apple gross profit marginapple gross profit margin

A. To use individual functions (e.g., mark statistics as favourites, set How to Calculate Gross Profit? However, will reducing commissions by half impact the performance of Apples highly lucrative and fast-growing Services business? Please check your download folder. Business / By Gennaro Cuofano / June 5, 2023 It costs Apple $501 to make an iPhone 14 Pro Max, and the company sells it at a base price of $1099. Date. Apple's other services include subscription-based Apple News, Apple Card, Apple Arcade, new Apple TV app, Apple TV channels and Apple TV, a new subscription service. The first section will show you the gross margin of AAPL by year. The company's total gross margin was $171 billion in 2022 or 43.3%, which means for every dollar of revenue earned, Apple made 43 cents in gross profit. Here's how to set it up and how it worked for us. Apple's gross margins expanded by a remarkable 420 basis points year over year to 42.5%, reaching their highest levels in almost nine years. Below is the quarterly income statement for Apple Inc. (AAPL) as of June 27, 2020: The historical rank and industry rank for Apple's Gross Margin % or its related term are . Stay on top of all Apple news right from your HomePod. So how will Apples margins trend in the long run? All the information on this website is published in good faith and for general information purpose only. Apple updated the Mac Studio to M2 during WWDC 2023, at the same time as introducing an Apple Silicon Mac Pro. View AAPL financial statements in full, including balance sheets and ratios. If you use our datasets on your site or blog, we ask that you provide attribution via a "dofollow" link back to this page. Apple's gross margin for Q2 2021 was 42.5%, achieved in large part through a strong iPhone sales mix. However, there are a few caveats. Heres how we expect this to play out. Please check your download folder. The April-through-June period was the third consecutive quarter of double-digit increases in iPhone sales, with much of the growth coming from existing customers upgrading their phones. Apples iPhone sales jumped 50 percent, even as it was set to release new phones in September. Note: Variations between gross margins can be higher between quarters than years. We have provided a few examples below that you can copy and paste to your site: Your data export is now complete. Current and historical operating margin for Apple (AAPL) over the last 10 years. Apple posted a strong set of Q2 FY21 results, with revenue surging almost 54% year-over-year to about $90 billion and earnings per share rising to $1.40, up from around $0.64 last year, driven by higher sales of the iPhone, digital services, as well as iPads and Macs. Apple Inc. (NASDAQ:AAPL) | Analysis of Profitability Ratios Apple's Services business also saw Gross Margins soar to around 68.4%, an increase of around 400 basis points versus last year. . In fact, Apple dominates the Wearables and Hearables markets due to the growing adoption of Watch and AirPods. and over 1Mio. Revenues should see a nice bump year-over-year driven by the higher-priced iPhone 12 handsets which will see their first full quarter of availability. International stock quotes are delayed as per exchange requirements. From September 20212022, net iPhone sales contributed 52% of the companys total revenue, dwarfing revenue from other products including the Macbook, Apple Watch, Airpods, and services. Current and historical gross margin, operating margin and net profit margin for Apple (AAPL) over the last 10 years. Please check your download folder. Starting in iOS 17, Apple allows users to create a Personal Voice that when used in conjunction with Live Speech can help users communicate with others by reading text and phrases. Jack Nicas covers technology from San Francisco. Apple Inc (AAPL) Gross Profit Margin starting from the first quarter 2022 to first quarter 2021, Profitability Trends and Ranking, Fundamental Ratios - CSIMarket Apple Inc 's Gross Profit Margin by quarter Trends, Rankings, Statistics Select the Comparisons : 2022 Current 2021 2020 2019 2018 2017 2016 2015 2014 Select the Ratio: These devices are powered by software applications including iOS, macOS, watchOS and tvOS operating systems. Wesley Hilliard served ten years as a Nuclear Power Electrician in the US Navy, then jumped