
Title of each class	Trading symbol(s)	Name of each exchange on which registered
Common Stock, $0.00001 par value per share	AAPL	~~The Nasdaq Stock Market LLC~~
~~1.000% Notes due 2022~~	—	The Nasdaq Stock Market LLC
1.375% Notes due 2024	—	The Nasdaq Stock Market LLC
0.000% Notes due 2025	—	The Nasdaq Stock Market LLC
0.875% Notes due 2025	—	The Nasdaq Stock Market LLC
1.625% Notes due 2026	—	The Nasdaq Stock Market LLC
2.000% Notes due 2027	—	The Nasdaq Stock Market LLC
1.375% Notes due 2029	—	The Nasdaq Stock Market LLC
3.050% Notes due 2029	—	The Nasdaq Stock Market LLC
0.500% Notes due 2031	—	The Nasdaq Stock Market LLC
3.600% Notes due 2042	—	The Nasdaq Stock Market LLC


		Three Months Ended				Six Months Ended					Three Months Ended				Six Months Ended
		March 26, 2022		March 27, 2021		March 26, 2022		March 27, 2021			April 1, 2023		March 26, 2022		April 1, 2023		March 26, 2022
Net sales:	Net sales:									Net sales:
Products	Products	$	77,457	$	72,683	$	181,886	$	168,361	Products	$	73,929	$	77,457	$	170,317	$	181,886
Services	Services	19,821		16,901		39,337		32,662		Services	20,907		19,821		41,673		39,337
Total net sales	Total net sales	97,278		89,584		221,223		201,023		Total net sales	94,836		97,278		211,990		221,223

Cost of sales:	Cost of sales:									Cost of sales:
Products	Products	49,290		46,447		113,599		108,577		Products	46,795		49,290		107,560		113,599
Services	Services	5,429		5,058		10,822		10,039		Services	6,065		5,429		12,122		10,822
Total cost of sales	Total cost of sales	54,719		51,505		124,421		118,616		Total cost of sales	52,860		54,719		119,682		124,421
Gross margin	Gross margin	42,559		38,079		96,802		82,407		Gross margin	41,976		42,559		92,308		96,802

Operating expenses:	Operating expenses:									Operating expenses:
Research and development	Research and development	6,387		5,262		12,693		10,425		Research and development	7,457		6,387		15,166		12,693
Selling, general and administrative	Selling, general and administrative	6,193		5,314		12,642		10,945		Selling, general and administrative	6,201		6,193		12,808		12,642
Total operating expenses	Total operating expenses	12,580		10,576		25,335		21,370		Total operating expenses	13,658		12,580		27,974		25,335

Operating income	Operating income	29,979		27,503		71,467		61,037		Operating income	28,318		29,979		64,334		71,467
Other income/(expense), net	Other income/(expense), net	160		508		(87)		553		Other income/(expense), net	64		160		(329)		(87)
Income before provision for income taxes	Income before provision for income taxes	30,139		28,011		71,380		61,590		Income before provision for income taxes	28,382		30,139		64,005		71,380
Provision for income taxes	Provision for income taxes	5,129		4,381		11,740		9,205		Provision for income taxes	4,222		5,129		9,847		11,740
Net income	Net income	$	25,010	$	23,630	$	59,640	$	52,385	Net income	$	24,160	$	25,010	$	54,158	$	59,640

Earnings per share:	Earnings per share:									Earnings per share:
Basic	Basic	$	1.54	$	1.41	$	3.65	$	3.11	Basic	$	1.53	$	1.54	$	3.42	$	3.65
Diluted	Diluted	$	1.52	$	1.40	$	3.62	$	3.08	Diluted	$	1.52	$	1.52	$	3.41	$	3.62

Shares used in computing earnings per share:	Shares used in computing earnings per share:									Shares used in computing earnings per share:
Basic	Basic	16,278,802		16,753,476		16,335,263		16,844,298		Basic	15,787,154		16,278,802		15,839,939		16,335,263
Diluted	Diluted	16,403,316		16,929,157		16,461,304		17,021,423		Diluted	15,847,050		16,403,316		15,901,384		16,461,304


		Three Months Ended				Six Months Ended					Three Months Ended				Six Months Ended
		March 26, 2022		March 27, 2021		March 26, 2022		March 27, 2021			April 1, 2023		March 26, 2022		April 1, 2023		March 26, 2022
Net income	Net income	$	25,010	$	23,630	$	59,640	$	52,385	Net income	$	24,160	$	25,010	$	54,158	$	59,640
Other comprehensive income/(loss):	Other comprehensive income/(loss):									Other comprehensive income/(loss):
Change in foreign currency translation, net of tax	Change in foreign currency translation, net of tax	(21)		(78)		(381)		471		Change in foreign currency translation, net of tax	(95)		(21)		(109)		(381)

Change in unrealized gains/losses on derivative instruments, net of tax:	Change in unrealized gains/losses on derivative instruments, net of tax:									Change in unrealized gains/losses on derivative instruments, net of tax:
Change in fair value of derivative instruments	Change in fair value of derivative instruments	334		332		696		28		Change in fair value of derivative instruments	(13)		334		(1,001)		696
Adjustment for net (gains)/losses realized and included in net income	Adjustment for net (gains)/losses realized and included in net income	(301)		759		(208)		576		Adjustment for net (gains)/losses realized and included in net income	(191)		(301)		(1,957)		(208)
Total change in unrealized gains/losses on derivative instruments	Total change in unrealized gains/losses on derivative instruments	33		1,091		488		604		Total change in unrealized gains/losses on derivative instruments	(204)		33		(2,958)		488

Change in unrealized gains/losses on marketable debt securities, net of tax:	Change in unrealized gains/losses on marketable debt securities, net of tax:									Change in unrealized gains/losses on marketable debt securities, net of tax:
Change in fair value of marketable debt securities	Change in fair value of marketable debt securities	(5,633)		(1,403)		(6,809)		(775)		Change in fair value of marketable debt securities	1,403		(5,633)		2,303		(6,809)
Adjustment for net (gains)/losses realized and included in net income	Adjustment for net (gains)/losses realized and included in net income	54		(75)		45		(180)		Adjustment for net (gains)/losses realized and included in net income	62		54		127		45
Total change in unrealized gains/losses on marketable debt securities	Total change in unrealized gains/losses on marketable debt securities	(5,579)		(1,478)		(6,764)		(955)		Total change in unrealized gains/losses on marketable debt securities	1,465		(5,579)		2,430		(6,764)

Total other comprehensive income/(loss)	Total other comprehensive income/(loss)	(5,567)		(465)		(6,657)		120		Total other comprehensive income/(loss)	1,166		(5,567)		(637)		(6,657)
Total comprehensive income	Total comprehensive income	$	19,443	$	23,165	$	52,983	$	52,505	Total comprehensive income	$	25,326	$	19,443	$	53,521	$	52,983


