CUPERTINO, CALIFORNIA — Apple® today announced financial results for its fiscal 2023 fourth quarter ended September 30, 2023. The Company posted quarterly revenue of $89.5 billion, down 1 percent year over year, and quarterly earnings per diluted share of $1.46, up 13 percent year over year.
“Today Apple is pleased to report a September quarter revenue record for iPhone and an all-time revenue record in Services,” said Tim Cook, Apple’s CEO. “We now have our strongest lineup of products ever heading into the holiday season, including the iPhone 15 lineup and our first carbon neutral Apple Watch models, a major milestone in our efforts to make all Apple products carbon neutral by 2030.”
“Our active installed base of devices has again reached a new all-time high across all products and all geographic segments, thanks to the strength of our ecosystem and unparalleled customer loyalty,” said Luca Maestri, Apple’s CFO. “During the September quarter, our business performance drove double digit EPS growth and we returned nearly $25 billion to our shareholders, while continuing to invest in our long-term growth plans.”
Apple’s board of directors has declared a cash dividend of $0.24 per share of the Company’s common stock. The dividend is payable on November 16, 2023 to shareholders of record as of the close of business on November 13, 2023.
Apple will provide live streaming of its Q4 2023 financial results conference call beginning at 2:00 p.m. PT on November 2, 2023 at apple.com/investor/earnings-call. The webcast will be available for replay for approximately two weeks thereafter.
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 its environmental goals and initiatives. 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, war, 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, 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, Apple Watch, and Apple TV. Apple’s five software platforms — iOS, iPadOS, macOS, watchOS, and tvOS — provide seamless experiences across all Apple devices and empower people with breakthrough services including the App Store, Apple Music, Apple Pay, and iCloud. Apple’s more than 100,000 employees are dedicated to making the best products on earth, and to leaving the world better than we found it.
Press Contact:
Josh Rosenstock
Apple
jrosenstock@apple.com
(408) 862-1142
Investor Relations Contact:
Investor Relations
Apple
investor_relations@apple.com
(408) 974-3123
NOTE TO EDITORS: For additional information visit Apple Newsroom (www.apple.com/newsroom), or email Apple’s Media Helpline at media.help@apple.com.
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 30, 2023
September 24, 2022
September 30, 2023
September 24, 2022
Net sales:
Products
$
67,184
$
70,958
$
298,085
$
316,199
Services
22,314
19,188
85,200
78,129
Total net sales (1)
89,498
90,146
383,285
394,328
Cost of sales:
Products
42,586
46,387
189,282
201,471
Services
6,485
5,664
24,855
22,075
Total cost of sales
49,071
52,051
214,137
223,546
Gross margin
40,427
38,095
169,148
170,782
Operating expenses:
Research and development
7,307
6,761
29,915
26,251
Selling, general and administrative
6,151
6,440
24,932
25,094
Total operating expenses
13,458
13,201
54,847
51,345
Operating income
26,969
24,894
114,301
119,437
Other income/(expense), net
29
(237)
(565)
(334)
Income before provision for income taxes
26,998
24,657
113,736
119,103
Provision for income taxes
4,042
3,936
16,741
19,300
Net income
$
22,956
$
20,721
$
96,995
$
99,803
Earnings per share:
Basic
$
1.47
$
1.29
$
6.16
$
6.15
Diluted
$
1.46
$
1.29
$
6.13
$
6.11
Shares used in computing earnings per share:
Basic
15,599,434
16,030,382
15,744,231
16,215,963
Diluted
15,672,400
16,118,465
15,812,547
16,325,819
(1) Net sales by reportable segment:
Americas
$
40,115
$
