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Apple Inc. UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In millions, except number of shares which are reflected in thousands and per share amounts) |
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| Three Months Ended |
Twelve Months Ended |
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September 27,
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September 28,
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September 27,
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September 28,
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| Net sales | $ | 42,123 | $ | 37,472 | $ | 182,795 | $ | 170,910 | ||||
| Cost of sales (1) | 26,114 | 23,601 | 112,258 | 106,606 | ||||||||
| Gross margin | 16,009 | 13,871 | 70,537 | 64,304 | ||||||||
| Operating expenses: | ||||||||||||
| Research and development (1) | 1,686 | 1,168 | 6,041 | 4,475 | ||||||||
| Selling, general and administrative (1) | 3,158 | 2,673 | 11,993 | 10,830 | ||||||||
| Total operating expenses | 4,844 | 3,841 | 18,034 | 15,305 | ||||||||
| Operating income | 11,165 | 10,030 | 52,503 | 48,999 | ||||||||
| Other income/(expense), net | 307 | 113 | 980 | 1,156 | ||||||||
| Income before provision for income taxes | 11,472 | 10,143 | 53,483 | 50,155 | ||||||||
| Provision for income taxes | 3,005 | 2,631 | 13,973 | 13,118 | ||||||||
| Net income | $ | 8,467 | $ | 7,512 | $ | 39,510 | $ | 37,037 | ||||
| Earnings per share: | ||||||||||||
| Basic | $ | 1.43 | $ | 1.19 | $ | 6.49 | $ | 5.72 | ||||
| Diluted | $ | 1.42 | $ | 1.18 | $ | 6.45 | $ | 5.68 | ||||
| Shares used in computing earnings per share: | ||||||||||||
| Basic | 5,933,845 | 6,329,139 | 6,085,572 | 6,477,320 | ||||||||
| Diluted | 5,972,082 | 6,363,919 | 6,122,663 | 6,521,634 | ||||||||
| Cash dividends declared per common share | $ | 0.47 | $ | 0.44 | $ | 1.82 | $ | 1.64 | ||||
| (1) Includes share-based compensation expense as follows: | ||||||||||||
| Cost of sales | $ | 116 | $ | 88 | $ | 450 | $ | 350 | ||||
| Research and development | $ | 314 | $ | 209 | $ | 1,216 | $ | 917 | ||||
| Selling, general and administrative | $ | 332 | $ | 258 | $ | 1,197 | $ | 986 | ||||
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Apple Inc. UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (In millions, except number of shares which are reflected in thousands and par value) |
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September 27,
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September 28,
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| ASSETS: | ||||||
| Current assets: | ||||||
| Cash and cash equivalents | $ | 13,844 | $ | 14,259 | ||
| Short-term marketable securities | 11,233 | 26,287 | ||||
| Accounts receivable, less allowances of $86 and $99, respectively | 17,460 | 13,102 | ||||
| Inventories | 2,111 | 1,764 | ||||
| Deferred tax assets | 4,318 | 3,453 | ||||
| Vendor non-trade receivables | 9,759 | 7,539 | ||||
| Other current assets | 9,806 | 6,882 | ||||
| Total current assets | 68,531 | 73,286 | ||||
| Long-term marketable securities | 130,162 | 106,215 | ||||
| Property, plant and equipment, net | 20,624 | 16,597 | ||||
| Goodwill | 4,616 | 1,577 | ||||
| Acquired intangible assets, net | 4,142 | 4,179 | ||||
| Other assets | 3,764 | 5,146 | ||||
| Total assets | $ | 231,839 | $ | 207,000 | ||
| LIABILITIES AND SHAREHOLDERS’ EQUITY: | ||||||
| Current liabilities: | ||||||
| Accounts payable | $ | 30,196 | $ | 22,367 | ||
| Accrued expenses | 18,453 | 13,856 | ||||
| Deferred revenue | 8,491 | 7,435 | ||||
| Commercial paper | 6,308 | 0 | ||||
| Total current liabilities | 63,448 | 43,658 | ||||
| Deferred revenue – non-current | 3,031 | 2,625 | ||||
| Long-term debt | 28,987 | 16,960 | ||||
| Other non-current liabilities | 24,826 | 20,208 | ||||
| Total liabilities | 120,292 | 83,451 | ||||
| Commitments and contingencies | ||||||
| Shareholders' equity: | ||||||
| Common stock and additional paid-in capital, $0.00001 par value: 12,600,000 shares authorized; 5,866,161 and 6,294,494 shares issued and outstanding, respectively | 23,313 | 19,764 | ||||
| Retained earnings | 87,152 | 104,256 | ||||
| Accumulated other comprehensive income/(loss) | 1,082 | (471) | ||||
| Total shareholders' equity | 111,547 | 123,549 | ||||
| Total liabilities and shareholders' equity | $ | 231,839 | $ | 207,000 | ||
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Apple Inc. UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In millions) |
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| Twelve Months Ended | ||||||