careers in 2019. AAPL | Apple Inc. Financial Statements - WSJ Apple's other services include subscription-based Apple News, Apple Card, Apple Arcade, new Apple TV app, Apple TV channels and Apple TV, a new subscription service. Moreover, non-iPhone devices like Apple Watch and AirPod have gained significant traction. Below is a table of contents to help you. The best of the best: the portal for top lists & rankings: Strategy and business building for the data-driven economy: Industry-specific and extensively researched technical data (partially from exclusive partnerships). Backlinks from other websites are the lifeblood of our site and a primary source of new traffic. Please check your download folder. Below bar graph contains the top 5 gross margin quarters of APPLE INC. Now let us see a table containing the top gross margin quarterly figures of AAPL. As a Premium user you get access to background information and details about the release of this statistic. Our estimates are marginally below the consensus. Comparatively, research and development ($26 billion) as well as other operating costs ($25 billion), though both giant figures for most companies, accounted for less than 18% of Apples expenditures. Apple takes a 30% cut on App sales and subscriptions (15% from the second year of subscriptions) and we estimate that total commission revenues stood at almost $20 billion in FY19 (out of a total of about $46 billion in Services Revenue). Apple Profit Margin 2010-2023 | AAPL | MacroTrends Apples operating expenses rose by just about 12% year-over-year compared to total Revenues which expanded by 21% and this was also a factor that drove its Operating Margin gains, in addition to the Gross Profit gains. Please check your download folder. MSFT generated a gross profit margin of 68.35% in the TTM and over the past 3 years their average gross profit margin was . Apple And Microsoft: An In-Depth Comparison Across 17 Categories EPS is likely to stand at about $0.97 per share, an increase of about 51% compared to last year. Get the detailed quarterly/annual income statement for Apple Inc. (AAPL). Gross Profit Margin Operating Profit Margin Net Profit Margin Return on Equity (ROE) Return on Assets (ROA) Profitability Ratios (Summary) Annual Data Quarterly Data Apple Inc., profitability ratios (quarterly data) Gross Profit Margin = (Gross Profit / Revenue) = 43.31. Revenue of AAPL during the year 2022 = $394.33 Billion. This report will help you learn the gross profit margin of APPLE INC for both recent and past years. And by god, this government is doing their damndest to destroy them. Apple also likely saw a large percentage of commission-driven revenues such as App sales and subscriptions, which are much more profitable. Apple's business primarily runs around its flagship iPhone. Visualizing Every Company on the S&P 500 Index, Retail Investors Most Popular Stocks of 2023 So Far, Ranked: The 100 Biggest Public Companies in the World, 10-Year Annualized Forecasts for Major Asset Classes, Visualizing Annual Working Hours in OECD Countries, The Worlds Biggest Mutual Fund and ETF Providers, Keen to know how Apples financials stack up against other tech giants? Chart: Automakers Adoption of Fuel-Saving Technologies. Get quick analyses with our professional research service. Apple's latest twelve months gross profit margin is 43.2% Apple's gross profit margin for fiscal years ending September 2018 to 2022 averaged 39.9%. https://www.nytimes.com/2021/07/27/technology/apple-q3-earnings.html. Now let us see a table containing the quarterly gross margin values of AAPL. Will Illumina Stock Rebound After A 65% Decline In The Ongoing Inflation Shock. As the incidence is over 50 and is rising, one has to register before buying. Compare AAPL With Other Stocks. FactSet (a) does not make any express or implied warranties of any kind regarding the data, including, without limitation, any warranty of merchantability or fitness for a particular purpose or use; and (b) shall not be liable for any errors, incompleteness, interruption or delay, action taken in reliance on any data, or for any damages resulting therefrom. These devices are powered by software applications including iOS, macOS, watchOS and tvOS operating systems. This article was published as a part of Visual Capitalist's Creator Program, which features data-driven visuals from some of our favorite Creators around the world. However, a tightly competitive market or saturated demand may make maintaining gross margin a tedious task. In 2019, Apple is expected to have a 38.8 percent gross . [1/25/2021] Will The iPhone 12 Deliver For Apple? Copyright FactSet Research Systems Inc. All rights reserved. Apples Operating Margins also soared by a remarkable 220 basis points year over year to about 30.1%. 