39,808
$
162,560
$
169,658
Europe
22,463
22,795
94,294
95,118
Greater China
15,084
15,470
72,559
74,200
Japan
5,505
5,700
24,257
25,977
Rest of Asia Pacific
6,331
6,373
29,615
29,375
Total net sales
$
89,498
$
90,146
$
383,285
$
394,328
(1) Net sales by category:
iPhone
$
43,805
$
42,626
$
200,583
$
205,489
Mac
7,614
11,508
29,357
40,177
iPad
6,443
7,174
28,300
29,292
Wearables, Home and Accessories
9,322
9,650
39,845
41,241
Services
22,314
19,188
85,200
78,129
Total net sales
$
89,498
$
90,146
$
383,285
$
394,328
Apple Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)
(In millions, except number of shares, which are reflected in thousands, and par value)
September 30, 2023
September 24, 2022
ASSETS:
Current assets:
Cash and cash equivalents
$
29,965
$
23,646
Marketable securities
31,590
24,658
Accounts receivable, net
29,508
28,184
Vendor non-trade receivables
31,477
32,748
Inventories
6,331
4,946
Other current assets
14,695
21,223
Total current assets
143,566
135,405
Non-current assets:
Marketable securities
100,544
120,805
Property, plant and equipment, net
43,715
42,117
Other non-current assets
64,758
54,428
Total non-current assets
209,017
217,350
Total assets
$
352,583
$
352,755
LIABILITIES AND SHAREHOLDERS’ EQUITY:
Current liabilities:
Accounts payable
$
62,611
$
64,115
Other current liabilities
58,829
60,845
Deferred revenue
8,061
7,912
Commercial paper
5,985
9,982
Term debt
9,822
11,128
Total current liabilities
145,308
153,982
Non-current liabilities:
Term debt
95,281
98,959
Other non-current liabilities
49,848
49,142
Total non-current liabilities
145,129
148,101
Total liabilities
290,437
302,083
Commitments and contingencies
Shareholders’ equity:
Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares authorized; 15,550,061 and 15,943,425 shares issued and outstanding, respectively
73,812
64,849
Accumulated deficit
(214)
(3,068)
Accumulated other comprehensive loss
(11,452)
(11,109)
Total shareholders’ equity
62,146
50,672
Total liabilities and shareholders’ equity
$
352,583
$
352,755
Apple Inc.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
(In millions)
Twelve Months Ended
September 30, 2023
September 24, 2022
Cash, cash equivalents and restricted cash, beginning balances
$
24,977
$
35,929
Operating activities:
Net income
96,995
99,803
Adjustments to reconcile net income to cash generated by operating activities:
Depreciation and amortization
11,519
11,104
Share-based compensation expense
10,833
9,038
Other
(2,227)
1,006
Changes in operating assets and liabilities:
Accounts receivable, net
(1,688)
(1,823)
Vendor non-trade receivables
1,271
(7,520)
Inventories
(1,618)
1,484
Other current and non-current assets
(5,684)
(6,499)
Accounts payable
(1,889)
9,448
Other current and non-current liabilities
3,031
6,110
Cash generated by operating activities
110,543
122,151
Investing activities:
Purchases of marketable securities
(29,513)
(76,923)
Proceeds from maturities of marketable securities
39,686
29,917
Proceeds from sales of marketable securities
5,828
37,446
Payments for acquisition of property, plant and equipment
(10,959)
(10,708)
Other
(1,337)
(2,086)
Cash generated by/(used in) investing activities
3,705
(22,354)
Financing activities:
Payments for taxes related to net share settlement of equity awards
(5,431)
(6,223)
Payments for dividends and dividend equivalents
(15,025)
(14,841)
Repurchases of common stock
(77,550)
(89,402)
Proceeds from issuance of term debt, net
5,228
5,465
Repayments of term debt
(11,151)
(9,543)
Proceeds from/(Repayments of) commercial paper, net
(3,978)
3,955
Other
(581)
(160)
Cash used in financing activities
(108,488)
(110,749)
Increase/(Decrease) in cash, cash equivalents and restricted cash
5,760
(10,952)
Cash, cash equivalents and restricted cash, ending balances
