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
December 25,
2021
December 26,
2020
Net sales:
Products
$
104,429
$
95,678
Services
19,516
15,761
Total net sales
(1)
123,945
111,439
Cost of sales:
Products
64,309
62,130
Services
5,393
4,981
Total cost of sales
69,702
67,111
Gross margin
54,243
44,328
Operating expenses:
Research and development
6,306
5,163
Selling, general and administrative
6,449
5,631
Total operating expenses
12,755
10,794
Operating income
41,488
33,534
Other income/(expense), net
(247)
45
Income before provision for income taxes
41,241
33,579
Provision for income taxes
6,611
4,824
Net income
$
34,630
$
28,755
Earnings per share:
Basic
$
2.11
$
1.70
Diluted
$
2.10
$
1.68
Shares used in computing earnings per share:
Basic
16,391,724
16,935,119
Diluted
16,519,291
17,113,688
(1)
Net sales by reportable segment:
Americas
$
51,496
$
46,310
Europe
29,749
27,306
Greater China
25,783
21,313
Japan
7,107
8,285
Rest of Asia Pacific
9,810
8,225
Total net sales
$
123,945
$
111,439
(1)
Net sales by category:
iPhone
$
71,628
$
65,597
Mac
10,852
8,675
iPad
7,248
8,435
Wearables, Home and Accessories
14,701
12,971
Services
19,516
15,761
Total net sales
$
123,945
$
111,439
Apple Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)
(In millions, except number of shares which are reflected in thousands and par value)
December 25,
2021
September 25,
2021
ASSETS:
Current assets:
Cash and cash equivalents
$
37,119
$
34,940
Marketable securities
26,794
27,699
Accounts receivable, net
30,213
26,278
Inventories
5,876
6,580
Vendor non-trade receivables
35,040
25,228
Other current assets
18,112
14,111
Total current assets
153,154
134,836
Non-current assets:
Marketable securities
138,683
127,877
Property, plant and equipment, net
39,245
39,440
Other non-current assets
50,109
48,849
Total non-current assets
228,037
216,166
Total assets
$
381,191
$
351,002
LIABILITIES AND SHAREHOLDERS’ EQUITY:
Current liabilities:
Accounts payable
$
74,362
$
54,763
Other current liabilities
49,167
47,493
Deferred revenue
7,876
7,612
Commercial paper
5,000
6,000
Term debt
11,169
9,613
Total current liabilities
147,574
125,481
Non-current liabilities:
Term debt
106,629
109,106
Other non-current liabilities
55,056
53,325
Total non-current liabilities
161,685
162,431
Total liabilities
309,259
287,912
Commitments and contingencies
Shareholders’ equity:
Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares
authorized; 16,340,851 and 16,426,786 shares issued and outstanding, respectively
58,424
57,365
Retained earnings
14,435
5,562
Accumulated other comprehensive income/(loss)
(927)
163
Total shareholders’ equity
71,932
63,090
Total liabilities and shareholders’ equity
$
381,191
$
351,002
Apple Inc.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
(In millions)
Three Months Ended
December 25,
2021
December 26,
2020
Cash, cash equivalents and restricted cash, beginning balances
$
35,929
$
39,789
Operating activities:
Net income
34,630
28,755
Adjustments to reconcile net income to cash generated by operating activities:
Depreciation and amortization
2,697
2,666
Share-based compensation expense
2,265
2,020
Deferred income tax expense/(benefit)
682
(58)
Other
167
25
Changes in operating assets and liabilities:
Accounts receivable, net
(3,934)
(10,945)
Inventories
681
(950)
Vendor non-trade receivables
(9,812)
(10,194)
Other current and non-current assets
(4,921)
(3,526)
Accounts payable
19,813
21,670
Deferred revenue
462
1,341
Other current and non-current liabilities
4,236
7,959
Cash generated by operating activities
46,966
38,763
Investing activities:
Purchases of marketable securities
(34,913)
(39,800)
Proceeds from maturities of marketable securities
11,309
25,177
Proceeds from sales of marketable securities
10,675
9,344
Payments for acquisition of property, plant and equipment
(2,803)
(3,500)
Other
(374)
195
Cash used in investing activities
(16,106)
(8,584)
Financing activities:
Payments for taxes related to net share settlement of equity awards
(2,888)
(2,861)
Payments for dividends and dividend equivalents
(3,732)
(3,613)
Repurchases of common stock
(20,478)
(24,775)
Repayments of term debt
—
(1,000)
Proceeds from/(Repayments of) commercial paper, net
(1,000)
22
Other
(61)
(22)
Cash used in financing activities
(28,159)
(32,249)
Increase/(Decrease) in cash, cash equivalents and restricted cash
2,701
(2,070)
Cash, cash equivalents and restricted cash, ending balances
$
38,630
$
37,719
Supplemental cash flow disclosure:
Cash paid for income taxes, net
$
5,235
$
1,787
Cash paid for interest
$
531
$
619
