I've read a couple other posts that sound similar to this. Executing a very simple tool created using model builder to convert ESRI ASCII grids to raster grids, then to create slope and aspect rasters from those grids (in TIF format). The tool works with out the iterator added. I have the folder containing the input .asc files, and the output folder referenced using inline variables. I am using the %name% variable to name output files, as all input files have unique names and that naem is being retained in the output name, prefixed with one letter.
The model executes without the program indicating an error (since I have set overwrite to on), but the %name% variable is correct for the first two iterations, then uses %name% from the first iteration for every other output, overwriting those file each time. I have encountered this before on other simple models, don't know why it works sometimes and not others.
Can someone confirm that this issue been resolved in ArcGIS 10.3? It seems from the comments in the attached thread that it has.