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Apple IS

Fiscal year is October-September. All values USD Millions. 2022 2021 2020 2019 2018 5-year trend
Sales/Revenue 394,328 365,817 274,150 259,968 265,809
Sales Growth 7.79% 33.44% 5.46% -2.20% -
Cost of Goods Sold (COGS) incl. D&A 223,546 212,981 170,143 162,264 163,826
COGS excluding D&A 212,442 201,697 159,087 150,964 154,526
Depreciation & Amortization Expense 11,104 11,284 11,056 11,300 9,300
Depreciation 11,104 11,284 11,056 11,300 9,300
COGS Growth 4.96% 25.18% 4.86% -0.95% -
Gross Income 170,782 152,836 104,007 97,704 101,983
Gross Income Growth 11.74% 46.95% 6.45% -4.20% -
Gross Profit Margin 43.31% - - - -
SG&A Expense 51,345 43,887 38,668 34,462 30,941
Research & Development 26,251 21,914 18,752 16,217 14,236
Other SG&A 25,094 21,973 19,916 18,245 16,705
SGA Growth 16.99% 13.50% 12.20% 11.38% -
EBIT 119,437 108,949 65,339 63,242 71,042
Unusual Expense - - -465 - -
Non Operating Income/Expense -228 60 397 1,110 -585
Non-Operating Interest Income 2,825 2,843 3,763 4,961 5,686
Interest Expense 2,931 2,645 2,873 3,576 3,240
Interest Expense Growth 10.81% -7.94% -19.66% 10.37% -
Gross Interest Expense 2,931 2,645 2,873 3,576 3,240
Pretax Income 119,103 109,207 67,091 65,737 72,903
Pretax Income Growth 9.06% 62.77% 2.06% -9.83% -
Pretax Margin 30.20% - - - -
Income Tax 19,300 14,527 9,680 10,481 13,372
Income Tax - Current Domestic 9,409 9,877 6,761 6,859 41,976
Income Tax - Current Foreign 8,996 9,424 3,134 3,962 3,986
Income Tax - Deferred Domestic -2,181 -7,514 -3,598 -3,006 -33,771
Income Tax - Deferred Foreign 3,076 2,740 3,383 2,666 1,181
Consolidated Net Income 99,803 94,680 57,411 55,256 59,531
Net Income 99,803 94,680 57,411 55,256 59,531
Net Income Growth 5.41% 64.92% 3.90% -7.18% -
Net Margin 25.31% - - - -
Net Income After Extraordinaries 99,803 94,680 57,411 55,256 59,531
Net Income Available to Common 99,803 94,680 57,411 55,256 59,531
EPS (Basic) 6.11 5.61 3.28 2.97 2.98
EPS (Basic) Growth 8.89% 71.40% 10.23% -0.20% -
Basic Shares Outstanding 16,216 16,701 17,352 18,471 19,822
EPS (Diluted) 6.11 5.61 3.28 2.97 2.98
EPS (Diluted) Growth 8.89% 71.40% 10.23% -0.17% -
Diluted Shares Outstanding 16,326 16,865 17,528 18,596 20,000
EBITDA 130,541 120,233 76,395 74,542 80,342
EBITDA Growth 8.57% 57.38% 2.49% -7.22% -
EBITDA Margin 33.10% - - - -
EBIT 119,437 108,949 65,339 63,242 71,042