2023 was $41,976 Mil.Apple's Revenue for the three months ended in Mar. Apple has been facing significant criticism that its AppStore practices hurt smaller developers and tech giants, including Apple, face increasing scrutiny from regulators regarding their market power. Apple's (AAPL) Gross Profit Margin at 43.31% (2012-2022) Netcials | January 22, 2023 All AAPL Reports More Companies This report will help you learn the gross profit margin of APPLE INC for both recent and past years. If you are an admin, please authenticate by logging in again. Current and historical gross margin for Apple (AAPL) over the last 10 years. Source: FactSet, Markets Diary: Data on U.S. Overview page represent trading in all U.S. markets and updates until 8 p.m. See Closing Diaries table for 4 p.m. closing data. BLS Nos. We have chosen these peers based on several factors including market capitalization. Secondly, Apples product mix has been more favorable than previous quarters, with Apple nudging customers towards Pro versions of its devices, which likely have thicker margins. "Apple's Gross Margin as Percentage of Revenue from 1st Quarter 2005 to 2nd Quarter 2023. Directly accessible data for 170 industries from 150+ countries Quarterly smartphone market share worldwide by vendor 2009-2023, Apple's revenue broken down by geographical region 2012-2023, by quarter, To download this statistic in XLS format you need a Statista Account, To download this statistic in PNG format you need a Statista Account, To download this statistic in PDF format you need a Statista Account. In contrast, all of Europe, the Middle East, Africa, and India combined for $95 billion in annual net sales. The blue line is Apple's gross margin per quarter, which is the ratio of gross profits (revenues minus cost of goods and services) to revenues. Apple gross profit for the quarter ending March 31, 2023 was, Apple gross profit for the twelve months ending March 31, 2023 was. You will see both annual and quarterly data. . Check out our theme on Apple Component Supplier Stocks which includes a diverse set of companies that supply components for iPhones, iPads, and other Apple devices. More about Jack Nicas. Apple's other services include subscription-based Apple News, Apple Card, Apple Arcade, new Apple TV app, Apple TV channels and Apple TV, a new subscription service. Apple Gross Profit Margin (Quarterly) Apple Inc (AAPL) 192.61 +0.15 ( +0.08%) USD | NASDAQ | Jul 05, 10:43 Switch to: Reports Actions Quote Performance Key Stats Financials Estimates News Events Y-Rating Valuation More Data Leverage your fund or stock analysis with YCharts' extensive library of over 4,000 financial data points. This section will help you know the best quarters of AAPL when the gross margin hit record highs. . You will find 5 sections in this report. Apples profits nearly doubled in the latest quarter. Firstly, Apple has a certain level of fixed costs in its product cost structures and with the product Revenue soaring by about 21%, it benefited from some leverage gains. The company has guided margins of between 41.5% and 42.5% for Q3, which is reasonably high, considering that FYQ3 is typically a seasonally weaker quarter compared to FYQ2. One of the main reasons why Apple's (NASDAQ:AAPL) share price declined from $600+ to $520 over the last 1 year is due to Apple becoming less profitable.Its gross margin declined . Charting Apple's Profit of Nearly $100 Billion in 2022 - Visual Capitalist Check out, How Big Tech Revenue and Profit Breaks Down, by Company. The current gross profit margin for Apple as of December 31, 1969 is %. It offers essential calculations such as annual profit, gross margin, sales margin, net profit margin, discount, business valuation, and sales tax. As soon as this statistic is updated, you will immediately be notified via e-mail. The gross margin has remained at around 38% for years, but strong sales across each. How inflation will affect Apple - CNBC Apple's gross profit margin