		March 26, 2022		September 25, 2021			April 1, 2023		September 24, 2022
ASSETS:	ASSETS:					ASSETS:
Current assets:	Current assets:					Current assets:
Cash and cash equivalents	Cash and cash equivalents	$	28,098	$	34,940	Cash and cash equivalents	$	24,687	$	23,646
Marketable securities	Marketable securities	23,413		27,699		Marketable securities	31,185		24,658
Accounts receivable, net	Accounts receivable, net	20,815		26,278		Accounts receivable, net	17,936		28,184
Inventories	Inventories	5,460		6,580		Inventories	7,482		4,946
Vendor non-trade receivables	Vendor non-trade receivables	24,585		25,228		Vendor non-trade receivables	17,963		32,748
Other current assets	Other current assets	15,809		14,111		Other current assets	13,660		21,223
Total current assets	Total current assets	118,180		134,836		Total current assets	112,913		135,405

Non-current assets:	Non-current assets:					Non-current assets:
Marketable securities	Marketable securities	141,219		127,877		Marketable securities	110,461		120,805
Property, plant and equipment, net	Property, plant and equipment, net	39,304		39,440		Property, plant and equipment, net	43,398		42,117
Other non-current assets	Other non-current assets	51,959		48,849		Other non-current assets	65,388		54,428
Total non-current assets	Total non-current assets	232,482		216,166		Total non-current assets	219,247		217,350
Total assets	Total assets	$	350,662	$	351,002	Total assets	$	332,160	$	352,755

LIABILITIES AND SHAREHOLDERS’ EQUITY:	LIABILITIES AND SHAREHOLDERS’ EQUITY:					LIABILITIES AND SHAREHOLDERS’ EQUITY:
Current liabilities:	Current liabilities:					Current liabilities:
Accounts payable	Accounts payable	$	52,682	$	54,763	Accounts payable	$	42,945	$	64,115
Other current liabilities	Other current liabilities	50,248		47,493		Other current liabilities	56,425		60,845
Deferred revenue	Deferred revenue	7,920		7,612		Deferred revenue	8,131		7,912
Commercial paper	Commercial paper	6,999		6,000		Commercial paper	1,996		9,982
Term debt	Term debt	9,659		9,613		Term debt	10,578		11,128
Total current liabilities	Total current liabilities	127,508		125,481		Total current liabilities	120,075		153,982

Non-current liabilities:	Non-current liabilities:					Non-current liabilities:
Term debt	Term debt	103,323		109,106		Term debt	97,041		98,959
Other non-current liabilities	Other non-current liabilities	52,432		53,325		Other non-current liabilities	52,886		49,142
Total non-current liabilities	Total non-current liabilities	155,755		162,431		Total non-current liabilities	149,927		148,101
Total liabilities	Total liabilities	283,263		287,912		Total liabilities	270,002		302,083

Commitments and contingencies	Commitments and contingencies	0		0		Commitments and contingencies

Shareholders’ equity:	Shareholders’ equity:					Shareholders’ equity:
Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares authorized; 16,207,568 and 16,426,786 shares issued and outstanding, respectively		61,181		57,365
Retained earnings		12,712		5,562
Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares authorized; 15,723,406 and 15,943,425 shares issued and outstanding, respectively						Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares authorized; 15,723,406 and 15,943,425 shares issued and outstanding, respectively	69,568		64,849
Retained earnings/(Accumulated deficit)						Retained earnings/(Accumulated deficit)	4,336		(3,068)
Accumulated other comprehensive income/(loss)	Accumulated other comprehensive income/(loss)	(6,494)		163		Accumulated other comprehensive income/(loss)	(11,746)		(11,109)
Total shareholders’ equity	Total shareholders’ equity	67,399		63,090		Total shareholders’ equity	62,158		50,672
Total liabilities and shareholders’ equity	Total liabilities and shareholders’ equity	$	350,662	$	351,002	Total liabilities and shareholders’ equity	$	332,160	$	352,755


		Three Months Ended				Six Months Ended					Three Months Ended				Six Months Ended
		March 26, 2022		March 27, 2021		March 26, 2022		March 27, 2021			April 1, 2023		March 26, 2022		April 1, 2023		March 26, 2022
Total shareholders’ equity, beginning balances	Total shareholders’ equity, beginning balances	$	71,932	$	66,224	$	63,090	$	65,339	Total shareholders’ equity, beginning balances	$	56,727	$	71,932	$	50,672	$	63,090

Common stock and additional paid-in capital:	Common stock and additional paid-in capital:									Common stock and additional paid-in capital:
Beginning balances	Beginning balances	58,424		51,744		57,365		50,779		Beginning balances	66,399		58,424		64,849		57,365
Common stock issued	Common stock issued	593		561		593		561		Common stock issued	690		593		690		593
Common stock withheld related to net share settlement of equity awards	Common stock withheld related to net share settlement of equity awards	(149)		(135)		(1,412)		(1,236)		Common stock withheld related to net share settlement of equity awards	(281)		(149)		(1,715)		(1,412)
Share-based compensation	Share-based compensation	2,313		2,033		4,635		4,099		Share-based compensation	2,760		2,313		5,744		4,635
Ending balances	Ending balances	61,181		54,203		61,181		54,203		Ending balances	69,568		61,181		69,568		61,181

Retained earnings:
Retained earnings/(Accumulated deficit):										Retained earnings/(Accumulated deficit):
Beginning balances	Beginning balances	14,435		14,301		5,562		14,966		Beginning balances	3,240		14,435		(3,068)		5,562
Net income	Net income	25,010		23,630		59,640		52,385		Net income	24,160		25,010		54,158		59,640
Dividends and dividend equivalents declared	Dividends and dividend equivalents declared	(3,633)		(3,495)		(7,298)		(7,042)		Dividends and dividend equivalents declared	(3,684)		(3,633)		(7,396)		(7,298)
Common stock withheld related to net share settlement of equity awards	Common stock withheld related to net share settlement of equity awards	(190)		(174)		(1,920)		(2,047)		Common stock withheld related to net share settlement of equity awards	(152)		(190)		(1,130)		(1,920)
Common stock repurchased	Common stock repurchased	(22,910)		(19,001)		(43,272)		(43,001)		Common stock repurchased	(19,228)		(22,910)		(38,228)		(43,272)
Ending balances	Ending balances	12,712		15,261		12,712		15,261		Ending balances	4,336		12,712		4,336		12,712

Accumulated other comprehensive income/(loss):	Accumulated other comprehensive income/(loss):									Accumulated other comprehensive income/(loss):
Beginning balances	Beginning balances	(927)		179		163		(406)		Beginning balances	(12,912)		(927)		(11,109)		163
Other comprehensive income/(loss)	Other comprehensive income/(loss)	(5,567)		(465)		(6,657)		120		Other comprehensive income/(loss)	1,166		(5,567)		(637)		(6,657)
Ending balances	Ending balances	(6,494)		(286)		(6,494)		(286)		Ending balances	(11,746)		(6,494)		(11,746)		(6,494)

