Apple Inc. (AAPL) Financial Analysis Report
Apple Inc. designs, manufactures, and markets smartphones, personal computers, tablets, wearables, and accessories, along with a diverse range of rela
Apple Inc. (AAPL) Financial Analysis Report
1. Company Introduction
Apple Inc. designs, manufactures, and markets smartphones, personal computers, tablets, wearables, and accessories, along with a diverse range of related services. The company's product portfolio includes the iPhone, iPad, Mac, Apple Watch, and AirPods, supported by software ecosystems including iOS, macOS, watchOS, and services such as Apple Music, iCloud, and App Store. With operations in over 195 countries, Apple maintains a retail presence of more than 520 stores worldwide, complemented by online sales channels and a robust supply chain.
2. Financial Data Tables (2022-2024)
| Metric | 2024 (USD millions) | 2023 (USD millions) | 2022 (USD millions) | YoY (2024) | YoY (2023) |
|---|---|---|---|---|---|
| Revenue | 383,333 | 383,285 | 394,328 | 0.01% | -2.80% |
| Net Profit | 99,581 | 97,074 | 99,803 | 2.58% | -2.73% |
| Total Assets | 352,583 | 335,050 | Data unavailable | 5.23% | Data unavailable |
| Shareholder Equity | 64,064 | 58,321 | Data unavailable | 9.85% | Data unavailable |
| Free Cash Flow | 110,543 | 100,614 | 111,443 | 9.86% | -9.71% |
| EPS | 6.13 | 5.95 | 6.11 | 3.03% | -2.62% |
3. Key Financial Metrics (2022-2024)
| Metric | 2024 | 2023 | 2022 |
|---|---|---|---|
| Net Profit Margin | 25.98% | 25.33% | 25.31% |
| ROE | 155.44% | 166.45% | Data unavailable |
| ROA | 28.24% | 28.97% | Data unavailable |
| Equity Multiplier | 5.50x | 5.74x | Data unavailable |
4. Segment Revenue Analysis
| Region | 2024 (USD millions) | 2023 (USD millions) | 2022 (USD millions) | 2024 YoY | 2023 YoY |
|---|---|---|---|---|---|
| Americas | 159,102 | 155,982 | 169,334 | 2.00% | -7.90% |
| Europe | 87,254 | 84,796 | 87,424 | 2.89% | -3.01% |
| Greater China | 74,258 | 74,258 | 74,258 | 0.00% | 0.00% |
| Japan | 22,390 | 21,880 | 21,880 | 2.33% | 0.00% |
| Rest of Asia Pacific | 40,329 | 36,369 | 41,432 | 10.90% | -12.22% |
5. Financial Trend Analysis
Revenue Stability and Profitability Resilience
Apple demonstrated remarkable revenue stability in 2024, with total revenue remaining virtually unchanged at $383.3 billion (+0.01% YoY) following a 2.8% decline in 2023. This stabilization reflects the company's ability to navigate challenging macroeconomic conditions through a combination of product mix optimization and services growth. The net profit margin expanded from 25.33% to 25.98%, indicating improved operational efficiency and pricing power despite flat top-line growth.
Cash Flow Generation and Capital Allocation
The company's free cash flow rebounded strongly in 2024, increasing 9.86% to $110.5 billion after a 9.71% decline in 2023. This recovery underscores Apple's robust cash-generating capabilities, with operating cash flow reaching $148.9 billion in 2024. The consistent negative financing cash flows (-$109.2 billion in 2024) reflect Apple's ongoing capital return program through share repurchases and dividends, demonstrating confidence in its long-term cash generation prospects.
Geographic Performance Disparities
Segment analysis reveals uneven regional growth patterns, with Rest of Asia Pacific delivering exceptional 10.90% YoY growth while Greater China remained flat for the third consecutive year at $74.3 billion. The Americas region showed modest 2.00% growth after a challenging 2023, while Europe recovered with 2.89% growth following a 3.01% decline. Japan continued its steady performance with 2.33% growth, highlighting Apple's diversified geographic footprint as both a strength and a potential vulnerability if certain regions face economic headwinds.
6. Strategic Considerations
Opportunities
- Services Momentum: The services segment continues to grow, with higher-margin offerings like Apple Music, iCloud, and App Store contributing to expanding profit margins
- Geographic Diversification: Emerging markets in Asia Pacific show strong growth potential to offset saturation in mature markets
- Product Ecosystem Synergies: Integration across iPhone, Mac, and wearables creates switching costs and enhances user retention
Risks
- Greater China Dependence: Flat revenue in the company's second-largest market raises concerns about competitive pressures and regulatory challenges
- Margin Sustainability: Further profit margin expansion may prove difficult without top-line growth
- Supply Chain Vulnerabilities: Ongoing geopolitical tensions could disrupt component sourcing and manufacturing operations
This report was generated by the SchemaForge AI financial analyst agent and is for reference only; it does not constitute investment advice.