Apple Inc. 10-Q form for quarterly period ended 2024-06-29, page 1: 
PART I - FINANCIAL INFORMATION


Item 1.    Financial Statements


Apple Inc.


CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)

(In millions, except number of shares, which are reflected in thousands, and per-share amounts)

|    |                                              |                    |        |                   |            |              |        |             |    |            |    |         |
|---:|:---------------------------------------------|:-------------------|:-------|:------------------|:-----------|:-------------|:-------|:------------|:---|:-----------|:---|:--------|
|  1 |                                              | Three Months Ended |        | Nine Months Ended |            |              |        |             |    |            |    |         |
|  2 |                                              | June 29,2024       |        | July 1,2023       |            | June 29,2024 |        | July 1,2023 |    |            |    |         |
|  3 | Net sales:                                   |                    |        |                   |            |              |        |             |    |            |    |         |
|  4 | Products                                     | $                  | 61,564 |                   |            | $            | 60,584 |             | $  | 224,908    | $  | 230,901 |
|  5 | Services                                     | 24,213             |        |                   | 21,213     |              |        | 71,197      |    | 62,886     |    |         |
|  6 | Total net sales                              | 85,777             |        |                   | 81,797     |              |        | 296,105     |    | 293,787    |    |         |
|  8 | Cost of sales:                               |                    |        |                   |            |              |        |             |    |            |    |         |
|  9 | Products                                     | 39,803             |        |                   | 39,136     |              |        | 140,667     |    | 146,696    |    |         |
| 10 | Services                                     | 6,296              |        |                   | 6,248      |              |        | 18,634      |    | 18,370     |    |         |
| 11 | Total cost of sales                          | 46,099             |        |                   | 45,384     |              |        | 159,301     |    | 165,066    |    |         |
| 12 | Gross margin                                 | 39,678             |        |                   | 36,413     |              |        | 136,804     |    | 128,721    |    |         |
| 14 | Operating expenses:                          |                    |        |                   |            |              |        |             |    |            |    |         |
| 15 | Research and development                     | 8,006              |        |                   | 7,442      |              |        | 23,605      |    | 22,608     |    |         |
| 16 | Selling, general and administrative          | 6,320              |        |                   | 5,973      |              |        | 19,574      |    | 18,781     |    |         |
| 17 | Total operating expenses                     | 14,326             |        |                   | 13,415     |              |        | 43,179      |    | 41,389     |    |         |
| 19 | Operating income                             | 25,352             |        |                   | 22,998     |              |        | 93,625      |    | 87,332     |    |         |
| 20 | Other income/(expense), net                  | 142                |        |                   | (265)      |              |        | 250         |    | (594)      |    |         |
| 21 | Income before provision for income taxes     | 25,494             |        |                   | 22,733     |              |        | 93,875      |    | 86,738     |    |         |
| 22 | Provision for income taxes                   | 4,046              |        |                   | 2,852      |              |        | 14,875      |    | 12,699     |    |         |
| 23 | Net income                                   | $                  | 21,448 |                   |            | $            | 19,881 |             | $  | 79,000     | $  | 74,039  |
| 25 | Earnings per share:                          |                    |        |                   |            |              |        |             |    |            |    |         |
| 26 | Basic                                        | $                  | 1.40   |                   |            | $            | 1.27   |             | $  | 5.13       | $  | 4.69    |
| 27 | Diluted                                      | $                  | 1.40   |                   |            | $            | 1.26   |             | $  | 5.11       | $  | 4.67    |
| 29 | Shares used in computing earnings per share: |                    |        |                   |            |              |        |             |    |            |    |         |
| 30 | Basic                                        | 15,287,521         |        |                   | 15,697,614 |              |        | 15,401,047  |    | 15,792,497 |    |         |
| 31 | Diluted                                      | 15,348,175         |        |                   | 15,775,021 |              |        | 15,463,175  |    | 15,859,263 |    |         |


See accompanying Notes to Condensed Consolidated Financial Statements.


Apple Inc. | Q3 2024 Form 10-Q | 1





, Apple Inc. 10-Q form for quarterly period ended 2024-06-29, page 3: 
Apple Inc.


CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)

(In millions, except number of shares, which are reflected in thousands, and par value)
|    |                                                                                                                                                                      |              |         |                   |          |    |         |
|---:|:---------------------------------------------------------------------------------------------------------------------------------------------------------------------|:-------------|:--------|:------------------|:---------|:---|:--------|
|  1 |                                                                                                                                                                      | June 29,2024 |         | September 30,2023 |          |    |         |
|  2 | ASSETS:                                                                                                                                                              |              |         |                   |          |    |         |
|  3 | Current assets:                                                                                                                                                      |              |         |                   |          |    |         |
|  4 | Cash and cash equivalents                                                                                                                                            | $            | 25,565  |                   |          | $  | 29,965  |
|  5 | Marketable securities                                                                                                                                                | 36,236       |         |                   | 31,590   |    |         |
|  6 | Accounts receivable, net                                                                                                                                             | 22,795       |         |                   | 29,508   |    |         |
|  7 | Vendor non-trade receivables                                                                                                                                         | 20,377       |         |                   | 31,477   |    |         |
|  8 | Inventories                                                                                                                                                          | 6,165        |         |                   | 6,331    |    |         |
|  9 | Other current assets                                                                                                                                                 | 14,297       |         |                   | 14,695   |    |         |
| 10 | Total current assets                                                                                                                                                 | 125,435      |         |                   | 143,566  |    |         |
| 12 | Non-current assets:                                                                                                                                                  |              |         |                   |          |    |         |
| 13 | Marketable securities                                                                                                                                                | 91,240       |         |                   | 100,544  |    |         |
| 14 | Property, plant and equipment, net                                                                                                                                   | 44,502       |         |                   | 43,715   |    |         |
| 15 | Other non-current assets                                                                                                                                             | 70,435       |         |                   | 64,758   |    |         |
| 16 | Total non-current assets                                                                                                                                             | 206,177      |         |                   | 209,017  |    |         |
| 17 | Total assets                                                                                                                                                         | $            | 331,612 |                   |          | $  | 352,583 |
| 19 | LIABILITIES AND SHAREHOLDERS' EQUITY:                                                                                                                                |              |         |                   |          |    |         |
| 20 | Current liabilities:                                                                                                                                                 |              |         |                   |          |    |         |
| 21 | Accounts payable                                                                                                                                                     | $            | 47,574  |                   |          | $  | 62,611  |
| 22 | Other current liabilities                                                                                                                                            | 60,889       |         |                   | 58,829   |    |         |
| 23 | Deferred revenue                                                                                                                                                     | 8,053        |         |                   | 8,061    |    |         |
| 24 | Commercial paper                                                                                                                                                     | 2,994        |         |                   | 5,985    |    |         |
| 25 | Term debt                                                                                                                                                            | 12,114       |         |                   | 9,822    |    |         |
| 26 | Total current liabilities                                                                                                                                            | 131,624      |         |                   | 145,308  |    |         |
| 28 | Non-current liabilities:                                                                                                                                             |              |         |                   |          |    |         |
| 29 | Term debt                                                                                                                                                            | 86,196       |         |                   | 95,281   |    |         |
| 30 | Other non-current liabilities                                                                                                                                        | 47,084       |         |                   | 49,848   |    |         |
| 31 | Total non-current liabilities                                                                                                                                        | 133,280      |         |                   | 145,129  |    |         |
| 32 | Total liabilities                                                                                                                                                    | 264,904      |         |                   | 290,437  |    |         |
| 34 | Commitments and contingencies                                                                                                                                        |              |         |                   |          |    |         |
| 36 | Shareholders' equity:                                                                                                                                                |              |         |                   |          |    |         |
| 37 | Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares authorized; 15,222,259 and 15,550,061 shares issued and outstanding, respectively | 79,850       |         |                   | 73,812   |    |         |
| 38 | Accumulated deficit                                                                                                                                                  | (4,726)      |         |                   | (214)    |    |         |
| 39 | Accumulated other comprehensive loss                                                                                                                                 | (8,416)      |         |                   | (11,452) |    |         |
| 40 | Total shareholders' equity                                                                                                                                           | 66,708       |         |                   | 62,146   |    |         |
| 41 | Total liabilities and shareholders' equity                                                                                                                           | $            | 331,612 |                   |          | $  | 352,583 |

See accompanying Notes to Condensed Consolidated Financial Statements.


Apple Inc. | Q3 2024 Form 10-Q | 3







Question: What is the Receivables Turnover Ratio for Apple Inc. for the nine months ended June 29, 2024?
Answer: The Receivables Turnover Ratio for Apple Inc. for the nine months ended June 29, 2024, is calculated as follows:
Receivables Turnover = Net Credit Sales / Average Accounts Receivable
Net Credit Sales (June 29, 2024) = $296,105 million
Average Accounts Receivable = (Accounts Receivable at the beginning + Accounts Receivable at the end) / 2
Accounts Receivable at the beginning (September 30, 2023) = $29,508 million
Accounts Receivable at the end (June 29, 2024) = $22,795 million
Average Accounts Receivable = (29,508 + 22,795) / 2 = $26,152 million
Receivables Turnover = 296,105 / 26,152 = 11.32