Total shareholders’ equity, ending balances	Total shareholders’ equity, ending balances	$	67,399	$	69,178	$	67,399	$	69,178	Total shareholders’ equity, ending balances	$	62,158	$	67,399	$	62,158	$	67,399

Dividends and dividend equivalents declared per share or RSU	Dividends and dividend equivalents declared per share or RSU	$	0.22	$	0.205	$	0.44	$	0.41	Dividends and dividend equivalents declared per share or RSU	$	0.23	$	0.22	$	0.46	$	0.44


		Six Months Ended					Six Months Ended
		March 26, 2022		March 27, 2021			April 1, 2023		March 26, 2022
Cash, cash equivalents and restricted cash, beginning balances	Cash, cash equivalents and restricted cash, beginning balances	$	35,929	$	39,789	Cash, cash equivalents and restricted cash, beginning balances	$	24,977	$	35,929

Operating activities:	Operating activities:					Operating activities:
Net income	Net income	59,640		52,385		Net income	54,158		59,640
Adjustments to reconcile net income to cash generated by operating activities:	Adjustments to reconcile net income to cash generated by operating activities:					Adjustments to reconcile net income to cash generated by operating activities:
Depreciation and amortization	Depreciation and amortization	5,434		5,463		Depreciation and amortization	5,814		5,434
Share-based compensation expense	Share-based compensation expense	4,517		4,001		Share-based compensation expense	5,591		4,517
Deferred income tax expense/(benefit)		1,088		(207)

Other	Other	(20)		(474)		Other	(1,732)		1,068
Changes in operating assets and liabilities:	Changes in operating assets and liabilities:					Changes in operating assets and liabilities:
Accounts receivable, net	Accounts receivable, net	5,542		(2,347)		Accounts receivable, net	9,596		5,542
Inventories	Inventories	1,065		(1,226)		Inventories	(2,548)		1,065
Vendor non-trade receivables	Vendor non-trade receivables	643		6,792		Vendor non-trade receivables	14,785		643
Other current and non-current assets	Other current and non-current assets	(3,542)		(4,333)		Other current and non-current assets	(4,092)		(3,542)
Accounts payable	Accounts payable	(1,750)		(1,997)		Accounts payable	(20,764)		(1,750)
Deferred revenue		627		1,642

Other current and non-current liabilities	Other current and non-current liabilities	1,888		3,045		Other current and non-current liabilities	1,757		2,515
Cash generated by operating activities	Cash generated by operating activities	75,132		62,744		Cash generated by operating activities	62,565		75,132

Investing activities:	Investing activities:					Investing activities:
Purchases of marketable securities	Purchases of marketable securities	(61,987)		(74,424)		Purchases of marketable securities	(11,197)		(61,987)
Proceeds from maturities of marketable securities	Proceeds from maturities of marketable securities	18,000		39,605		Proceeds from maturities of marketable securities	17,124		18,000
Proceeds from sales of marketable securities	Proceeds from sales of marketable securities	24,668		21,645		Proceeds from sales of marketable securities	1,897		24,668
Payments for acquisition of property, plant and equipment	Payments for acquisition of property, plant and equipment	(5,317)		(5,769)		Payments for acquisition of property, plant and equipment	(6,703)		(5,317)
Payments made in connection with business acquisitions, net		(167)		(9)

Other	Other	(568)		—		Other	(247)		(735)
Cash used in investing activities		(25,371)		(18,952)
Cash generated by/(used in) investing activities						Cash generated by/(used in) investing activities	874		(25,371)

Financing activities:	Financing activities:					Financing activities:
Payments for taxes related to net share settlement of equity awards	Payments for taxes related to net share settlement of equity awards	(3,218)		(3,160)		Payments for taxes related to net share settlement of equity awards	(2,734)		(3,218)
Payments for dividends and dividend equivalents	Payments for dividends and dividend equivalents	(7,327)		(7,060)		Payments for dividends and dividend equivalents	(7,418)		(7,327)
Repurchases of common stock	Repurchases of common stock	(43,109)		(43,323)		Repurchases of common stock	(39,069)		(43,109)
Proceeds from issuance of term debt, net		—		13,923

Repayments of term debt	Repayments of term debt	(3,750)		(4,500)		Repayments of term debt	(3,651)		(3,750)
Proceeds from commercial paper, net		999		22
Proceeds from/(Repayments of) commercial paper, net						Proceeds from/(Repayments of) commercial paper, net	(7,960)		999
Other	Other	(105)		523		Other	(455)		(105)
Cash used in financing activities	Cash used in financing activities	(56,510)		(43,575)		Cash used in financing activities	(61,287)		(56,510)

Increase/(Decrease) in cash, cash equivalents and restricted cash	Increase/(Decrease) in cash, cash equivalents and restricted cash	(6,749)		217		Increase/(Decrease) in cash, cash equivalents and restricted cash	2,152		(6,749)
Cash, cash equivalents and restricted cash, ending balances	Cash, cash equivalents and restricted cash, ending balances	$	29,180	$	40,006	Cash, cash equivalents and restricted cash, ending balances	$	27,129	$	29,180

Supplemental cash flow disclosure:	Supplemental cash flow disclosure:					Supplemental cash flow disclosure:
Cash paid for income taxes, net	Cash paid for income taxes, net	$	9,301	$	10,276	Cash paid for income taxes, net	$	4,894	$	9,301
Cash paid for interest	Cash paid for interest	$	1,406	$	1,327	Cash paid for interest	$	1,873	$	1,406

The condensed consolidated financial statements include the accounts of Apple Inc. and its wholly owned subsidiaries (collectively “Apple” or the “Company”). Intercompany accounts and transactions have been eliminated. In the opinion of the Company’s management, the condensed consolidated financial statements reflect all adjustments, which are normal and recurring in nature, necessary for fair financial statement presentation. The preparation of these condensed consolidated financial statements and accompanying notes in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported. Actual results could differ materially from those estimates. Certain prior period amounts in the condensed consolidated financial statements and accompanying notes have been reclassified to conform to the current period’s presentation. These condensed consolidated financial statements and accompanying notes should be read in conjunction with the Company’s annual consolidated financial statements and accompanying notes included in its Annual Report on Form 10-K for the fiscal year ended September ~~25, 2021.~~24, 2022.