Apple BS

Assets
Fiscal year is October-September. All values USD Millions. 2022 2021 2020 2019 2018
Cash & Short Term Investments 48,304 62,639 90,979 100,580 66,301
Cash Only 21,475 26,913 19,980 28,124 19,658
Cash & Short Term Investments Growth -22.89% -31.15% -9.55% 51.70% -
Cash & ST Investments / Total Assets 13.69% 17.85% 28.09% 29.71% 18.13%
Total Accounts Receivable 60,932 51,506 37,445 45,804 48,995
Accounts Receivables, Net 28,184 26,278 16,120 22,926 23,186
Accounts Receivables, Gross 28,184 26,278 16,120 22,926 23,186
Other Receivables 32,748 25,228 21,325 22,878 25,809
Accounts Receivable Growth 18.30% 37.55% -18.25% -6.51% -
Accounts Receivable Turnover 6.47 7.1 7.32 5.68 5.43
Inventories 4,946 6,580 4,061 4,106 3,956
Finished Goods 4,946 6,580 4,061 4,106 3,956
Other Current Assets 21,223 14,111 11,228 12,329 12,087
Miscellaneous Current Assets 21,223 14,111 11,228 12,329 12,087
Total Current Assets 135,405 134,836 143,713 162,819 131,339
Net Property, Plant & Equipment 52,534 49,527 45,336 37,378 41,304
Property, Plant & Equipment - Gross 124,874 119,810 112,096 95,957 90,403
Buildings 22,126 20,041 17,952 17,085 16,216
Machinery & Equipment 81,060 78,659 75,291 69,797 65,982
Other Property, Plant & Equipment 11,271 11,023 10,283 9,075 8,205
Accumulated Depreciation 72,340 70,283 66,760 58,579 49,099
Total Investments and Advances 120,805 127,877 102,624 106,698 170,799
Other Long-Term Investments 120,805 127,877 102,624 106,698 170,799
Other Assets 44,011 38,762 32,215 31,621 22,283
Tangible Other Assets 44,011 38,762 32,215 31,621 22,283
Total Assets 352,755 351,002 323,888 338,516 365,725
Assets - Total - Growth 0.50% 8.37% -4.32% -7.44% -
Asset Turnover 1.12 - - - -
Return On Average Assets 28.36% - - - -
Liabilities & Shareholders' Equity
All values USD Millions. 2022 2021 2020 2019 2018 5-year trend
ST Debt & Current Portion LT Debt 22,773 17,141 15,229 16,240 20,748
Short Term Debt 11,516 7,449 6,432 5,980 11,964
Current Portion of Long Term Debt 11,257 9,692 8,797 10,260 8,784
Accounts Payable 64,115 54,763 42,296 46,236 55,888
Accounts Payable Growth 17.08% 29.48% -8.52% -17.27% -
Other Current Liabilities 67,094 53,577 47,867 43,242 40,230
Miscellaneous Current Liabilities 67,094 53,577 47,867 43,242 40,230
Total Current Liabilities 153,982 125,481 105,392 105,718 116,866
Current Ratio 0.88 1.07 1.36 1.54 1.12
Quick Ratio 0.85 1.02 1.33 1.5 1.09
Cash Ratio 0.31 0.5 0.86 0.95 0.57
Long-Term Debt 109,707 119,381 107,049 91,807 93,735
Long-Term Debt excl. Capitalized Leases 98,959 109,106 98,667 91,807 93,735
Non-Convertible Debt 98,959 109,106 98,667 91,807 93,735
Capitalized Lease Obligations 812 769 637 - -
Provision for Risks & Charges 16,657 24,689 28,170 29,545 33,589
Deferred Taxes 16,758 16,977 17,875 16,919 11,520
Deferred Taxes - Credit 16,758 16,977 17,875 16,919 11,520
Other Liabilities 4,979 1,384 63 4,039 2,868
Other Liabilities (excl. Deferred Income) 4,979 1,384 63 4,039 71
Deferred Income - - - - 2,797
Total Liabilities 302,083 287,912 258,549 248,028 258,578
Total Liabilities / Total Assets 85.64% 82.03% 79.83% 73.27% 70.70%
Common Equity (Total) 50,672 63,090 65,339 90,488 107,147
Common Stock Par/Carry Value 64,849 57,365 50,779 45,174 40,201
Retained Earnings -3,068 5,562 14,966 45,898 70,400
Cumulative Translation Adjustment/Unrealized For. Exch. Gain - - -1,375 -1,463 -1,055
Unrealized Gain/Loss Marketable Securities - - 1,846 707 -3,209
Other Appropriated Reserves -11,109 163 -877 172 810
Common Equity / Total Assets 14.36% 17.97% 20.17% 26.73% 29.30%
Total Shareholders' Equity 50,672 63,090 65,339 90,488 107,147
Total Shareholders' Equity / Total Assets 14.36% 17.97% 20.17% 26.73% 29.30%
Total Equity 50,672 63,090 65,339 90,488 107,147
Liabilities & Shareholders' Equity 352,755 351,002 323,888 338,516 365,725

