Income Statement
Quarterly Data
The income statement presents information on the financial results of a company business activities over a period of time. The income statement communicates how much revenue the company generated during a period and what cost it incurred in connection with generating that revenue.
Apple Inc., consolidated income statement (quarterly data)
US$ in millions
Based on: 10-Q (reporting date: 2025-06-28), 10-Q (reporting date: 2025-03-29), 10-Q (reporting date: 2024-12-28), 10-K (reporting date: 2024-09-28), 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-Q (reporting date: 2023-12-30), 10-K (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-Q (reporting date: 2022-12-31), 10-K (reporting date: 2022-09-24), 10-Q (reporting date: 2022-06-25), 10-Q (reporting date: 2022-03-26), 10-Q (reporting date: 2021-12-25), 10-K (reporting date: 2021-09-25), 10-Q (reporting date: 2021-06-26), 10-Q (reporting date: 2021-03-27), 10-Q (reporting date: 2020-12-26), 10-K (reporting date: 2020-09-26), 10-Q (reporting date: 2020-06-27), 10-Q (reporting date: 2020-03-28), 10-Q (reporting date: 2019-12-28), 10-K (reporting date: 2019-09-28), 10-Q (reporting date: 2019-06-29), 10-Q (reporting date: 2019-03-30), 10-Q (reporting date: 2018-12-29).
The financial trends evident from the quarterly data reveal several key patterns and insights regarding the revenue streams, cost structure, profitability, and expense management over time.
- Net Sales and Revenue Composition
- Net sales display a cyclical pattern with notable peaks primarily towards the December quarters, reflecting seasonality in sales, likely linked to product release cycles and holiday demand. Products sales constitute the majority of net sales and demonstrate considerable volatility, with peaks generally aligning with fiscal year-end periods. Service revenues show steady and gradual growth over the entire period, indicating an expanding services business that contributes to revenue diversification.
- Cost of Sales and Gross Margin
- Cost of sales closely follows the trends in net sales, rising sharply during peak sales quarters. The gross margin also follows a seasonal pattern, peaking alongside sales but showing a consistent positive differential, indicative of maintained pricing power and effective cost control. Margin peaks in December quarters are pronounced, with the highest gross margin recorded in late 2021, suggesting improved operational efficiency or sales mix favorable to higher margin products or services during that period.
- Operating Expenses
- Research and development (R&D) expenses show a clear upward trend, reflecting sustained and increasing investment in innovation. Selling, general and administrative (SG&A) expenses also increase over time but at a more moderate and fluctuating pace, indicating a balance between expansion and cost containment. Total operating expenses trend upward, consistent with the company’s growth trajectory and investment in capacity and market expansion.
- Operating Income and Profitability
- Operating income exhibits significant seasonality and growth, with peak values occurring during high sales quarters. Despite fluctuations, there is a general upward trend in operating income, supporting evidence of improved profitability and operational leverage. The company’s ability to consistently generate positive operating income, even when sales decline in certain quarters, reflects resilience and efficient expense management.
- Other Income (Expense) and Net Income
- Other income (expense) is relatively small and occasionally negative, indicating minor fluctuations in non-operating financial activities. Income before provision for income taxes follows the pattern of operating income, with notable spikes at year-end quarters. The provision for income taxes shows variability reflecting changes in pre-tax income levels and potentially tax strategy adjustments. Net income mirrors the trends in operating income and pre-tax income, showing strong seasonality and growth over the span, with significant year-end increases suggesting effective conversion of sales into bottom-line profits.
In summary, the data reflects a company experiencing cyclical sales patterns with notable seasonal peaks, steadily expanding services revenue, and increasing research and development investments. Despite fluctuations in product sales and cost of sales, profitability metrics improve over time, supported by controlled operating expenses and strong operating income. The seasonal nature of results implies reliance on key quarters for financial performance, underscoring the importance of strategic planning around product launches and market demand periods.