The Company’s fiscal year is the 52- or 53-week period that ends on the last Saturday of September. An additional week is included in the first fiscal quarter every five or six years to realign the Company’s fiscal quarters with calendar ~~quarters.~~quarters, which occurred in the first fiscal quarter of 2023. The Company’s fiscal years 2023 and 2022 span 53 and ~~2021 span~~ 52 weeks, ~~each.~~respectively. Unless otherwise stated, references to particular years, quarters, months and periods refer to the Company’s fiscal years ended in September and the associated quarters, months and periods of those fiscal years.


		Three Months Ended				Six Months Ended					Three Months Ended				Six Months Ended
		March 26, 2022		March 27, 2021		March 26, 2022		March 27, 2021			April 1, 2023		March 26, 2022		April 1, 2023		March 26, 2022
Numerator:	Numerator:									Numerator:
Net income	Net income	$	25,010	$	23,630	$	59,640	$	52,385	Net income	$	24,160	$	25,010	$	54,158	$	59,640

Denominator:	Denominator:									Denominator:
Weighted-average basic shares outstanding	Weighted-average basic shares outstanding	16,278,802		16,753,476		16,335,263		16,844,298		Weighted-average basic shares outstanding	15,787,154		16,278,802		15,839,939		16,335,263
Effect of dilutive securities	Effect of dilutive securities	124,514		175,681		126,041		177,125		Effect of dilutive securities	59,896		124,514		61,445		126,041
Weighted-average diluted shares	Weighted-average diluted shares	16,403,316		16,929,157		16,461,304		17,021,423		Weighted-average diluted shares	15,847,050		16,403,316		15,901,384		16,461,304

Basic earnings per share	Basic earnings per share	$	1.54	$	1.41	$	3.65	$	3.11	Basic earnings per share	$	1.53	$	1.54	$	3.42	$	3.65
Diluted earnings per share	Diluted earnings per share	$	1.52	$	1.40	$	3.62	$	3.08	Diluted earnings per share	$	1.52	$	1.52	$	3.41	$	3.62


		Three Months Ended				Six Months Ended					Three Months Ended				Six Months Ended
		March 26, 2022		March 27, 2021		March 26, 2022		March 27, 2021			April 1, 2023		March 26, 2022		April 1, 2023		March 26, 2022
iPhone® ~~(1)~~	iPhone® ~~(1)~~	$	50,570	$	47,938	$	122,198	$	113,535	iPhone® ~~(1)~~	$	51,334	$	50,570	$	117,109	$	122,198
Mac® ~~(1)~~	Mac® ~~(1)~~	10,435		9,102		21,287		17,777		Mac® ~~(1)~~	7,168		10,435		14,903		21,287
iPad® ~~(1)~~	iPad® ~~(1)~~	7,646		7,807		14,894		16,242		iPad® ~~(1)~~	6,670		7,646		16,066		14,894
Wearables, Home and Accessories ~~(2)~~	Wearables, Home and Accessories ~~(2)~~	8,806		7,836		23,507		20,807		Wearables, Home and Accessories ~~(2)~~	8,757		8,806		22,239		23,507
Services ~~(3)~~	Services ~~(3)~~	19,821		16,901		39,337		32,662		Services ~~(3)~~	20,907		19,821		41,673		39,337
Total net sales ~~(4)~~	Total net sales ~~(4)~~	$	97,278	$	89,584	$	221,223	$	201,023	Total net sales ~~(4)~~	$	94,836	$	97,278	$	211,990	$	221,223

~~(4)Includes~~December 31, 2022, $3.0 billion of revenue recognized in the three months ended March 26, 2022 that was included in deferred revenue as of December 25, 2021, ~~$2.7~~$5.5 billion of revenue recognized in the ~~three~~six months ended ~~March 27, 2021~~April 1, 2023 that was included in deferred revenue as of ~~December 26, 2020,~~September 24, 2022, and $4.8 billion of revenue recognized in the six months ended March 26, 2022 that was included in deferred revenue as of September 25, ~~2021, and $4.1 billion of revenue recognized in the six months ended March 27, 2021 that was included in deferred revenue as of September 26, 2020.~~2021.

The Company’s proportion of net sales by disaggregated revenue source was generally consistent for each reportable segment in Note 9,10, “Segment Information and Geographic Data” for the three- and six-month periods ended April 1, 2023 and March 26, 2022, ~~and March 27, 2021,~~ except in Greater China, where iPhone revenue represented a moderately higher proportion of net sales.

As of ~~March 26, 2022~~April 1, 2023 and September ~~25, 2021,~~24, 2022, the Company had total deferred revenue of $12.5 billion and ~~$11.9~~$12.4 billion, respectively. As of ~~March 26, 2022,~~April 1, 2023, the Company expects ~~63%~~65% of total deferred revenue to be realized in less than a year, ~~27%~~26% within one-to-two years, 8%7% within two-to-three years and 2% in greater than three years.


		March 26, 2022															April 1, 2023
		Adjusted Cost		Unrealized Gains		Unrealized Losses		Fair Value		Cash and Cash Equivalents		Current Marketable Securities		Non-Current Marketable Securities			Adjusted Cost		Unrealized Gains		Unrealized Losses		Fair Value		Cash and Cash Equivalents		Current Marketable Securities		Non-Current Marketable Securities
Cash	Cash	$	14,298	$	—	$	—	$	14,298	$	14,298	$	—	$	—	Cash	$	20,050	$	—	$	—	$	20,050	$	20,050	$	—	$	—
Level 1 (1):	Level 1 (1):															Level 1 (1):
Money market funds	Money market funds	7,653		—		—		7,653		7,653		—		—		Money market funds	1,656		—		—		1,656		1,656		—		—
Mutual funds	Mutual funds	230		7		(9)		228		—		228		—		Mutual funds	345		5		(26)		324		—		324		—
Subtotal	Subtotal	7,883		7��		(9)		7,881		7,653		228		—		Subtotal	2,001		5		(26)		1,980		1,656		324		—
Level 2 (2):	Level 2 (2):															Level 2 (2):
Equity securities		1,527		—		(1,132)		395		—		395		—
U.S. Treasury securities	U.S. Treasury securities	28,711		2		(1,037)		27,676		2,306		3,554		21,816		U.S. Treasury securities	22,754		1		(1,262)		21,493		9		8,002		13,482
U.S. agency securities	U.S. agency securities	6,561		—		(407)		6,154		251		683		5,220		U.S. agency securities	5,743		—		(538)		5,205		—		199		5,006
Non-U.S. government securities	Non-U.S. government securities	18,868		44		(551)		18,361		25		4,526		13,810		Non-U.S. government securities	17,380		20		(961)		16,439		—		10,222		6,217
Certificates of deposit and time deposits	Certificates of deposit and time deposits	2,872		—		—		2,872		2,221		601		50		Certificates of deposit and time deposits	2,999		—		—		2,999		2,881		118		—
Commercial paper	Commercial paper	2,913		—		—		2,913		1,310		1,603		—		Commercial paper	271		—		—		271		—		271		—
Corporate debt securities	Corporate debt securities	93,057		94		(4,266)		88,885		34		11,309		77,542		Corporate debt securities	82,802		32		(6,049)		76,785		91		11,676		65,018
Municipal securities	Municipal securities	990		1		(22)		969		—		162		807		Municipal securities	790		—		(20)		770		—		257		513
Mortgage- and asset-backed securities	Mortgage- and asset-backed securities	23,613		3		(1,290)		22,326		—		352		21,974		Mortgage- and asset-backed securities	22,438		9		(2,106)		20,341		—		116		20,225
Subtotal	Subtotal	179,112		144		(8,705)		170,551		6,147		23,185		141,219		Subtotal	155,177		62		(10,936)		144,303		2,981		30,861		110,461
Total (3)	Total (3)	$	201,293	$	151	$	(8,714)	$	192,730	$	28,098	$	23,413	$	141,219	Total (3)	$	177,228	$	67	$	(10,962)	$	166,333	$	24,687	$	31,185	$	110,461

