Apple Inc.

Statement of Operations 2017 2016 2015

Net sales $ 229,234 $ 215,639 $ 233,715

Cost of sales 141,048 131,376 140,089
Gross margin 88,186 84,263 93,626

Operating expenses:
Research and development 11,581 10,045 8,067
Selling general and administrative 15,261 14,194 14,329
Total operating expenses 26,842 24,239 22,396

Operating income 61,344 60,024 71,230

Other income and expense 2,745 1,348 1,285
Income before provision for income taxes 64,089 61,372 72,515
Provision for income taxes 15,738 15,685 19,121
Net income $ 48,351 $ 45,687 $ 53,394

Balance Sheet 2017 2016 2015

ASSETS
Current assets
Cash and cash equivalents $ 20,289 $ 20,484 $ 21,120
Short-term marketable securities 53,892 46,671 20,481
Accounts receivable less allowances 17,874 15,754 16,849
Inventories 4,855 2,132 2,349
Deferred tax assets 0 0 5,546
Vendor non-trade receivables 17,799 13,545 13,494
Other current assets 13,936 8,283 9,539
Total current assets 128,645 106,869 89,378

Long-term marketable securities 194,714 170,430 164,065

Property, plant and equipment, net 33,783 27,010 22,471
Goodwill 5,717 5,414 5,116
Acquired intangible assets, net 2,298 3,206 3,893
Other assets 10,162 8,757 5,556
Total assets $ 375,319 $ 321,686 $ 290,479

LIABILITIES AND SHAREHOLDERS’ EQUITY

Current liabilities
Accounts payable $ 49,049 $ 37,294 $ 35,490
Accrued expenses 25,744 22,027 25,181
Deferred revenue 7,548 8,080 8,940
Commercial paper 11,977 8,105 8,499
Current portion of LTD 6,496 3,500 2,500
Total current liabilities 100,814 79,006 80,610

Deferred revenue, non-current 2,836 2,930 3,624

Long-term debt 97,207 75,427 53,463
Other non-current liabilities 40,415 36,074 33,427
Total liabilities 241,272 193,437 171,124
Commitments and contingencies
Shareholders’ equity
Common stock 35,867 31,251 27,416
Retained earnings 98,330 96,364 92,284
Accumulated other comprehensive (loss)/income (150) 634 (345)
Total shareholders’ equity 134,047 128,249 119,355
Total liabilities and shareholders’ equity $ 375,319 $ 321,686 $ 290,479

Cash Flows (Summary) 2017 2016 2015

Cash at beginning of year $ 20,484 $ 21,120 $ 13,844

OPERATIONS 63,598 65,824 81,266
INVESTING (46,446) (45,977) (56,274)
FINANCING
Issuance of common stock 555 495 543
Tax benefit from equity awards 627 407 749
Tax paid on equity awards (1,874) (1,570) (1,499)
Dividends paid (12,769) (12,150) (11,561)
Repurchase of common stock (32,900) (29,722) (35,253)
Proceeds from LTD 28,662 24,954 27,114
Repayments of term debt (3,500) (2,500) 0
Change in commercial paper 3,852 (397) 2,191
(17,347) (20,483) (17,716)
Change in cash (195) (636) 7,276
Cash at end of year $ 20,289 $ 20,484 $ 21,120
 2014 2013 2012 2011

$ 182,795 $ 170,910 $ 156,508 $ 108,249 0.62

112,258 106,606 87,846 64,431
70,537 64,304 68,662 43,818 42%

6,041 4,475 3,381 2,429

11,993 10,830 10,040 7,599
18,034 15,305 13,421 10,028

52,503 48,999 55,241 33,790

980 1,156 522 415
53,483 50,155 55,763 34,205
13,973 13,118 14,030 8,283
$ 39,510 $ 37,037 $ 41,733 $ 25,922

2014 2013 2012 2011

$ 13,844 $ 14,259 $ 10,746 $ 9,815

11,233 26,287 18,383 16,137
17,460 13,102 10,930 5,369
2,111 1,764 791 776
4,318 3,453 2,583 2,014
9,759 7,539 7,762 6,348
9,806 6,882 6,458 4,529
68,531 73,286 57,653 44,988

130,162 106,215 92,122 55,618

20,624 16,597 15,452 7,777
4,616 1,577 1,135 896
4,142 4,179 4,224 3,536
3,764 5,146 5,478 3,556
$ 231,839 $ 207,000 $ 176,064 $ 116,371

$ 30,196 $ 22,367 $ 21,175 $ 14,632

18,453 13,856 11,414 9,247
8,491 7,435 5,953 4,091
 6,308 0 0 0
0 0 0 0
63,448 43,658 38,542 27,970

3,031 2,625 2,648 1,686

28,987 16,960 0 0
24,826 20,208 16,664 10,100
120,292 83,451 57,854 39,756

23,313 19,764 16,422 13,331

87,152 104,256 101,289 62,841
1,082 (471) 499 443
111,547 123,549 118,210 76,615
$ 231,839 $ 207,000 $ 176,064 $ 116,371

2014 2013 2012 2011

$ 14,259 $ 10,746 $ 9,815 $ 11,261

59,713 53,666 50,856 37,529
(22,579) (33,774) (48,227) (40,419)

730 530 665 831

739 701 1,351 1,133
(1,158) (1,082) (1,226) (520)
(11,126) (10,564) (2,488) 0
(45,000) (22,860) 0 0
11,960 16,896 0 0
0 0 0 0
6,306 0 0 0
(37,549) (16,379) (1,698) 1,444
(415) 3,513 931 (1,446)
$ 13,844 $ 14,259 $ 10,746 $ 9,815
 57
1350000

1013
337
Net Sales

Year Apple Sales

2001
2002
5360
5740
Apple
2003 6210 $250,000
2004 8200
2005 13900
2006 19300 $200,000
2007 24600
2008 37500
2009 42900 $150,000
2010 65200
2011 108249
2012 156508
$100,000
2013 170910
2014 182795
2015 233715
$50,000
2016 215639

$0
2001 2002 2003 2004 2005 2006
 Apple Sales($US billions)

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016