in 2024.

China, which has seen sluggish sales in recent quarters, is now “vibrant and dynamic” for Apple, Cook said, citing a recent visit to the country. Retail store foot traffic is “up significantly” over last year’s holiday quarter, he added.

Supply constraints, execs added, were the culprit for a 4% dip in China sales in the July-to-September quarter but they expect a return to growth there in the October-to-December period.

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Analysts, who had expected revenue of $102.25 billion and earnings of $1.77, are awaiting more color on sales of the flagship iPhone. CEO Tim Cook and CFO Kevan Parekh were getting set to lay out those details during a conference call with analysts to discuss the quarter.

The tech giant came into the earnings report with momentum. Its market value recently topped $4 trillion for the first time, largely on reports of healthy iPhone sales. Despite all of the other products and services under the Apple tent, the iPhone continues to represent roughly half of its revenue.

Demand for the iPhone 17 and 17 Pro, which just came out last month, has been particularly strong in China. That’s a reversal of recent trends and also comes as the U.S. and China have been engaged in their latest battle in a multi-year trade war. Earlier this week, President Trump agreed to lower tariffs after a meeting with Chinese President Xi Jinpeng.

Cook and Parekh are sure to field questions about Apple’s goals in AI. Compared to its peers in Big Tech, Apple has not been as aggressive in laying out plans for how it plans to harness the benefits of the technology, though it has woven more AI features into its devices in recent cycles.

Two consequential events on the entertainment side of the company happened after the September 30 end of the quarter: the acquisition of Formula 1 rights and the rebranding of Apple TV+ to Apple TV. Based on trends from previous earnings calls, Cook is likely to at least touch briefly on both.