Microsoft IS

Fiscal year is July-June. All values USD Millions. 2023 2022 2021 2020 2019 5-year trend
Sales/Revenue 211,915 198,270 168,088 143,015 125,502
Sales Growth 6.88% 17.96% 17.53% 13.95% -
Cost of Goods Sold (COGS) incl. D&A 65,863 62,650 52,232 46,078 42,910
COGS excluding D&A 52,002 48,190 41,332 33,778 31,310
Depreciation & Amortization Expense 13,861 14,460 10,900 12,300 11,600
Depreciation 11,361 12,460 9,300 10,700 9,700
Amortization of Intangibles 2,500 2,000 1,600 1,600 1,900
COGS Growth 5.13% 19.95% 13.36% 7.38% -
Gross Income 146,052 135,620 115,856 96,937 82,592
Gross Income Growth 7.69% 17.06% 19.52% 17.37% -
Gross Profit Margin 68.92% - - - -
SG&A Expense 57,529 52,237 45,940 43,978 39,974
Research & Development 27,195 24,512 20,716 19,269 16,876
Other SG&A 30,334 27,725 25,224 24,709 23,098
SGA Growth 10.13% 13.71% 4.46% 10.02% -
EBIT 88,523 83,383 69,916 52,959 42,618
Unusual Expense 183 -356 -1,044 -123 -597
Non Operating Income/Expense -55 -54 357 -135 397
Non-Operating Interest Income 2,994 2,094 2,131 2,680 2,762
Interest Expense 1,968 2,063 2,346 2,591 2,686
Interest Expense Growth -4.60% -12.06% -9.46% -3.54% -
Gross Interest Expense 1,968 2,063 2,346 2,591 2,686
Pretax Income 89,311 83,716 71,102 53,036 43,688
Pretax Income Growth 6.68% 17.74% 34.06% 21.40% -
Pretax Margin 42.14% - - - -
Income Tax 16,950 10,978 9,831 8,755 4,448
Income Tax - Current Domestic 16,331 10,008 4,514 4,300 5,380
Income Tax - Current Foreign 6,678 6,672 5,467 4,444 5,531
Income Tax - Deferred Domestic -6,623 -5,877 -179 52 -6,657
Income Tax - Deferred Foreign 564 175 29 -41 194
Consolidated Net Income 72,361 72,738 61,271 44,281 39,240
Net Income 72,361 72,738 61,271 44,281 39,240
Net Income Growth -0.52% 18.72% 38.37% 12.85% -
Net Margin 34.15% - - - -
Net Income After Extraordinaries 72,361 72,738 61,271 44,281 39,240
Net Income Available to Common 72,361 72,738 61,271 44,281 39,240
EPS (Basic) 9.68 9.65 8.05 5.76 5.06
EPS (Basic) Growth 0.39% 19.79% 39.73% 13.90% -
Basic Shares Outstanding 7,446 7,496 7,547 7,610 7,673
EPS (Diluted) 9.68 9.65 8.05 5.76 5.06
EPS (Diluted) Growth 0.39% 19.79% 39.73% 13.87% -
Diluted Shares Outstanding 7,472 7,540 7,608 7,683 7,753
EBITDA 102,384 97,843 80,816 65,259 54,218
EBITDA Growth 4.64% 21.07% 23.84% 20.36% -
EBITDA Margin 48.31% - - - -
EBIT 88,523 83,383 69,916 52,959 42,618

