AAPL Apple Inc

iPhone drives record September quarter revenue

Services revenue reaches new all-time high

Apple® today announced financial results for its fiscal 2024 fourth quarter ended September 28, 2024. The Company posted quarterly revenue of $94.9 billion, up 6 percent year over year, and quarterly diluted earnings per share of $0.97. Diluted earnings per share was $1.64,1 up 12 percent year over year when excluding the one-time charge recognized during the fourth quarter of 2024 related to the impact of the reversal of the European General Court’s State Aid decision.

“Today Apple is reporting a new September quarter revenue record of $94.9 billion, up 6 percent from a year ago,” said Tim Cook, Apple’s CEO. “During the quarter, we were excited to announce our best products yet, with the all-new iPhone 16 lineup, Apple Watch Series 10, AirPods 4, and remarkable features for hearing health and sleep apnea detection. And this week, we released our first set of features for Apple Intelligence, which sets a new standard for privacy in AI and supercharges our lineup heading into the holiday season.”

“Our record business performance during the September quarter drove nearly $27 billion in operating cash flow, allowing us to return over $29 billion to our shareholders,” said Luca Maestri, Apple’s CFO. “We are very pleased that our active installed base of devices reached a new all-time high across all products and all geographic segments, thanks to our high levels of customer satisfaction and loyalty.”

Apple’s board of directors has declared a cash dividend of $0.25 per share of the Company’s common stock. The dividend is payable on November 14, 2024 to shareholders of record as of the close of business on November 11, 2024.

Apple will provide live streaming of its Q4 2024 financial results conference call beginning at 2:00 p.m. PT on October 31, 2024 at apple.com/investor/earnings-call. The webcast will be available for replay for approximately two weeks thereafter.

1. Non-GAAP measure. See the section titled “Reconciliation of Non-GAAP to GAAP Results of Operations” at the end of the accompanying financial statements.

Apple periodically provides information for investors on its corporate website, apple.com, and its investor relations website, investor.apple.com. This includes press releases and other information about financial performance, reports filed or furnished with the SEC, information on corporate governance, and details related to its annual meeting of shareholders.

This press release contains forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include without limitation those about payment of the Company’s quarterly dividend and future business plans. These statements involve risks and uncertainties, and actual results may differ materially from any future results expressed or implied by the forward-looking statements. Risks and uncertainties include without limitation: effects of global and regional economic conditions, including as a result of government policies, geopolitical tensions, conflict, terrorism, natural disasters, and public health issues; risks relating to the design, manufacture, introduction, and transition of products and services in highly competitive and rapidly changing markets, including from reliance on third parties for components, technology, manufacturing, applications, support, and content; risks relating to information technology system failures, network disruptions, and failure to protect, loss of, or unauthorized access to, or release of, data; and effects of unfavorable legal proceedings, government investigations, and complex and changing laws and regulations. More information on these risks and other potential factors that could affect the Company’s business, reputation, results of operations, financial condition, and stock price is included in the Company’s filings with the SEC, including in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of the Company’s most recently filed periodic reports on Form 10-K and Form 10-Q and subsequent filings. The Company assumes no obligation to update any forward-looking statements, which speak only as of the date they are made.

Apple revolutionized personal technology with the introduction of the Macintosh in 1984. Today, Apple leads the world in innovation with iPhone, iPad, Mac, AirPods, Apple Watch, and Apple Vision Pro. Apple’s six software platforms — iOS, iPadOS, macOS, watchOS, visionOS, and tvOS — provide seamless experiences across all Apple devices and empower people with breakthrough services including the App Store, Apple Music, Apple Pay, iCloud, and Apple TV+. Apple’s more than 150,000 employees are dedicated to making the best products on earth and to leaving the world better than we found it.

NOTE TO EDITORS: For additional information visit Apple Newsroom (www.apple.com/newsroom), or email Apple’s Media Helpline at media.help@apple.com.

© 2024 Apple Inc. All rights reserved. Apple and the Apple logo are trademarks of Apple. Other company and product names may be trademarks of their respective owners.

