Summary
Apple Inc. reported robust financial performance for the quarter ending December 25, 2010, showcasing significant year-over-year growth. Net sales surged by 71% to $26.74 billion, driven by stellar performance in its iPhone and iPad product lines, which together accounted for over half of the quarter's revenue. The company also saw substantial growth in its Mac and Asia-Pacific segments. Despite increased investment in research and development and selling, general, and administrative expenses, Apple maintained strong profitability, with net income rising by approximately 78% to $6.00 billion. The company's strong cash generation, evidenced by a significant increase in cash, cash equivalents, and marketable securities, positions it well for continued investment and operational flexibility.
Financial Highlights
45 data points| Revenue | $26.74B |
| Cost of Revenue | $16.44B |
| Gross Profit | $10.30B |
| R&D Expenses | $575.00M |
| SG&A Expenses | $1.90B |
| Operating Expenses | $2.47B |
| Operating Income | $7.83B |
| Net Income | $6.00B |
| EPS (Basic) | $0.23 |
| EPS (Diluted) | $0.23 |
| Shares Outstanding (Basic) | 25.74B |
| Shares Outstanding (Diluted) | 26.13B |
Key Highlights
- 1Net sales increased by 71% to $26.74 billion compared to the prior year's quarter.
- 2Net income grew by 78% to $6.00 billion, translating to diluted EPS of $6.43, up from $3.67.
- 3iPhone sales were a major driver, with revenue up 88% to $10.47 billion, representing 39% of total net sales.
- 4iPad sales debuted strongly, contributing $4.61 billion in revenue, accounting for 17% of total net sales.
- 5Mac net sales increased by 22% to $5.43 billion, driven by strong performance in portable systems.
- 6The company ended the quarter with a strong liquidity position, holding $59.7 billion in cash, cash equivalents, and marketable securities.
- 7Gross margin percentage slightly decreased to 38.5% from 40.9% year-over-year, attributed to higher cost structures of new products like iPhone 4 and iPad.