September 25, 2021
Adjusted
Cost Unrealized
Gains Unrealized
Losses Fair
Value Cash and
Cash
Equivalents Current
Marketable
Securities Non-Current
Marketable
Securities
Cash $ 17,305 $ — $ — $ 17,305 $ 17,305 $ — $ —
Level 1 (1):
Money market funds 9,608 — — 9,608 9,608 — —
Mutual funds 175 11 (1) 185 — 185 —
Subtotal 9,783 11 (1) 9,793 9,608 185 —
Level 2 (2):
Equity securities 1,527 — (564) 963 — 963 —
U.S. Treasury securities 22,878 102 (77) 22,903 3,596 6,625 12,682
U.S. agency securities 8,949 2 (64) 8,887 1,775 1,930 5,182
Non-U.S. government securities 20,201 211 (101) 20,311 390 3,091 16,830
Certificates of deposit and time deposits 1,300 — — 1,300 490 810 —
Commercial paper 2,639 — — 2,639 1,776 863 —
Corporate debt securities 83,883 1,242 (267) 84,858 — 12,327 72,531
Municipal securities 967 14 — 981 — 130 851
Mortgage- and asset-backed securities 20,529 171 (124) 20,576 — 775 19,801
Subtotal 162,873 1,742 (1,197) 163,418 8,027 27,514 127,877
Total (3)
$ 189,961 $ 1,753 $ (1,198) $ 190,516 $ 34,940 $ 27,699 $ 127,877

Apple Inc. | Q2 2023 Form 10-Q | 7


	September 24, 2022
	Adjusted Cost		Unrealized Gains		Unrealized Losses		Fair Value		Cash and Cash Equivalents		Current Marketable Securities		Non-Current Marketable Securities
Cash	$	18,546	$	—	$	—	$	18,546	$	18,546	$	—	$	—
Level 1 (1):
Money market funds	2,929		—		—		2,929		2,929		—		—
Mutual funds	274		—		(47)		227		—		227		—
Subtotal	3,203		—		(47)		3,156		2,929		227		—
Level 2 (2):
U.S. Treasury securities	25,134		—		(1,725)		23,409		338		5,091		17,980
U.S. agency securities	5,823		—		(655)		5,168		—		240		4,928
Non-U.S. government securities	16,948		2		(1,201)		15,749		—		8,806		6,943
Certificates of deposit and time deposits	2,067		—		—		2,067		1,805		262		—
Commercial paper	718		—		—		718		28		690		—
Corporate debt securities	87,148		9		(7,707)		79,450		—		9,023		70,427
Municipal securities	921		—		(35)		886		—		266		620
Mortgage- and asset-backed securities	22,553		—		(2,593)		19,960		—		53		19,907
Subtotal	161,312		11		(13,916)		147,407		2,171		24,431		120,805
Total (3)	$	183,061	$	11	$	(13,963)	$	169,109	$	23,646	$	24,658	$	120,805

(2)Level 2 fair value estimates are based on observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

(3)As of ~~March 26, 2022~~April 1, 2023 and September ~~25, 2021,~~24, 2022, total marketable securities included ~~$15.4~~$13.1 billion and ~~$17.9~~$12.7 billion, respectively, that were restricted from general use, related to the ~~European Commission decision finding that Ireland granted state aid~~State Aid Decision (refer to ~~the Company,~~Note 5, “Income Taxes”) and other agreements.

The Company may use derivative instruments to partially offset its business exposure to foreign exchange and interest rate risk. However, the Company may choose not to hedge certain exposures for a variety of reasons, including accounting considerations or the prohibitive economic cost of hedging particular exposures. There can be no assurance the hedges will offset more than a portion of the financial impact resulting from movements in foreign exchange or interest rates.

To protect gross margins from fluctuations in foreign currency exchange rates, the Company may enter into forward contracts, option contracts or other instruments, and may designate these instruments as cash flow hedges. The Company generally hedges portions of its forecasted foreign currency exposure associated with revenue and inventory purchases, typically for up to 12 months.

To protect the Company’s foreign currency–denominated term debt or marketable securities from fluctuations in foreign currency exchange rates, the Company may enter into forward contracts, cross-currency swaps or other instruments. The Company designates these instruments as either cash flow or fair value hedges. As of ~~March 26, 2022,~~April 1, 2023, the ~~Company’s hedged~~maximum length of time over which the Company is hedging its exposure to the variability in future cash flows for term debt– ~~and marketable securities–~~related foreign currency transactions ~~are expected to be recognized within 20~~is 19 years.

The Company may also enter into derivative instruments that are not designated as accounting hedges to protect gross margins from certain fluctuations in foreign currency exchange rates, as well as to offset a portion of the foreign currency exchange gains and losses generated by the remeasurement of certain assets and liabilities denominated in non-functional currencies.


		March 26, 2022		September 25, 2021			April 1, 2023		September 24, 2022
Derivative instruments designated as accounting hedges:	Derivative instruments designated as accounting hedges:					Derivative instruments designated as accounting hedges:
Foreign exchange contracts	Foreign exchange contracts	$	65,140	$	76,475	Foreign exchange contracts	$	51,119	$	102,670
Interest rate contracts	Interest rate contracts	$	20,775	$	16,875	Interest rate contracts	$	19,375	$	20,125

Derivative instruments not designated as accounting hedges:	Derivative instruments not designated as accounting hedges:					Derivative instruments not designated as accounting hedges:
Foreign exchange contracts	Foreign exchange contracts	$	110,758	$	126,918	Foreign exchange contracts	$	111,696	$	185,381

