- Apple currently has $193,817 billion in cash on hand, according to a third-quarter fiscal earnings report issued by the company Thursday.
Apple currently has $193,817 billion in cash on hand, according to a third-quarter fiscal earnings report issued by the company Thursday.
That’s up from the company’s second fiscal quarter of 2020 when it announced a cash pile of $192.8 billion. However, it’s down from Apple’s third-quarter fiscal 2019 earnings, when Apple posted cash at $210.6 billion. Apple has invested in new offerings, including original TV shows and movies from Apple TV+. According to its earnings report, it has also spent 13.8 billion dollars on research and development over the past 9 months.
Apple has been continuously holding one of the largest cash piles for U.S. companies while under pressure from the Covid-19 pandemic. Most of Apple’s retail outlets around the globe are now open but many in the U.S. are still closed.
Today, investments in Apple have largely recovered from the low-point pandemic in March. Shares are up over 30% year-to-date and more than 83% after last year’s third-quarter earnings were posted by Apple.
Consumers may have cut spending during the pandemic, but that did not apply to Apple products as the tech giant reported quarterly results Thursday (July 30) that exceeded all-encompassing analyst estimates.
The iPhone returned to growth after declining for the last six consecutive quarters, generating $26.42 billion in revenue for the third quarter of Apple’s fiscal year that ended June 27. According to MarketWatch, this is well ahead of the $22.2 billion analysts had anticipated.
According to a press release, overseas sales accounted for around 60 percent of Apple’s current iPhone revenue. CEO Tim Cook attributed stronger-than-expected sales of the segment to the unveiling of the new iPhone SE in his remarks on an earnings call with investors, along with government stimulus funds entering bank accounts for customers.
Apple also announced a $6.58 billion rise in iPad sales from last year’s $5.02 billion, while Macs sales came in at $7.08 billion, compared to $5.82 billion a year earlier, MarketWatch reports. Both results were well ahead of forecasts from analysts for iPad revenue of $4.85 billion and Mac revenues of $6.03 billion.
Cook attributed the slightly larger-than-expected development of both product lines to the increase of home-worked staff and remote school attendants.
“It improved both the Mac and the iPad,” Cook told CNBC. “We see both those likely to pick up share and, respectively, being an instrument of preference in terms of their profitability.”
Apple’s services division — home to deals such as Apple Care, Apple Pay, Apple Subscriptions, and Apple Card — also saw revenue grow 14.9 percent year on year to $13.16 billion, CNBC stated.
Cook noted on the call that those numbers meant that Apple hit its 2016 target of doubling $6.5 billion in service revenue, and did so six months ahead of schedule.
Revenue from wearables, shoes, and home goods also rose from $5.5 billion a year ago, to $6.45 billion. That came ahead of analyst estimates which requested $5.98 billion, reported MarketWatch.
