Category: finance

On Thursday Apple announced financial results for its fiscal 2024 fourth quarter ended September 28, 2024.

From Apple Newsroom:

CUPERTINO, CALIFORNIA 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, 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.

Apple noted that it’s overall revenue was cut into deeply by the $10.1 billion fine related to Apple finally having lost a long-time tax case in the European Union.

See also Jason Snell’s charts.

Apple today announced earnings revenue of $119.6 billion. Investors and analysts weren’t expecting any records after Apple warned that revenue would be flat following the longest sales slump in the last couple decades but, it turns out, it was their second biggest revenue report ever.

From Apple Newsroom press release:

CUPERTINO, CALIFORNIA Apple today announced financial results for its fiscal 2024 first quarter ended December 30, 2023. The Company posted quarterly revenue of $119.6 billion, up 2 percent year over year, and quarterly earnings per diluted share of $2.18, up 16 percent year over year.

“Today Apple is reporting revenue growth for the December quarter fueled by iPhone sales, and an all-time revenue record in Services,” said Tim Cook, Apple’s CEO. “We are pleased to announce that our installed base of active devices has now surpassed 2.2 billion, reaching an all-time high across all products and geographic segments. And as customers begin to experience the incredible Apple Vision Pro tomorrow, we are committed as ever to the pursuit of groundbreaking innovation — in line with our values and on behalf of our customers.”

Tim Cook also hinted at some upcoming announcements in AI.

As we look ahead, we will continue to invest in these [Vision Pro] and other technologies that will shape the future. That includes artificial intelligence, where we continue to spend a tremendous amount of time and effort, and we’re excited to share the details of our ongoing work in that space later this year.

Apple has long been working on custom chips that specialize in machine learning but were caught somewhat flat-footed at the speed and popularity of large language models. Perhaps Siri will finally get the overhaul we’ve been waiting for since her introduction on the iPhone 4s in October of 2011. It will be interesting to see the reveal at WWDC this June.

As always, the pretty charts via SixColors.

Apple Newsroom:

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.”

• iPhone: $43.805 billion (up 3%)
• Mac: $7.614 billion (down 44%)
• iPad: $6.443 billion (down 10%)
• Wearables, Home & Accessories: $9.322 billion (down 3%)
• Services: $22.314 billion (up 16%)¹

Jason Snell’s 6 Color Charts.

1. All percentage changes are year over year looking only at the 4th quarter[↩]

Jason Snell at Six Colors:

Apple announced its results for its fiscal third quarter on Thursday. As expected, it was a down quarter—though at a 1% drop over the year-ago quarter, it’s a better result than the previous quarter, which was down 3% year-over-year. The company reported $81.8B in revenue and $19.9B in profit.

The three key hardware categories were all down year-over-year: Mac was down 7%, iPad was down 20%, and the all-important iPhone was down 2%. Things were a little different in the two portions of Apple’s business that have shown indefatigable growth in recent years: Services revenue was up 8% and the Wearables, Home, and Accessories category was up 2%.

In a press release accompanying the results, Apple CFO Luca Maestri trumpeted that it has broken the billion paid subscriptions barrier.

Apple’s fiscal 2023 third-quarter results reveal a mixed picture for the tech giant. While the company reported a 1 percent year-over-year decline in quarterly revenue, reaching $81.8 billion, it managed to achieve a 5 percent increase in quarterly earnings per diluted share, reaching $1.26. These results indicate a certain level of resilience, particularly when compared to the previous quarter, which saw a more substantial decline.

A noteworthy highlight is Apple’s impressive performance in the Services segment, where it achieved an all-time revenue record during the June quarter. This growth was driven by surpassing the milestone of 1 billion paid subscriptions, demonstrating the company’s ability to retain and engage its customer base. Additionally, the robust sales of iPhone in emerging markets contributed to the positive performance.

Financially, the company generated substantial operating cash flow of $26 billion during the quarter, enabling it to return over $24 billion to shareholders. This reflects Apple’s ongoing dedication to rewarding its investors while continuing to invest in long-term growth plans.

Overall, Apple’s fiscal third-quarter results demonstrate a mix of challenges and successes, with notable growth in services and a strong cash flow position.

In its first calendar quarter of the year, Apple revealed its financial performance for the second fiscal quarter of 2023.

During the quarter, Apple generated $94.8 billion in revenue and $24.1 billion in net quarterly profit, or $1.52 per diluted share. This compares to the year-ago quarter when the company recorded revenue of $97.3 billion and net quarterly profit of $25.0 billion, also at $1.52 per diluted share.

While Apple achieved a new all-time high in Services revenue, generating $20.9 billion, and also established a new March quarter record for iPhone revenue at $51.3 billion, the Mac product line experienced a substantial year-over-year decrease in quarterly revenue. The Mac revenue dropped from $10.4 billion to $7.2 billion.

Apple CEO Tim Cook:

“We are pleased to report an all-time record in Services and a March quarter record for iPhone despite the challenging macroeconomic environment, and to have our installed base of active devices reach an all-time high. We continue to invest for the long term and lead with our values, including making major progress toward building carbon neutral products and supply chains by 2030.”

Even on what might be considered a “bad” earnings call, Apple still dominates the space.

Here are some pretty charts.