| September 27, 2014 | September 28, 2013 | |||||
| Cash and cash equivalents, beginning of the year | $ | 14,259 | $ | 10,746 | ||
| Operating activities: | ||||||
| Net income | 39,510 | 37,037 | ||||
| Adjustments to reconcile net income to cash generated by operating activities: | ||||||
| Depreciation and amortization | 7,946 | 6,757 | ||||
| Share-based compensation expense | 2,863 | 2,253 | ||||
| Deferred income tax expense | 2,347 | 1,141 | ||||
| Changes in operating assets and liabilities: | ||||||
| Accounts receivable, net | (4,232) | (2,172) | ||||
| Inventories | (76) | (973) | ||||
| Vendor non-trade receivables | (2,220) | 223 | ||||
| Other current and non-current assets | 167 | 1,080 | ||||
| Accounts payable | 5,938 | 2,340 | ||||
| Deferred revenue | 1,460 | 1,459 | ||||
| Other current and non-current liabilities | 6,010 | 4,521 | ||||
| Cash generated by operating activities | 59,713 | 53,666 | ||||
| Investing activities: | ||||||
| Purchases of marketable securities | (217,128) | (148,489) | ||||
| Proceeds from maturities of marketable securities | 18,810 | 20,317 | ||||
| Proceeds from sales of marketable securities | 189,301 | 104,130 | ||||
| Payments made in connection with business acquisitions, net | (3,765) | (496) | ||||
| Payments for acquisition of property, plant and equipment | (9,571) | (8,165) | ||||
| Payments for acquisition of intangible assets | (242) | (911) | ||||
| Other | 16 | (160) | ||||
| Cash used in investing activities | (22,579) | (33,774) | ||||
| Financing activities: | ||||||
| Proceeds from issuance of common stock | 730 | 530 | ||||
| Excess tax benefits from equity awards | 739 | 701 | ||||
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Taxes paid related to net share settlement of equity awards |
(1,158) | (1,082) | ||||
| Dividends and dividend equivalents paid | (11,126) | (10,564) | ||||
| Repurchase of common stock | (45,000) | (22,860) | ||||
| Proceeds from issuance of long-term debt, net | 11,960 | 16,896 | ||||
| Proceeds from issuance of commercial paper, net | 6,306 | 0 | ||||
| Cash used in financing activities | (37,549) | (16,379) | ||||
| Increase/(decrease) in cash and cash equivalents | (415) | 3,513 | ||||
| Cash and cash equivalents, end of the year | $ | 13,844 | $ | 14,259 | ||
| Supplemental cash flow disclosure: | ||||||
| Cash paid for income taxes, net | $ | 10,026 | $ | 9,128 | ||
| Cash paid for interest | $ | 339 | $ | 0 | ||
| Apple Inc. | |||||||||||||||||||||||
| Q4 2014 Unaudited Summary Data | |||||||||||||||||||||||
| (Units in thousands, Revenue in millions) | |||||||||||||||||||||||
| Q4'14 | Q3'14 | Q4'13 | Sequential Change | Year/Year Change | |||||||||||||||||||
| Operating Segments | Revenue | Revenue | Revenue | Revenue | Revenue | ||||||||||||||||||
| Americas | $16,247 | $14,577 | $13,941 | 11% | 17% | ||||||||||||||||||
| Europe | 9,535 | 8,091 | 8,005 | 18% | 19% | ||||||||||||||||||
| Greater China | 5,778 | 5,935 | 5,733 | - 3% | 1% | ||||||||||||||||||
| Japan | 3,507 | 2,564 | 3,341 | 37% | 5% | ||||||||||||||||||
| Rest of Asia Pacific | 1,923 | 2,161 | 1,980 | - 11% | - 3% | ||||||||||||||||||
| Retail | 5,133 | 4,104 | 4,472 | 25% | 15% | ||||||||||||||||||
| Total Apple | $42,123 | $37,432 | $37,472 | 13% | 12% | ||||||||||||||||||
| Q4'14 | Q3'14 | Q4'13 | Sequential Change | Year/Year Change | |||||||||||||||||||
| Product Summary | Units | Revenue | Units | Revenue | Units | Revenue | Units | Revenue | Units | Revenue | |||||||||||||
| iPhone (1) | 39,272 | $23,678 | 35,203 | $19,751 | 33,797 | $19,510 | 12% | 20% | 16% | 21% | |||||||||||||
| iPad (1) | 12,316 | 5,316 | 13,276 | 5,889 | 14,079 | 6,186 | - 7% | - 10% | - 13% | - 14% | |||||||||||||
| Mac (1) | 5,520 | 6,625 | 4,413 | 5,540 | 4,574 | 5,624 | 25% | 20% | 21% | 18% | |||||||||||||
| iPod (1) | 2,641 | 410 | 2,926 | 442 | 3,498 | 573 | - 10% | - 7% | - 24% | - 28% | |||||||||||||
| iTunes/Software/Services (2) | 4,608 | 4,485 | 4,260 | 3% | 8% | ||||||||||||||||||
| Accessories (3) | 1,486 | 1,325 | 1,319 | 12% | 13% | ||||||||||||||||||
| Total Apple | $42,123 | $37,432 | $37,472 | 13% | 12% | ||||||||||||||||||
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(1) |
Includes deferrals and amortization of related non-software services and software upgrade rights. |
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(2) |
Includes revenue from the iTunes Store, the App Store, the Mac App Store, the iBooks Store, AppleCare, licensing and other services. |
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(3) |
Includes sales of Apple-branded and third-party accessories for iPhone, iPad, Mac and iPod. |