for the quarter was 38%, ($59.7 billion - $37 billion) / $59.7 billion. Below is an example containing the steps and formula to calculate the gross margin. Data may be intentionally delayed pursuant to supplier requirements. An increasing gross margin graph is the dream of any organization. App analytics company Sensor Tower estimates that about 98% of the developers that pay Apple commissions will benefit. The company also posted one of its largest gross profit margins ever, at 43.3 percent, showing how efficient its enormous business has become. Apple Gross Profit Margin - YCharts Apple: Gross Margin Conundrum Explained. Use Ask Statista Research Service. The increase was particularly surprising considering the company is set to release new phones in September, which often causes many people to wait to buy new iPhones. Do not forget to leave your feedback. Microsoft Vs. Apple: Strategy, Balance Sheet, And Valuation - Seeking Alpha Apple made roughly about $360 million in commissions from Fortnite over the last two years per Sensor Tower a relative drop in the bucket for Apple which pulled in $260 billion-plus in revenues last year. Also, a company may try different pricing and discount strategies based on seasonality. Last week, Epic Games sued Apple for antitrust violations, after its popular Fortnite game was removed from the AppStore shortly after Epic let players bypass Apples in-app purchase system, avoiding the 30% commission on sales. Apple also designs, manufactures and sells iPad, MacBookand HomePod. Pricing will impact revenues and in turn margins as well. These devices are powered by software applications including iOS, macOS, watchOS and tvOS operating systems. Here is the answer. Our revenue estimates are roughly in line with consensus while our EPS estimate is marginally below consensus. Gross margin is a key financial metric that measures the profitability of a company's products or services. By using our website or by closing this message box, you agree to our use of browser capability checks, and to our use of cookies as described in our Cookie Policy. Compare AAPL With Other Stocks Apple Annual Profit Margins Apple Quarterly Profit Margins The number of years covered is 11 until 2022. Apple Gross Profit Margin (Quarterly) - YCharts You may opt-out by. ADVERTISEMENT However, in Apples case, this is likely already baked into its valuation. The orange line is operating margin per. 2023 was $94,836 Mil.Therefore, Apple's Gross Margin % for the quarter that ended in Mar. After all, the AppStore is estimated to account for roughly a third of Apples Services Revenue. Apple's gross margin for Q2 2021 was 42.5%, achieved in large part through a strong iPhone sales mix. Compare AAPL With Other Stocks The net sales and sales volume were high during 2021. Compare to Open 193.78 Prior Close 193.97 (06/30/23) 1 Day AAPL -0.78% DJIA 0.03% S&P 500 0.12% Technology -0.12% Overview Earnings & Estimates Apple Inc. We expect Apples Revenues to come in at about $76.6 billion, marking an increase of about 31% year-over-year. In fact, Apple dominates the Wearables and Hearables markets due to the growing adoption of Watch and AirPods. Apple's Gross Margin Percentage (2000 - 2021) - GlobalData Over FY20, Apples product Gross Margins stood at 31.5% versus about 66% for Services. You will see both annual and quarterly data. After introducing pricey, Apple-certified MagSafe chargers, Nomad is out using the same design but powered by a more budget-friendly Qi coil instead in its Base and Stand. We have provided a few examples below that you can copy and paste to your site: Your data export is now complete. Gross Profit of APPLE INC during the year 2022 = $170.78 Billion. Gross Profit. If so, the gross margin will improve as well. Fundamental company data and analyst estimates provided by FactSet. This statistic is not included in your account. Whether Apple will break $100 billion in profit is a question that can only be answered in their next annual statement, due in September 2023. Gross Margin Definition: Understanding Profitability | Agicap So what are the key trends that are likely to drive Apples results? The worlds largest company, and Americas most profitable, earned a massive $394.3 billion in revenue in 2022 against expenditures of $295.5 billion. [Online]. He said Apples gross margins on its devices were 36 percent in the