Microsoft BS

Assets
Fiscal year is July-June. All values USD Millions. 2023 2022 2021 2020 2019
Cash & Short Term Investments 111,262 104,757 130,334 136,527 133,819
Cash Only 34,704 13,931 14,224 13,576 11,356
Cash & Short Term Investments Growth 6.21% -19.62% -4.54% 2.02% -
Cash & ST Investments / Total Assets 27.01% 28.71% 39.05% 45.31% 46.70%
Total Accounts Receivable 48,688 44,261 38,043 32,011 29,524
Accounts Receivables, Net 48,688 44,261 38,043 32,011 29,524
Accounts Receivables, Gross 49,338 44,894 38,794 32,799 29,935
Bad Debt/Doubtful Accounts -650 -633 -751 -788 -411
Accounts Receivable Growth 10.00% 16.34% 18.84% 8.42% -
Accounts Receivable Turnover 4.35 4.48 4.42 4.47 4.25
Inventories 2,500 3,742 2,636 1,895 2,063
Finished Goods 1,768 2,516 1,367 1,112 1,611
Work in Progress 23 82 79 83 53
Raw Materials 709 1,144 1,190 700 399
Other Current Assets 21,807 16,924 13,393 11,482 10,146
Miscellaneous Current Assets 21,807 16,924 13,393 11,482 10,146
Total Current Assets 184,257 169,684 184,406 181,915 175,552
Net Property, Plant & Equipment 109,987 87,546 70,803 52,904 43,856
Property, Plant & Equipment - Gross 178,238 147,206 122,154 96,101 79,186
Buildings 68,465 55,014 43,928 33,995 26,288
Land & Improvements 5,683 4,734 3,660 1,823 1,540
Computer Software and Equipment 74,961 60,631 51,250 41,261 33,823
Other Property, Plant & Equipment 14,783 13,679 12,228 10,269 10,156
Accumulated Depreciation 68,251 59,660 51,351 43,197 35,330
Total Investments and Advances 9,895 6,891 6,027 2,977 2,649
Other Long-Term Investments 9,895 6,891 6,027 2,977 2,649
Long-Term Note Receivable 4,500 3,800 3,400 2,700 2,200
Intangible Assets 77,252 78,822 57,511 50,389 49,776
Net Goodwill 67,886 67,524 49,711 43,351 42,026
Net Other Intangibles 9,366 11,298 7,800 7,038 7,750
Other Assets 5,922 4,582 4,451 4,021 4,987
Tangible Other Assets 5,922 4,582 4,451 4,021 4,987
Total Assets 411,976 364,840 333,779 301,311 286,556
Assets - Total - Growth 12.92% 9.31% 10.78% 5.15% -
Asset Turnover 0.55 - - - -
Return On Average Assets 18.63% - - - -
Liabilities & Shareholders' Equity
All values USD Millions. 2023 2022 2021 2020 2019 5-year trend
ST Debt & Current Portion LT Debt 8,853 6,037 10,825 5,905 7,348
Short Term Debt 2,409 2,228 1,962 1,616 1,515
Current Portion of Long Term Debt 6,444 3,809 8,863 4,289 5,833
Accounts Payable 18,095 19,000 15,163 12,530 9,382
Accounts Payable Growth -4.76% 25.31% 21.01% 33.55% -
Income Tax Payable 4,152 4,067 2,174 2,130 5,665
Other Current Liabilities 73,049 65,978 60,495 51,745 47,025
Dividends Payable 5,054 4,627 4,211 3,861 3,516
Accrued Payroll 11,009 10,661 10,057 7,874 6,830
Miscellaneous Current Liabilities 56,986 50,690 46,227 40,010 36,679
Total Current Liabilities 104,149 95,082 88,657 72,310 69,420
Current Ratio 1.77 1.78 2.08 2.52 2.53
Quick Ratio 1.75 1.75 2.05 2.49 2.5
Cash Ratio 1.07 1.1 1.47 1.89 1.93
Long-Term Debt 70,588 72,363 71,453 76,205 79,107
Long-Term Debt excl. Capitalized Leases 41,990 47,032 50,074 59,578 66,662
Non-Convertible Debt 41,990 47,032 50,074 59,578 66,662
Capitalized Lease Obligations 15,870 13,842 11,750 8,956 6,257
Deferred Taxes -19,730 -13,285 -6,983 -6,201 -7,303
Deferred Taxes - Credit 433 230 198 204 233
Deferred Taxes - Debit 20,163 13,515 7,181 6,405 7,536
Other Liabilities 30,583 30,623 31,483 34,288 35,466
Other Liabilities (excl. Deferred Income) 27,671 27,753 28,867 31,108 30,936
Deferred Income 2,912 2,870 2,616 3,180 4,530
Total Liabilities 205,753 198,298 191,791 183,007 184,226
Total Liabilities / Total Assets 49.94% 54.35% 57.46% 60.74% 64.29%
Common Equity (Total) 206,223 166,542 141,988 118,304 102,330
Common Stock Par/Carry Value 93,718 86,939 83,111 80,552 78,520
Retained Earnings 118,848 84,281 57,055 34,566 24,150
Unrealized Gain/Loss Marketable Securities -3,582 -2,138 3,222 5,478 1,488
Other Appropriated Reserves -2,761 -2,540 -1,400 -2,292 -1,828
Common Equity / Total Assets 50.06% 45.65% 42.54% 39.26% 35.71%
Total Shareholders' Equity 206,223 166,542 141,988 118,304 102,330
Total Shareholders' Equity / Total Assets 50.06% 45.65% 42.54% 39.26% 35.71%
Total Equity 206,223 166,542 141,988 118,304 102,330
Liabilities & Shareholders' Equity 411,976 364,840 333,779 301,311 286,556