Apple Inc.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)

(In millions, except number of shares, which are reflected in thousands, and per-share amounts)

 

 

Three Months Ended

 

Twelve Months Ended

 

September 28, 2024

 

September 30, 2023

 

September 28, 2024

 

September 30, 2023

Net sales:

 

 

 

 

 

 

 

Products

$

69,958

 

$

67,184

 

$

294,866

 

$

298,085

 

Services

 

24,972

 

 

22,314

 

 

96,169

 

 

85,200

 

Total net sales (1)

 

94,930

 

 

89,498

 

 

391,035

 

 

383,285

 

Cost of sales:

 

 

 

 

 

 

 

Products

 

44,566

 

 

42,586

 

 

185,233

 

 

189,282

 

Services

 

6,485

 

 

6,485

 

 

25,119

 

 

24,855

 

Total cost of sales

 

51,051

 

 

49,071

 

 

210,352

 

 

214,137

 

Gross margin

 

43,879

 

 

40,427

 

 

180,683

 

 

169,148

 

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

 

Research and development

 

7,765

 

 

7,307

 

 

31,370

 

 

29,915

 

Selling, general and administrative

 

6,523

 

 

6,151

 

 

26,097

 

 

24,932

 

Total operating expenses

 

14,288

 

 

13,458

 

 

57,467

 

 

54,847

 

 

 

 

 

 

 

 

 

Operating income

 

29,591

 

 

26,969

 

 

123,216

 

 

114,301

 

Other income/(expense), net

 

19

 

 

29

 

 

269

 

 

(565

)

Income before provision for income taxes

 

29,610

 

 

26,998

 

 

123,485

 

 

113,736

 

Provision for income taxes

 

14,874

 

 

4,042

 

 

29,749

 

 

16,741

 

Net income

$

14,736

 

$

22,956

 

$

93,736

 

$

96,995

 

 

 

 

 

 

 

 

 

Earnings per share:

 

 

 

 

 

 

 

Basic

$

0.97

 

$

1.47

 

$

6.11

 

$

6.16

 

Diluted

$

0.97

 

$

1.46

 

$

6.08

 

$

6.13

 

Shares used in computing earnings per share:

 

 

 

 

 

 

 

Basic

 

15,171,990

 

 

15,599,434

 

 

15,343,783

 

 

15,744,231

 

Diluted

 

15,242,853

 

 

15,672,400

 

 

15,408,095

 

 

15,812,547

 

 

 

 

 

 

 

 

 

(1) Net sales by reportable segment:

 

 

 

 

 

 

 

Americas

$

41,664

 

$

40,115

 

$

167,045

 

$

162,560

 

Europe

 

24,924

 

 

22,463

 

 

101,328

 

 

94,294

 

Greater China

 

15,033

 

 

15,084

 

 

66,952

 

 

72,559

 

Japan

 

5,926

 

 

5,505

 

 

25,052

 

 

24,257

 

Rest of Asia Pacific

 

7,383

 

 

6,331

 

 

30,658

 

 

29,615

 

Total net sales

$

94,930

 

$

89,498

 

$

391,035

 

$

383,285

 

 

 

 

 

 

 

 

 

(1) Net sales by category:

 

 

 

 

 

 

 

iPhone

$

46,222

 

$

43,805

 

$

201,183

 

$

200,583

 

Mac

 

7,744

 

 

7,614

 

 

29,984

 

 

29,357

 

iPad

 

6,950

 

 

6,443

 

 

26,694

 

 

28,300

 

Wearables, Home and Accessories

 

9,042

 

 

9,322

 

 

37,005

 

 

39,845

 

Services

 

24,972

 

 

22,314

 

 

96,169

 

 

85,200

 

Total net sales

$

94,930

 

$

89,498

 

$

391,035

 

$

383,285

 

Apple Inc.