The ~~gains and losses recognized in other comprehensive income/(loss) and amounts reclassified~~derivative assets above represent the Company’s gross credit exposure if all counterparties failed to perform. To mitigate credit risk, the Company generally enters into collateral security arrangements that provide for collateral to be received or posted when the net fair values of certain derivatives fluctuate from ~~accumulated other comprehensive income/(loss)~~contractually established thresholds. To further limit credit risk, the Company generally enters into master netting arrangements with the respective counterparties to ~~net income for~~ the Company’s derivative ~~instruments designated as cash flow hedges were not material~~contracts, under which the Company is allowed to settle transactions with a single net amount payable by one party to the other. As of September 24, 2022, the potential effects of these rights of set-off associated with the Company’s derivative contracts, including the effects of collateral, would be a reduction to both derivative assets and derivative liabilities of $7.8 billion, resulting in ~~the three- and six-month periods ended March 26, 2022 and March 27, 2021.~~


		March 26, 2022		September 25, 2021			April 1, 2023		September 24, 2022
Hedged assets/(liabilities):	Hedged assets/(liabilities):					Hedged assets/(liabilities):
Current and non-current marketable securities	Current and non-current marketable securities	$	14,943	$	15,954	Current and non-current marketable securities	$	14,651	$	13,378
Current and non-current term debt	Current and non-current term debt	$	(19,766)	$	(17,857)	Current and non-current term debt	$	(18,249)	$	(18,739)

The Company has considerable trade receivables outstanding with its third-party cellular network carriers, wholesalers, retailers, resellers, small and mid-sized businesses and education, enterprise and government customers. The Company generally does not require collateral from its customers; however, the Company will require collateral or third-party credit support in certain instances to limit credit risk. In addition, when possible, the Company attempts to limit credit risk on trade receivables with credit insurance for certain customers or by requiring third-party financing, loans or leases to support credit exposure. These credit-financing arrangements are directly between the third-party financing company and the end customer. As such, the Company generally does not assume any recourse or credit risk sharing related to any of these arrangements.

The Company has non-trade receivables from certain of its manufacturing vendors resulting from the sale of components to these vendors who manufacture subassemblies or assemble final products for the Company. The Company purchases these components directly from suppliers. As of ~~March 26, 2022,~~April 1, 2023, the Company had 2 three vendors that individually represented 10% or more of total vendor non-trade receivables, which accounted for ~~52%~~43%, 19% and ~~12%~~13%. As of September ~~25, 2021,~~24, 2022, the Company had 3two vendors that individually represented 10% or more of total vendor non-trade receivables, which accounted for ~~52%, 11%~~54% and ~~11%~~13%.


		Three Months Ended				Six Months Ended					Three Months Ended				Six Months Ended
		March 26, 2022		March 27, 2021		March 26, 2022		March 27, 2021			April 1, 2023		March 26, 2022		April 1, 2023		March 26, 2022
Interest and dividend income	Interest and dividend income	$	700	$	718	$	1,350	$	1,465	Interest and dividend income	$	918	$	700	$	1,786	$	1,350
Interest expense	Interest expense	(691)		(670)		(1,385)		(1,308)		Interest expense	(930)		(691)		(1,933)		(1,385)
Other income/(expense), net	Other income/(expense), net	151		460		(52)		396		Other income/(expense), net	76		151		(182)		(52)
Total other income/(expense), net	Total other income/(expense), net	$	160	$	508	$	(87)	$	553	Total other income/(expense), net	$	64	$	160	$	(329)	$	(87)

On August 30, 2016, the European Commission announced its decision that Ireland granted state aid to the Company by providing tax opinions in 1991 and 2007 concerning the tax allocation of profits of the Irish branches of two subsidiaries of the Company (the “State Aid Decision”). The State Aid Decision ordered Ireland to calculate and recover additional taxes from the Company for the period June 2003 through December 2014. Irish legislative changes, effective as of January 2015, eliminated the application of the tax opinions from that date forward. The Company and Ireland appealed the State Aid Decision to the General Court of the Court of Justice of the European Union (the “General Court”). On July 15, 2020, the General Court annulled the State Aid Decision. On September 25, 2020, the European Commission appealed the General Court’s decision to the European Court of Justice and a hearing has been scheduled for May 23, 2023. The Company believes it would be eligible to claim a U.S. foreign tax credit for a portion of any incremental Irish corporate income taxes potentially due related to the State Aid Decision.

The Company issues unsecured short-term promissory notes (“Commercial Paper”) pursuant to a commercial paper program. The Company uses net proceeds from the commercial paper program for general corporate purposes, including dividends and share repurchases. As of ~~March 26, 2022~~April 1, 2023 and September ~~25, 2021,~~24, 2022, the Company had ~~$7.0~~$2.0 billion and ~~$6.0~~$10.0 billion of Commercial Paper outstanding, respectively. The following table provides a summary of cash flows associated with the issuance and maturities of Commercial Paper for the six months ended April 1, 2023 and March 26, 2022 ~~and March 27, 2021~~ (in millions):


		Six Months Ended					Six Months Ended
		March 26, 2022		March 27, 2021			April 1, 2023		March 26, 2022
Maturities 90 days or less:	Maturities 90 days or less:					Maturities 90 days or less:
Proceeds from commercial paper, net		$	4,952	$	2,008
Proceeds from/(Repayments of) commercial paper, net						Proceeds from/(Repayments of) commercial paper, net	$	(5,315)	$	4,952

Maturities greater than 90 days:	Maturities greater than 90 days:					Maturities greater than 90 days:
Proceeds from commercial paper	Proceeds from commercial paper	1,191		1,368		Proceeds from commercial paper	—		1,191
Repayments of commercial paper	Repayments of commercial paper	(5,144)		(3,354)		Repayments of commercial paper	(2,645)		(5,144)
Repayments of commercial paper, net	Repayments of commercial paper, net	(3,953)		(1,986)		Repayments of commercial paper, net	(2,645)		(3,953)

Total proceeds from commercial paper, net		$	999	$	22
Total proceeds from/(repayments of) commercial paper, net						Total proceeds from/(repayments of) commercial paper, net	$	(7,960)	$	999

As of ~~March 26, 2022~~April 1, 2023 and September ~~25, 2021,~~24, 2022, the Company had outstanding ~~floating- and~~ fixed-rate notes with varying maturities for an aggregate carrying amount of ~~$113.0~~$107.6 billion and ~~$118.7~~$110.1 billion, respectively (collectively the “Notes”). As of ~~March 26, 2022~~April 1, 2023 and September ~~25, 2021,~~24, 2022, the fair value of the Company’s Notes, based on Level 2 inputs, was ~~$110.5~~ $98.4 billion and ~~$125.3~~$98.8 billion, respectively.

