February 18, 2004: Steve Jobs sends an internal memo to Apple employees revealing that the company is, for the first time in years, totally debt-free.
“Today is a historic day of sorts for our company,” he writes. It marks a big turnaround from the bad old days of the 1990s, when Apple carried more than $1 billion in debt — and faced the danger of bankruptcy.
Apple’s spending on research and development of new products keeps growing. The company’s R&D spending increased by hundreds of millions in the second quarter of this year, totaling more than ever before.
But where is all this money going? Some of its R&D projected are obvious, but others the company tries to keep secret.
Apple stockpiled $252.3 billion overseas, but it’s bringing that money back to America. A market analysts predicts the company will spend $100 billion of it on its stock buyback and dividend program. This will directly benefit those with Apple shares.
The company decided to bring the money home from foreign banks after the new GOP tax law gave companies a limited time for cash repatriations at lower rates, possibly just 8 percent.
Apple earnings calls are usually a time for celebration and gloating, but for the first time in over a decade the company is poised to post declining profits.
Tim Cook warned Wall Street that this would likely happen due to declining iPhone sales. Have we really reached “peak iPhone”?
Analysts and reporters will be grilling Cook and Apple CFO Luca Maestri during today’s Q2 2016 earnings call. Investors will be looking for signs that Apple still has room to grow. And Cult of Mac will be right here, liveblogging the entire Apple earnings call — and translating the financial gibberish — when the big event starts at 2 p.m. Pacific.
As a tech fan, there are plenty of times — particularly when you hear about billionaire investors and record-breaking stock prices — when you wonder whether you would have had the foresight to predict things turning out the way they have.
Would you have bet big on Apple around the time of its 1980 IPO? Was it obvious that Steve Jobs was going to turn around the company in 1997? Or would you have been the equivalent of folks calling the Titanic an unsinkable ship, and pouring your life savings into pre-crash dot-com companies?
An amazing new data-viz shows how the returns on a $1,000 investment made in Apple, Microsoft and IBM would have fared over the next 20 years following January 1, 1996. Check it out below:
Apple CEO Tim Cook and CFO Peter Oppenheimer presented the results of the company’s spring 2012 quarter. The quarter included extensive growth for the iPhone, iPad, and Mac product lines though iPod sales declined 10% from the same quarter a year ago.
Here are the financial numbers delivered during the call.