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)

(In millions, except number of shares, which are reflected in thousands, and par value)

 

 

September 28, 2024

 

September 30, 2023

ASSETS:

Current assets:

 

 

 

Cash and cash equivalents

$

29,943

 

 

$

29,965

 

Marketable securities

 

35,228

 

 

 

31,590

 

Accounts receivable, net

 

33,410

 

 

 

29,508

 

Vendor non-trade receivables

 

32,833

 

 

 

31,477

 

Inventories

 

7,286

 

 

 

6,331

 

Other current assets

 

14,287

 

 

 

14,695

 

Total current assets

 

152,987

 

 

 

143,566

 

 

 

 

 

Non-current assets:

 

 

 

Marketable securities

 

91,479

 

 

 

100,544

 

Property, plant and equipment, net

 

45,680

 

 

 

43,715

 

Other non-current assets

 

74,834

 

 

 

64,758

 

Total non-current assets

 

211,993

 

 

 

209,017

 

Total assets

$

364,980

 

 

$

352,583

 

 

 

 

 

LIABILITIES AND SHAREHOLDERS’ EQUITY:

Current liabilities:

 

 

 

Accounts payable

$

68,960

 

 

$

62,611

 

Other current liabilities

 

78,304

 

 

 

58,829

 

Deferred revenue

 

8,249

 

 

 

8,061

 

Commercial paper

 

9,967

 

 

 

5,985

 

Term debt

 

10,912

 

 

 

9,822

 

Total current liabilities

 

176,392

 

 

 

145,308

 

 

 

 

 

Non-current liabilities:

 

 

 

Term debt

 

85,750

 

 

 

95,281

 

Other non-current liabilities

 

45,888

 

 

 

49,848

 

Total non-current liabilities

 

131,638

 

 

 

145,129

 

Total liabilities

 

308,030

 

 

 

290,437

 

 

 

 

 

Commitments and contingencies

 

 

 

 

 

 

 

Shareholders’ equity:

 

 

 

Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares authorized; 15,116,786 and 15,550,061 shares issued and outstanding, respectively

 

83,276

 

 

 

73,812

 

Accumulated deficit

 

(19,154

)

 

 

(214

)

Accumulated other comprehensive loss

 

(7,172

)

 

 

(11,452

)

Total shareholders’ equity

 

56,950

 

 

 

62,146

 

Total liabilities and shareholders’ equity

$

364,980

 

 

$

352,583

 

Apple Inc.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

(In millions)

 

 

Twelve Months Ended

 

September 28, 2024

 

September 30, 2023

Cash, cash equivalents, and restricted cash and cash equivalents, beginning balances

$

30,737

 

 

$

24,977

 

 

 

 

 

Operating activities:

 

 

 

Net income

 

93,736

 

 

 

96,995

 

Adjustments to reconcile net income to cash generated by operating activities:

 

 

 

Depreciation and amortization

 

11,445

 

 

 

11,519

 

Share-based compensation expense

 

11,688

 

 

 

10,833

 

Other

 

(2,266

)

 

 

(2,227

)

Changes in operating assets and liabilities:

 

 

 

Accounts receivable, net

 

(3,788

)

 

 

(1,688

)

Vendor non-trade receivables

 

(1,356

)

 

 

1,271

 

Inventories

 

(1,046

)

 

 

(1,618

)

Other current and non-current assets

 

(11,731

)

 

 

(5,684

)

Accounts payable

 

6,020

 

 

 

(1,889

)

Other current and non-current liabilities

 

15,552

 

 

 

3,031

 

Cash generated by operating activities

 

118,254

 

 

 

110,543

 

 

 

 

 

Investing activities:

 

 

 

Purchases of marketable securities

 

(48,656

)

 

 

(29,513

)

Proceeds from maturities of marketable securities

 

51,211

 

 

 

39,686

 

Proceeds from sales of marketable securities

 

11,135

 

 

 

5,828

 

Payments for acquisition of property, plant and equipment

 

(9,447

)

 

 

(10,959

)

Other

 

(1,308

)

 

 

(1,337

)

Cash generated by investing activities

 

2,935

 

 

 

3,705

 

 

 

 

 

Financing activities:

 

 

 

Payments for taxes related to net share settlement of equity awards

 

(5,441

)

 

 