During the six months ended ~~March 26, 2022,~~April 1, 2023, the Company repurchased ~~266~~262 million shares of its common stock ~~for $43.3 billion~~ under aan authorized share repurchase program ~~authorized by~~for $38.1 billion, excluding excise tax due under the ~~Board~~Inflation Reduction Act of ~~Directors (the “Program”), including 35 million shares delivered under accelerated share repurchase agreements totaling $6.0 billion that were entered into in November 2021.~~2022. The ~~Program~~program does not obligate the Company to acquire a minimum amount of shares. Under the ~~Program,~~program, shares may be repurchased in privately negotiated ~~and/~~or open market transactions, including under plans complying with Rule 10b5-1 under the Securities Exchange Act of 1934, as amended.


		Number of RSUs (in thousands)	Weighted-Average Grant Date Fair Value Per RSU		Aggregate Fair Value (in millions)			Number of RSUs (in thousands)	Weighted-Average Grant Date Fair Value Per RSU		Aggregate Fair Value (in millions)
Balance as of September 25, 2021		240,427	$	75.16
Balance as of September 24, 2022							Balance as of September 24, 2022	201,501	$	109.48
RSUs granted	RSUs granted	76,920	$	149.72			RSUs granted	84,902	$	149.73
RSUs vested	RSUs vested	(62,476)	$	62.86			RSUs vested	(54,795)	$	86.72
RSUs canceled	RSUs canceled	(8,407)	$	95.86			RSUs canceled	(4,671)	$	122.79
Balance as of March 26, 2022		246,464	$	100.84	$	43,062
Balance as of April 1, 2023							Balance as of April 1, 2023	226,937	$	129.76	$	37,422

The fair value as of the respective vesting dates of RSUs was $1.1 billion and $8.0 billion for the three- and six-month periods ended April 1, 2023, respectively, and was $1.0 billion and $9.5 billion for the three- and six-month periods ended March 26, 2022, ~~respectively, and was $867 million and $9.4 billion for the three- and six-month periods ended March 27, 2021,~~ respectively.


		Three Months Ended				Six Months Ended					Three Months Ended				Six Months Ended
		March 26, 2022		March 27, 2021		March 26, 2022		March 27, 2021			April 1, 2023		March 26, 2022		April 1, 2023		March 26, 2022
Share-based compensation expense	Share-based compensation expense	$	2,252	$	1,981	$	4,517	$	4,001	Share-based compensation expense	$	2,686	$	2,252	$	5,591	$	4,517
Income tax benefit related to share-based compensation expense	Income tax benefit related to share-based compensation expense	$	(649)	$	(575)	$	(2,185)	$	(2,199)	Income tax benefit related to share-based compensation expense	$	(620)	$	(649)	$	(1,798)	$	(2,185)

The ~~following table shows changes~~Company has entered into certain off–balance sheet commitments that require the future purchase of goods or services (“unconditional purchase obligations”). The Company’s unconditional purchase obligations primarily consist of supplier arrangements, licensed content and distribution rights. Future payments under noncancelable unconditional purchase obligations with a remaining term in ~~the Company’s accrued warranties and related costs for the three- and six-month periods ended March 26, 2022 and March 27, 2021~~excess of one year as of April 1, 2023, are as follows (in millions):

Three Months Ended Six Months Ended
March 26,
2022 March 27,
2021 March 26,
2022 March 27,
2021
Beginning accrued warranty and related costs $ 3,530 $ 4,124 $ 3,364 $ 3,354
Cost of warranty claims (581) (649) (1,253) (1,372)
Accruals for product warranty 257 309 1,095 1,802
Ending accrued warranty and related costs $ 3,206 $ 3,784 $ 3,206 $ 3,784


2023 (remaining six months)	$	2,263
2024	2,716
2025	2,028
2026	2,602
2027	571
Thereafter	5,897
Total	$	16,077

The Company is subject to various legal proceedings and claims that have arisen in the ordinary course of business and that have not been fully resolved. The outcome of litigation is inherently uncertain. In the opinion of management, there was not at least a reasonable possibility the Company may have incurred a material loss, or a material loss greater than a recorded accrual, concerning loss contingencies for asserted legal and other claims.


		Three Months Ended				Six Months Ended					Three Months Ended				Six Months Ended
		March 26, 2022		March 27, 2021		March 26, 2022		March 27, 2021			April 1, 2023		March 26, 2022		April 1, 2023		March 26, 2022
Americas:	Americas:									Americas:
Net sales	Net sales	$	40,882	$	34,306	$	92,378	$	80,616	Net sales	$	37,784	$	40,882	$	87,062	$	92,378
Operating income	Operating income	$	15,279	$	12,050	$	34,864	$	27,835	Operating income	$	13,927	$	15,279	$	31,791	$	34,864

Europe:	Europe:									Europe:
Net sales	Net sales	$	23,287	$	22,264	$	53,036	$	49,570	Net sales	$	23,945	$	23,287	$	51,626	$	53,036
Operating income	Operating income	$	8,505	$	8,265	$	20,050	$	17,854	Operating income	$	9,368	$	8,505	$	19,385	$	20,050

Greater China:	Greater China:									Greater China:
Net sales	Net sales	$	18,343	$	17,728	$	44,126	$	39,041	Net sales	$	17,812	$	18,343	$	41,717	$	44,126
Operating income	Operating income	$	8,112	$	7,758	$	19,295	$	16,288	Operating income	$	7,531	$	8,112	$	17,968	$	19,295

Japan:	Japan:									Japan:
Net sales	Net sales	$	7,724	$	7,742	$	14,831	$	16,027	Net sales	$	7,176	$	7,724	$	13,931	$	14,831
Operating income	Operating income	$	3,496	$	3,428	$	6,845	$	6,931	Operating income	$	3,394	$	3,496	$	6,630	$	6,845

Rest of Asia Pacific:	Rest of Asia Pacific:									Rest of Asia Pacific:
Net sales	Net sales	$	7,042	$	7,544	$	16,852	$	15,769	Net sales	$	8,119	$	7,042	$	17,654	$	16,852
Operating income	Operating income	$	2,823	$	2,736	$	6,818	$	5,689	Operating income	$	3,268	$	2,823	$	7,119	$	6,818


		Three Months Ended				Six Months Ended					Three Months Ended				Six Months Ended
		March 26, 2022		March 27, 2021		March 26, 2022		March 27, 2021			April 1, 2023		March 26, 2022		April 1, 2023		March 26, 2022
Segment operating income	Segment operating income	$	38,215	$	34,237	$	87,872	$	74,597	Segment operating income	$	37,488	$	38,215	$	82,893	$	87,872
Research and development expense	Research and development expense	(6,387)		(5,262)		(12,693)		(10,425)		Research and development expense	(7,457)		(6,387)		(15,166)		(12,693)
Other corporate expenses, net	Other corporate expenses, net	(1,849)		(1,472)		(3,712)		(3,135)		Other corporate expenses, net	(1,713)		(1,849)		(3,393)		(3,712)
Total operating income	Total operating income	$	29,979	$	27,503	$	71,467	$	61,037	Total operating income	$	28,318	$	29,979	$	64,334	$	71,467

