--- Page 1 --- Apple Inc. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (In millions, except number of shares, which are reflected in thousands, and per-share amounts) Three Months Ended Nine Months Ended June 29, 2024 July 1, 2023 June 29, 2024 July 1, 2023 Net sales: Products $ 61,564 $ 60,584 $ 224,908 $ 230,901 Services 24,213 21,213 71,197 62,886 Total net sales (1) 85,777 81,797 296,105 293,787 Cost of sales: Products 39,803 39,136 140,667 146,696 Services 6,296 6,248 18,634 18,370 Total cost of sales 46,099 45,384 159,301 165,066 Gross margin 39,678 36,413 136,804 128,721 Operating expenses: Research and development 8,006 7,442 23,605 22,608 Selling, general and administrative 6,320 5,973 19,574 18,781 Total operating expenses 14,326 13,415 43,179 41,389 Operating income 25,352 22,998 93,625 87,332 Other income/(expense), net 142 (265) 250 (594) Income before provision for income taxes 25,494 22,733 93,875 86,738 Provision for income taxes 4,046 2,852 14,875 12,699 Net income $ 21,448 $ 19,881 $ 79,000 $ 74,039 Earnings per share: Basic $ 1.40 $ 1.27 $ 5.13 $ 4.69 Diluted $ 1.40 $ 1.26 $ 5.11 $ 4.67 Shares used in computing earnings per share: Basic 15,287,521 15,697,614 15,401,047 15,792,497 Diluted 15,348,175 15,775,021 15,463,175 15,859,263 (1) Net sales by reportable segment: Americas $ 37,678 $ 35,383 $ 125,381 $ 122,445 Europe 21,884 20,205 76,404 71,831 Greater China 14,728 15,758 51,919 57,475 Japan 5,097 4,821 19,126 18,752 Rest of Asia Pacific 6,390 5,630 23,275 23,284 Total net sales $ 85,777 $ 81,797 $ 296,105 $ 293,787 (1) Net sales by category: iPhone $ 39,296 $ 39,669 $ 154,961 $ 156,778 Mac 7,009 6,840 22,240 21,743 iPad 7,162 5,791 19,744 21,857 Wearables, Home and Accessories 8,097 8,284 27,963 30,523 Services 24,213 21,213 71,197 62,886 Total net sales $ 85,777 $ 81,797 $ 296,105 $ 293,787 --- Page 2 --- Apple Inc. CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (In millions, except number of shares, which are reflected in thousands, and par value) June 29, 2024 September 30, 2023 ASSETS: Current assets: Cash and cash equivalents $ 25,565 $ 29,965 Marketable securities 36,236 31,590 Accounts receivable, net 22,795 29,508 Vendor non-trade receivables 20,377 31,477 Inventories 6,165 6,331 Other current assets 14,297 14,695 Total current assets 125,435 143,566 Non-current assets: Marketable securities 91,240 100,544 Property, plant and equipment, net 44,502 43,715 Other non-current assets 70,435 64,758 Total non-current assets 206,177 209,017 Total assets $ 331,612 $ 352,583 LIABILITIES AND SHAREHOLDERS’ EQUITY: Current liabilities: Accounts payable $ 47,574 $ 62,611 Other current liabilities 60,889 58,829 Deferred revenue 8,053 8,061 Commercial paper 2,994 5,985 Term debt 12,114 9,822 Total current liabilities 131,624 145,308 Non-current liabilities: Term debt 86,196 95,281 Other non-current liabilities 47,084 49,848 Total non-current liabilities 133,280 145,129 Total liabilities 264,904 290,437 Commitments and contingencies Shareholders’ equity: Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares authorized; 15,222,259 and 15,550,061 shares issued and outstanding, respectively 79,850 73,812 Accumulated deficit (4,726) (214) Accumulated other comprehensive loss (8,416) (11,452) Total shareholders’ equity 66,708 62,146 Total liabilities and shareholders’ equity $ 331,612 $ 352,583 --- Page 3 --- Apple Inc. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (In millions) Nine Months Ended June 29, 2024 July 1, 2023 Cash, cash equivalents and restricted cash, beginning balances $ 30,737 $ 24,977 Operating activities: Net income 79,000 74,039 Adjustments to reconcile net income to cash generated by operating activities: Depreciation and amortization 8,534 8,866 Share-based compensation expense 8,830 8,208 Other (1,964) (1,651) Changes in operating assets and liabilities: Accounts receivable, net 6,697 7,609 Vendor non-trade receivables 11,100 13,111 Inventories 41 (2,570) Other current and non-current assets (5,626) (4,863) Accounts payable (15,171) (16,790) Other current and non-current liabilities 2 2,986 Cash generated by operating activities 91,443 88,945 Investing activities: Purchases of marketable securities (38,074) (20,956) Proceeds from maturities of marketable securities 39,838 27,857 Proceeds from sales of marketable securities 7,382 3,959 Payments for acquisition of property, plant and equipment (6,539) (8,796) Other (1,117) (753) Cash generated by investing activities 1,490 1,311 Financing activities: Payments for taxes related to net share settlement of equity awards (5,163) (5,119) Payments for dividends and dividend equivalents (11,430) (11,267) Repurchases of common stock (69,866) (56,547) Proceeds from issuance of term debt, net — 5,228 Repayments of term debt (7,400) (11,151) Repayments of commercial paper, net (2,985) (5,971) Other (191) (508) Cash used in financing activities (97,035) (85,335) Increase/(Decrease) in cash, cash equivalents and restricted cash (4,102) 4,921 Cash, cash equivalents and restricted cash, ending balances $ 26,635 $ 29,898 Supplemental cash flow disclosure: Cash paid for income taxes, net $ 19,230 $ 7,020