(5,431

)

Payments for dividends and dividend equivalents

 

(15,234

)

 

 

(15,025

)

Repurchases of common stock

 

(94,949

)

 

 

(77,550

)

Proceeds from issuance of term debt, net

 

—

 

 

 

5,228

 

Repayments of term debt

 

(9,958

)

 

 

(11,151

)

Proceeds from/(Repayments of) commercial paper, net

 

3,960

 

 

 

(3,978

)

Other

 

(361

)

 

 

(581

)

Cash used in financing activities

 

(121,983

)

 

 

(108,488

)

 

 

 

 

Increase/(Decrease) in cash, cash equivalents, and restricted cash and cash equivalents

 

(794

)

 

 

5,760

 

Cash, cash equivalents, and restricted cash and cash equivalents, ending balances

$

29,943

 

 

$

30,737

 

 

 

 

 

Supplemental cash flow disclosure:

 

 

 

Cash paid for income taxes, net

$

26,102

 

 

$

18,679

 

Apple Inc.

RECONCILIATION OF NON-GAAP TO GAAP RESULTS OF OPERATIONS (Unaudited)

(In millions, except number of shares, which are reflected in thousands, and per-share amounts)

 

 

Three Months Ended

 

Twelve Months Ended

 

September 28, 2024

 

September 28, 2024

 

As Reported (GAAP)

 

Non-GAAP Adjustments

(a)

 

As Adjusted (Non-GAAP)

 

As Reported (GAAP)

 

Non-GAAP Adjustments

(a)

 

As Adjusted (Non-GAAP)

Income before provision for income taxes

$

29,610

 

$

—

 

 

 

$

29,610

 

$

123,485

 

$

—

 

 

 

$

123,485

Provision for income taxes

 

14,874

 

 

(10,246

)

(b)

 

 

4,628

 

 

29,749

 

 

(10,246

)

(b)

 

 

19,503

Net income

$

14,736

 

$

10,246

 

(b)

 

$

24,982

 

$

93,736

 

$

10,246

 

(b)

 

$

103,982

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted earnings per share

$

0.97

 

$

0.67

 

(c)

 

$

1.64

 

$

6.08

 

$

0.67

 

(c)

 

$

6.75

Shares used in computing diluted earnings per share

 

15,242,853

 

 

—

 

 

 

 

15,242,853

 

 

15,408,095

 

 

—

 

 

 

 

15,408,095

(a)

These adjustments reconcile certain of the Company’s GAAP results of operations to its non-GAAP results of operations. The Company believes that the presentation of results excluding the impact of the reversal of the European General Court’s State Aid decision provides meaningful supplemental information to both management and investors that is indicative of the Company’s core operating results and facilitates comparison of operating results across reporting periods. The Company uses these non-GAAP measures when evaluating its financial results as well as for internal planning and forecasting purposes. These non-GAAP measures should not be viewed as a substitute for the Company’s GAAP results.

  (b)

Non-GAAP adjustments to provision for income taxes and net income to reflect the impact of the reversal of the European General Court’s State Aid decision recognized during the fourth quarter of 2024. On September 10, 2024, the European Court of Justice announced that it had set aside the 2020 judgment of the European General Court and confirmed the European Commission’s 2016 State Aid decision. As a result, during the fourth quarter of 2024 the Company recorded a one-time income tax charge of $10.2 billion, net, which represents $15.8 billion payable to Ireland via release of restricted funds held in escrow, partially offset by a U.S. foreign tax credit of $4.8 billion and a decrease in unrecognized tax benefits of $823 million. For additional information, refer to Note 7, “Income Taxes” of the Notes to Consolidated Financial Statements that will be included in Part II, Item 8 of the Company's fiscal 2024 Annual Report on Form 10-K.

  (c)

Represents the per-share impact of the non-GAAP adjustments to net income.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20241031454158/en/

Press Contact: Josh Rosenstock Apple jrosenstock@apple.com (408) 862-1142

Investor Relations Contact: Suhasini Chandramouli Apple suhasini@apple.com (408) 974-3123