Apple Financial Performances from Time to Time
Apple Financial Performance from Time to Time– Apple Inc is one of the biggest technology companies in the US and the World. They have billions of assets and have generated billions of US Dollars in the last 5 years. By the way, in 2024, they have 535 retail stores and 164 thousand employees across the world. In 2024, based on the Apple annual Report, the net income of Apple reached 93 billion US Dollars. This is one of the biggest net incomes of all companies in the United States of America or maybe in the world.
Founded April 1, 1976, in Los Altos, California,
by U.S. Steve Wozniak, Steve Jobs, and Ronald Wayne as investors started the
company at the garage of Steve Job’s parents, they initially sold some device
of computer hardware with the first product is Apple I. With their effort and hard work, Apple can sell some of its products. Macintosh, the first
personal computer without programming language, had attracted people to buy it
but some critics argue about the expensive price of the Apple products but
performed slowly. Some challenges and inhibitions always follow the Apple
Journey. Finally, it disturbs the journey of Apple.
As an internal director, Steve Jobs must resign from Apple and be replaced
by John Sculley. They have heated debates/opinions but in the Shareholder
meeting, Jobs must step down as CEO because
the shareholders didn’t want him as CEO. The era without Steve Jobs is the
beginning of the slump era. Many products of Apple cannot compete with competitors’ products. Moreover, the rise of competitors aggravates the business and financial
performance of Apple. The Microsoft company, for example, with Windows Operating
System has led the Operating System of Personal Computers. They control the
market share of the Operating System, beating Macintosh at that time. For
a long time, flop products and the declining sales of Apple products led Apple to the verge of bankruptcy.
Many of the flops of Apple products in the
market lead Apple to bring back the former CEO and founder, Steve Jobs to deal
with the problems. Steve Jobs came back to
Apple in 1997 and replaced Gil Amelio. After a long journey in Next Computers
and Pixar Animation, he decided to come back to Apple Computer.
Day by day, the effort of Steve Jobs has an
enormous impact on Apple's financial performance. With the help of Jonathan Ive,
Chief Design Officer (CDO), Apple can produce innovative products that consumers
really want. Maybe Steve has learned a lot from his
failure in the past. His experience and maturity give him the power to guide
this company. It started with iPod, Portable Media Player (PMP) devices and some consumers hunt for this device. After the success
of the iPod, some products also have the same destiny. iPhone, MacBook, iMac,
MacBook Air, iPad, and iPad are some favorite apple products that consumers
need. At that time, Apple can be recognized as a game-changer in the technology
industry. They have changed the culture and habits of people through the use of technology.
In the financial position, according to its
balance sheets, the total assets have grown from time to time. In the year
2000, the total assets of Apple Inc were just USD 6.8 billion with total liabilities of USD 2.6 billion.
Meanwhile, in the year 2024, the total assets of Apple Inc reached USD 364
billion and total liabilities of USD 308 billion.
Table Total Assets, Total Liabilities, and Total Equity of Apples Inc from 2000 To 2024
|
Years |
Total Assets |
Total Liabilities |
Total Equity |
|
in Million US Dollar (USD) |
in Million US Dollar (USD) |
in Million US Dollar (USD) |
|
|
2000 |
6,803 |
2,696 |
4,107 |
|
2001 |
6,021 |
2,101 |
3,920 |
|
2002 |
6,298 |
2,203 |
4,095 |
|
2003 |
6,815 |
2,592 |
4,223 |
|
2004 |
8,050 |
2,974 |
5,076 |
|
2005 |
11,516 |
4,088 |
7,428 |
|
2006 |
17,205 |
7,221 |
9,984 |
|
2007 |
25,347 |
10,815 |
14,532 |
|
2008 |
36,171 |
13,874 |
22,297 |
|
2009 |
47,501 |
15,861 |
31,640 |
|
2010 |
75,183 |
27,392 |
47,791 |
|
2011 |
116,371 |
39,756 |
76,615 |
|
2012 |
176,064 |
57,854 |
118,210 |
|
2013 |
207,000 |
83,451 |
123,549 |
|
2014 |
231,839 |
120,292 |
111,547 |
|
2015 |
290,345 |
170,990 |
119,355 |
|
2016 |
321,686 |
193,437 |
128,249 |
|
2017 |
375,319 |
241,272 |
134,047 |
|
2018 |
365,725 |
258,578 |
107,147 |
|
2019 |
338,516 |
248,028 |
90,488 |
|
2020 |
323,888 |
258,549 |
65,339 |
|
2021 |
351,002 |
287,912 |
63,090 |
|
2022 |
352,755 |
302,083 |
50,672 |
|
2023 |
352,583 |
290,437 |
62,146 |
|
2024 |
364,980 |
308,030 |
56,950 |
|
Source: Apple Inc Annual Report, 2000-2024 |
|||
Based on the
business performance from time to time, Apple generated more profits except in
2001, they suffered losses. But overall, Apple always generates profits. In
2000, the revenue of Apple was just 7.9 billion US Dollars, and it will become 391 billion US Dollars in 2024. It multiplied more than fifty times. Furthermore, the net income of Apple always goes in the same
direction. In 2000, the net income of Apple was just 786 million US Dollars.
Meanwhile, in 2024, the net income of Apple reached 93.7 billion US dollars. It
has multiplied more than one hundred times in
the last 2 decades.