Ratios

Use this Excel spreadsheet to compute ratios; show your computations for all ratios on this tab, and also include your commentary.
The 2021 financial statements used to calculate these ratios are available in the Investor Relations sections of apple and Microsoft
Apple Microsoft Interpretation and comparison between the two companies' ratios (reading Chapter 13 will help you prepare the commentary)
5/31/21 12/31/21 The comparison of the ratios is an important part of the project. A good approach is to briefly explain what the ratio tells us. Indicate whether a higher or lower ratio is better. Then compare the two companies on this basis. Remember that each ratio below requires a comparison.
Earnings per Share of Common Stock (basic - common) As given in the income statement $ 3.05 $8.05
Current Ratio Current assets $134,836 = 1.07 $184,406 = 2.08
Current liabilities $125,481 $88,657
Gross Profit Rate Gross profit $152,836 = 41.8% $115,856 = 68.9%
Net sales $365,817 $168,088
Profit Margin Net income $94,680 = 25.9% $61,271 = 36.5%
Net sales $365,817 $168,088
Inventory Turnover Cost of goods sold $212,981 = 40.0 $52,232 23.1
Average inventory $5,321 $2,266
Days in Inventory 365 days 365 = 9 365 = 16
Inventory turnover 40.0 days 23.1 days
Accounts Receivable Turnover Net credit sales $26,278 = 1.2 $38,043 = 1.1
Average net accounts receivable $21,199 $35,797
Average Collection Period 365 days 365 = 294 365 = 343
Accounts receivable turnover 1.2 days 1.1 days
Asset turnover Net sales $365,817 = 1.08 $168,088 = 0.53
Average total assets $337,445 $317,545
Return on Assets (ROA) Net income $94,680 = 28.1% $61,271 = 19.3%
Average total assets $337,445 $317,545
Debt to assets ratio Total Liabilities $287,912 = 82.0% $191,791 = 57.5%
Total Assets $351,002 $333,779
Times-Interest Earned Ratio Net income + interest expense + income tax expense $111,852 = 42.3 73,448 = 31.3
interest expense $2,645 2,346
Dividend Yield Dividend per share of common stock (Yahoo Finance 12/24/2022) $5.61 = 3.3% $8.05 = 3.0%
(Please follow the Course Project instructions to calculate the current dividend yield.) Market price per share of common stock (Yahoo Finance 12/24/2022) $171.21 $271.51
Return on Common Stockholders' Equity (ROE) Net income - preferred dividends 94,680 = 147.4% 61,271 = 43.2%
Average common stockholders' equity 64,214.50 141,988.00
Free cash flow Net cash provided by operating activities minus capital expenditures minus cash dividends = - = $78,505
in thousands
Price-Earnings Ratio Market price per share of common stock as of 5/30/2014 for Nike and 12/31/2014 for Under Armour $171.21 = 31 $271.51 = 34
(Please see the Course Project instructions for the dates to use for this ratio.) Earnings per share $5.61 $8.05