quarter. Feb 14, 2022. Apple Inc. (NASDAQ:AAPL) | Analysis of Profitability Ratios (Q) The quarterly periods for Apple's fiscal year include the following: early October to late December of the previous year (first quarter), early January to late March of the stated year (second quarter), early April to late June of the stated year (3rd quarter) and early July to late September of the stated year (4th quarter). Below is the annual gross margin graph of APPLE INC. 2023 was $41,976 Mil.Apple's Revenue for the three months ended in Mar. Profit margin can be defined as the percentage of revenue that a company retains as income after the deduction of expenses. Apples Services business also saw Gross Margins soar to around 68.4%, an increase of around 400 basis points versus last year. to incorporate the statistic into your presentation at any time. Apple is expected to publish its Q2 FY21 results on April 28. Although Apple has had spats with developers in the past, the Epic lawsuit is noteworthy for a couple of reasons. No breakthrough technological change, just other looks and a cheaper to make chip. Apples gross margins expanded by a remarkable 420 basis points year over year to 42.5%, reaching their highest levels in almost nine years. [Updated 8/17/2020] How The Epic Lawsuit Impacts Apple. fixed vs. variable costs). Available: https://www.statista.com/statistics/263436/apples-gross-margin-since-2005/, Apple's gross margin as percentage of revenue from 1st quarter 2005 to 2nd quarter 2023, Immediate access to statistics, forecasts & reports, Most valuable technology brands worldwide in 2022, IT devices total spending worldwide 2012-2023, Revenue of the smartphones industry worldwide 2018-2028, Global smartphone shipments by quarter 2009-2023, Revenue of the tablets industry worldwide 2018-2028, Worldwide tablet shipments 2010-2023, by quarter, Global PC unit shipments 2009-2023, by quarter, Revenue of Apple by fiscal quarter 2005-2023, Apple's revenue broken down by operating segments 2012-2023, by quarter, Global net income of Apple 2005-2023, by quarter, Earnings per common share (diluted) for Apple Inc. 2005-2023, by quarter, iPhone revenue as share of Apple's total revenue 2009-2023, by quarter, Global smartphone unit shipments of Apple 2010-2023, by quarter, Global iPhone 14 adoption rate 2023, by model, Global iPhone 13 adoption rate 2021-2023, by model, Global iPhone 12 adoption rate 2020-2023, by model, Leading iPhone apps worldwide 2022, by revenue, Apple's global revenue from iPad sales 2010-2023, iPad revenue as share of Apple's total revenue 2010-2023, by quarter, Apple iPad global unit sales by quarter 2012-2023, Tablet Apple iOS version market share worldwide 2018-2023, Apple's revenue from Mac computers worldwide 2006-2023, Global Apple Mac shipments 2006-2022, by quarter, macOS version market share worldwide 2018-2023, Revenue of Apple from services segment 2013-2023, Apple App Store: annual gross app revenue 2017-2021, Number of active apps from the Apple App Store 2008-2022, Most popular Apple App Store categories 2022, Apple, Google, and Microsoft: revenue comparison 2008-2022, Global market share held by tablet vendors 2011-2023, Global PC vendor shipment market share 2014-2023, by quarter, Market share of mobile operating systems worldwide 2009-2023, Wearables shipments worldwide market share 2014-2022, by vendor, Global smart speaker market share 2016-2022, by vendor, Apple: expenditure on research and development 2007-2022, Apple's cash usage in investing activities 2015-2022, Apple's cash generated by investing activities 2015-2022, Carbon footprint distribution of Apple Watches 2022, by series, Carbon emissions of Apple Watches 2022, by series, Revenue of Apple's services segment 2011-2020, by product category, Apple iPad sales worldwide 2010-2018, by quarter, Price of selected acquisitions by Apple Inc. 2017, Semiconductor expenditure of Apple 2011-2022, Digital giants: cultural dimension according to the French people 2015, Apple's PC unit shipment share in the U.S. 2013-2023, by quarter, Apple's conflict mineral-free verified supply chain smelters & refiners 2009-2015, PC unit shipments of Apple in the United States 2010-2016, by quarter, Apple: revenue from company-owned retail stores 2005-2014, Share of unit sales-of-apple by product category 2012-2018, by quarter, Apple smartphone market share worldwide Q1 