Total Revenue
and Net Income of Apple From 2000 to 2024
|
Years |
Total
Revenue |
Net
Income |
|
in
Million US Dollars (USD) |
in
Million US Dollars (USD) |
|
|
2000 |
7,983 |
786 |
|
2001 |
5,363 |
-25 |
|
2002 |
5,742 |
65 |
|
2003 |
6,207 |
69 |
|
2004 |
8,279 |
276 |
|
2005 |
13,931 |
1,328 |
|
2006 |
19,315 |
1,989 |
|
2007 |
24,006 |
3,496 |
|
2008 |
37,491 |
6,119 |
|
2009 |
42,905 |
8,235 |
|
2010 |
65,225 |
14,013 |
|
2011 |
108,249 |
25,922 |
|
2012 |
156,508 |
41,733 |
|
2013 |
170,910 |
37,037 |
|
2014 |
182,795 |
39,510 |
|
2015 |
233,715 |
53,394 |
|
2016 |
215,639 |
45,687 |
|
2017 |
229,234 |
48,351 |
|
2018 |
265,595 |
59,531 |
|
2019 |
260,174 |
55,256 |
|
2020 |
274,515 |
57,411 |
|
2021 |
365,817 |
94,680 |
|
2022 |
394,328 |
99,803 |
|
2023 |
383,285 |
96,995 |
|
2024 |
391,035 |
93,736 |
|
Source: Apple Inc Annual
Report, 2000-2024 |
||
Based on the Financial ratios obtained from the
Income statement and Balance Sheet of Apple’s Annual report from 2000 to 2024,
some variables can be measured, namely Debt to Equity ratio (DER), Debt to
Assets Ratio (DAR), and Net Profit Margin (NPM). Financially, the
Debt-to-Equity Ratio of Apple is about 1.75 on average. It means that every 1 US Dollar of equities contains 1.7
liabilities. Meanwhile, based on the Debt to Assets Ratio (DAR), the average
value of Apple’s DAR is around 0.52 which means every 1 US Dollar of assets
contains 0.52 US Dollars or liabilities of the company is about 52% of assets.
Debt-to-Assets (D/A), Debt-to-equity (D/E), Net Profit Margin of Apple Inc From 2000 to 2024
|
Years |
Debt to Equity Ratio |
Debt to Assets Ratio |
Net Profit Margin |
|
(Liabilities/ Equities) |
(Liabilities/ Assets) |
(Net Income/ Revenue) |
|
|
2000 |
0.656 |
0.396 |
0.098 |
|
2001 |
0.536 |
0.349 |
-0.005 |
|
2002 |
0.538 |
0.350 |
0.011 |
|
2003 |
0.614 |
0.380 |
0.011 |
|
2004 |
0.586 |
0.369 |
0.033 |
|
2005 |
0.550 |
0.355 |
0.095 |
|
2006 |
0.723 |
0.420 |
0.103 |
|
2007 |
0.744 |
0.427 |
0.146 |
|
2008 |
0.622 |
0.384 |
0.163 |
|
2009 |
0.501 |
0.334 |
0.192 |
|
2010 |
0.573 |
0.364 |
0.215 |
|
2011 |
0.519 |
0.342 |
0.239 |
|
2012 |
0.489 |
0.329 |
0.267 |
|
2013 |
0.675 |
0.403 |
0.217 |
|
2014 |
1.078 |
0.519 |
0.216 |
|
2015 |
1.433 |
0.589 |
0.228 |
|
2016 |
1.508 |
0.601 |
0.212 |
|
2017 |
1.800 |
0.643 |
0.211 |
|
2018 |
2.413 |
0.707 |
0.224 |
|
2019 |
2.741 |
0.733 |
0.212 |
|
2020 |
3.957 |
0.798 |
0.209 |
|
2021 |
4.564 |
0.820 |
0.259 |
|
2022 |
5.962 |
0.856 |
0.253 |
|
2023 |
4.673 |
0.824 |
0.253 |
|
2024 |
5.409 |
0.844 |
0.240 |
|
Average |
1.755 |
0.525 |
0.172 |
Based on the performance of the company, From the
variables of revenue and net income, the Net profit margin can be measured.
This indicator can describe the efficiency of the net income from the revenue.
Based on the average value of Apple’s NPM from 2000 to 2024, the average value
of NPM is about 0.172. This value means that the net income of Apple is 17.2%
of the revenue. The NPM can be good if the value can be higher from time to
time. The highest value expresses the efficiency of the company to get profit/
net income.
Nowadays, Apple still becomes the king of
technology along with Facebook, Google, Amazon, and Microsoft. They can
generate a billion in profit every year. The comeback of Steve Jobs brings
Apple into a glorious era, and they can compete with other big-tech companies.
Some investors have shares in Apple Inc. The Vanguard Group (founded by Larry
Fink), BlackRock (founded by Jack Bogle), and Berkshire Hathaway (Warren
Buffett’s company) are some of the well-known investors that poured their
billions of moneys into Apple Inc. They still believe in the prospects of the
company, and it showed how interesting and profitable Apple is to Investors. By the way, Apple can be the Apple itself
like Steve Jobs Quotes” Stay
Foolish, Stay Hungry”.
Thank You,
Hopefully, its articles can be Increase your Horizon.
Bibliography of Apple Financial Performance from Time to Time
Apple. 2024. Annual Report (10K). Accessed via https://investor.apple.com/investor-relations/default.aspx on March 1st, 2025.
Wikipedia. 2023. Apple Inc. Accessed via https://en.wikipedia.org/wiki/Apple_Inc on
March 1st, 2022
Wikipedia. 2023. Steve Jobs. Accessed via https://en.wikipedia.org/wiki/Steve_Jobs on March 1st, 2022.
Wikipedia. 2023. Tim Cook. Accessed via https://en.wikipedia.org/wiki/Tim_Cook on
February 28th, 2022.
Wikipedia. 2023. Jony Ive. Accessed via https://en.wikipedia.org/wiki/Jony_Ive on
February 28th, 2022.