Summary
Apple Inc. reported total net sales of $260.17 billion for the fiscal year ended September 28, 2019, a decrease of 2% compared to the prior year. This decline was primarily driven by lower iPhone sales, although this was partially offset by growth in the Wearables, Home and Accessories, and Services segments. The company continues to see strong performance in its Services division, which posted a 16% increase in net sales. Despite the slight dip in overall revenue, Apple demonstrated robust profitability, with net income of $55.26 billion. The company also continued its significant capital return program, repurchasing $67.1 billion of its common stock and increasing its quarterly dividend. Apple faces a highly competitive market and risks associated with global economic conditions, supply chain disruptions, and evolving regulatory landscapes, but remains focused on innovation and product integration to maintain its competitive advantage. The company's substantial cash reserves provide financial flexibility.
Financial Highlights
55 data points| Revenue | $260.17B |
| Cost of Revenue | $161.78B |
| Gross Profit | $98.39B |
| R&D Expenses | $16.22B |
| SG&A Expenses | $18.25B |
| Operating Expenses | $34.46B |
| Operating Income | $63.93B |
| Interest Expense | $3.58B |
| Net Income | $55.26B |
| EPS (Basic) | $2.99 |
| EPS (Diluted) | $2.97 |
| Shares Outstanding (Basic) | 18.47B |
| Shares Outstanding (Diluted) | 18.60B |
Key Highlights
- 1Total net sales for fiscal year 2019 were $260.17 billion, a 2% decrease from $265.60 billion in fiscal year 2018, primarily due to a decline in iPhone sales.
- 2Net income for fiscal year 2019 was $55.26 billion, down from $59.53 billion in fiscal year 2018.
- 3Services revenue continued to grow, increasing by 16% year-over-year to $46.29 billion, driven by strong performance in the App Store, licensing, and AppleCare.
- 4The Wearables, Home and Accessories segment saw significant growth, up 41% year-over-year to $24.48 billion, fueled by sales of AirPods and Apple Watch.
- 5Apple returned $67.1 billion to shareholders through share repurchases and paid $14.1 billion in dividends during fiscal year 2019.
- 6The company maintained a strong liquidity position with $205.9 billion in cash, cash equivalents, and marketable securities as of September 28, 2019.
- 7Greater China sales declined by 16% to $43.68 billion, largely impacted by lower iPhone sales.