2016-Q1 2021, Apple News user numbers worldwide 2019-2020, Find your information in our database containing over 20,000 reports, hundreds of billions of U.S. dollars in revenue. Apple Apple takes 75% of smartphone profits despite 13% market share, says report By Stephen Warwick published 14 October 2021 Apple Iphone Ipad Availability Beijing Iphone 13 Pro Close Up (Image credit: Apple) What you need to know A new report says that Apple captured 75% of smartphone profits and 40% of the revenue in Q2 of 2021. How Apple Stock Has Benefited From Margin Expansion Say, "Hey, Siri, play AppleInsider," and you'll get the latest AppleInsider Podcast. Apple (AAPL) Gross Margin - GuruFocus The Explanation Behind Apple's Gross Margin Decline, And Why The Future As you may know, the net margin is the one that accounts for both interest and taxes in addition to the cost of goods sold. Please check your download folder. These devices are powered by software applications including iOS, macOS, watchOS and tvOS operating systems. The Mac pricing is somewhat ridiculous considering the processor must cost less than ~50$ (There is a site where you can, if you are accurate enough and use correct numbers for N7/N7P by TSMC themselves, precisely estimate the cost:https://caly-technologies.com/die-yield-calculator/)a pop at that scale to manufacture. Please create an employee account to be able to mark statistics as favorites. Moreover, Apple expects to see some semiconductor supply constraints for its Macs and iPads over the next quarter, likely putting some pressure on margins. For a product like the iPhone, component costs dominate production costs. However, the Services portfolio that includes cloud services, App store, Apple Music, AppleCare, Apple Pay & licensing and other services which become the cash cow. Backlinks from other websites are the lifeblood of our site and a primary source of new traffic. 24-hour Apple Watch challenge: Can it replace the iPhone? Note: Gross profit margin is the figure when Gross profit is expressed as a percentage of the revenue. Timeline: Cannabis Legislation in the U.S. Visualizing the Relationship Between Cancer and Lifespan. Think Apple stock is pricey at current levels, but still want to play the upside in iPhone sales? A good organization is expected to work continuously to decrease the cost of goods sold while improving the revenue. We have provided a few examples below that you can copy and paste to your site: Your image export is now complete. Profit margin can be defined as the percentage of revenue that a company retains as income after the deduction of expenses. Net Margin. Over the past three years AAPL's average gross profit margin was 38.28%. Apple Gross Profit Margin (Annual) - YCharts Apple stock has rallied by about 65% over the last 12 months, driven largely by anticipation surrounding the 5G iPhones. Firstly, Revenues should see a bump driven by strong demand for the 5G iPhones, which saw multiple models remain back-ordered through the holidays. Apple net profit margin for the three months ending December 31, 1969 was . Strong demand for the iPhone 12 Pro and iPhone 12 Pro Max was a contributing factor. People in the Apple Store. As a Premium user you get access to the detailed source references and background information about this statistic. Internet services-led companies have typically commanded higher valuation multiples compared to hardware plays on account of their thicker margins, and associated platform-related lock-ins. May 5, 2023. Backlinks from other websites are the lifeblood of our site and a primary source of new traffic. So what does this mean for Apple stock? How Apple Is Squeezing Out More Profit From Its iPhones - Forbes How Apple Is Squeezing Out More Profit From Its iPhones Solid uptake of Apple Watch also helps Apple to strengthen its presence in the personal health monitoring space. Seasonality may cause varying demand in different quarters. Apple has introduced a new model of MacBook Air at WWDC 2023, with a 15-inch MacBook Air now a larger option for consumers. Solid uptake of Apple Watch also helps Apple to strengthen its presence in the personal health monitoring space. Although we actually expected margins to face pressure on account of higher costs relating to 5G components on the new iPhones, Apple significantly beat our margin expectations, driven by a couple of factors.