This section and other parts of this Quarterly Report on Form 10-Q (“Form 10-Q”) contain forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, that involve risks and uncertainties. Forward-looking statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact. For example, statements in this Form 10-Q regarding the potential future impact of ~~the COVID-19 pandemic~~macroeconomic conditions on the Company’s business and results of operations are forward-looking statements. Forward-looking statements can also be identified by words such as “future,” “anticipates,” “believes,” “estimates,” “expects,” “intends,” “plans,” “predicts,” “will,” “would,” “could,” “can,” “may,” and similar terms. Forward-looking statements are not guarantees of future performance and the Company’s actual results may differ significantly from the results discussed in the forward-looking statements. Factors that might cause such differences include, but are not limited to, those discussed in Part I, Item 1A of the Company’s Annual Report on Form 10-K for the fiscal year ended September ~~25, 2021~~24, 2022 (the ~~“2021~~“2022 Form 10-K”) under the heading “Risk Factors.” The Company assumes no obligation to revise or update any forward-looking statements for any reason, except as required by law.

Unless otherwise stated, all information presented herein is based on the Company’s fiscal calendar, and references to particular years, quarters, months or periods refer to the Company’s fiscal years ended in September and the associated quarters, months and periods of those fiscal years. Each of the terms the “Company” and “Apple” as used herein refers collectively to Apple Inc. and its wholly owned subsidiaries, unless otherwise stated.

The Company periodically provides certain information for investors on its corporate website, www.apple.com, and its investor relations website, investor.apple.com. This includes press releases and other information about financial performance, information on environmental, social and ~~corporate~~ governance matters, and details related to the Company’s annual meeting of shareholders. The information contained on the websites referenced in this Form 10-Q is not incorporated by reference into this filing. Further, the Company’s references to website URLs are intended to be inactive textual references only.

The Company has historically experienced higher net sales in its first quarter compared to other quarters in its fiscal year due in part to seasonal holiday demand. Additionally, new product and service introductions can significantly impact net sales, cost of sales and operating expenses. The timing of product introductions can also impact the Company’s net sales to its indirect distribution channels as these channels are filled with new inventory following a product launch, and channel inventory of an older product often declines as the launch of a newer product approaches. Net sales can also be affected when consumers and distributors anticipate a product introduction.

~~Total~~Weakness in foreign currencies relative to the U.S. dollar had an unfavorable impact on the Company’s total net sales, ~~increased 9%~~which decreased 3% or ~~$7.7~~$2.4 billion during the second quarter of ~~2022~~2023 compared to the same quarter in ~~2021, driven~~2022. The year-over-year net sales decrease consisted primarily of lower net sales of Mac, partially offset by ~~growth in Services, iPhone and Mac.~~higher net sales of Services.

~~The COVID-19 pandemic has had,~~Macroeconomic conditions, including inflation, changes in interest rates, and ~~continues to~~currency fluctuations, have ~~a significant impact around the world, prompting governments~~directly and businesses to take unprecedented measures, such as restrictions on travel and business operations, temporary closures of businesses, and quarantine and shelter-in-place orders. The COVID-19 pandemic has at times significantly curtailed global economic activity and caused significant volatility and disruption in global financial markets. The COVID-19 pandemic and the measures taken by many countries in response have affectedindirectly impacted, and could in the future materially impact, the Company’s ~~business,~~ results of operations and financial ~~condition, as well as~~condition.


	Three Months Ended						Six Months Ended
	April 1, 2023		March 26, 2022		Change		April 1, 2023		March 26, 2022		Change
Net sales by reportable segment:
Americas	$	37,784	$	40,882	(8)	%	$	87,062	$	92,378	(6)	%
Europe	23,945		23,287		3	%	51,626		53,036		(3)	%
Greater China	17,812		18,343		(3)	%	41,717		44,126		(5)	%
Japan	7,176		7,724		(7)	%	13,931		14,831		(6)	%
Rest of Asia Pacific	8,119		7,042		15	%	17,654		16,852		5	%
Total net sales	$	94,836	$	97,278	(3)	%	$	211,990	$	221,223	(4)	%

The weakness in foreign currencies relative to the U.S. dollar had a net unfavorable year-over-year impact on Europe net sales during the second quarter and first six months of 2023. During the second quarter of ~~2022, aspects~~2023, the Europe net sales increase consisted primarily of higher net sales of iPhone, partially offset by lower net sales of Mac. During the ~~Company’s business continued to be affected~~first six months of 2023, the Europe net sales decrease consisted primarily of lower net sales of Mac, partially offset by ~~the COVID-19 pandemic, with a significant number~~higher net sales of the Company’s employees working remotely and many of the Company’s retail stores operating at limited capacity or temporarily closing at various times. Substantially all of the Company’s other facilities are open, subject to operating restrictions to protect public health and the health and safety of employees. iPhone.

At times, certain of the Company’s outsourcing partners, component suppliers and logistical service providers have experienced disruptions, resulting in supply shortages that could affect sales worldwide. Similar disruptions could occurweakness in the ~~future.~~renminbi relative to the U.S. dollar had an unfavorable year-over-year impact on Greater China net sales during the second quarter and first six months of 2023. During the second quarter and first six months of 2023, the Greater China net sales decrease consisted primarily of lower net sales of iPhone and Mac.

The ~~extent~~weakness in the yen relative to the U.S. dollar had an unfavorable year-over-year impact on Japan net sales during the second quarter and first six months of 2023. During the ~~continuing~~second quarter of 2023, the Japan net sales decrease consisted primarily of lower net sales of iPad, Services and iPhone. During the first six months of 2023, the Japan net sales decrease consisted primarily of lower net sales of Services, Wearables, Home and Accessories and Mac.

The weakness in foreign currencies relative to the U.S. dollar had an unfavorable year-over-year impact on Rest of Asia Pacific net sales during the ~~COVID-19 pandemic on~~second quarter and first six months of 2023. During the ~~Company’s operational~~second quarter and ~~financial performance is uncertain and will depend on many factors outside~~first six months of 2023, the ~~Company’s control, including the timing, extent, trajectory and duration~~Rest of ~~the pandemic, the emergence~~Asia Pacific net sales increase consisted primarily of ~~new variants, the development, availability, distribution and effectiveness~~higher net sales of ~~vaccines and treatments, the imposition~~iPhone, partially offset by lower net sales of ~~protective public safety measures, and the impact of the pandemic on the global economy and demand for consumer products. Refer to Part I, Item 1A of the 2021~~Mac.

Three Months Ended Six Months Ended
March 26,
2022 March 27,
2021 Change March 26,
2022 March 27,
2021 Change
Net sales by category:
iPhone (1)
$ 50,570 $ 47,938 5 % $ 122,198 $ 113,535 8 %
Mac (1)
10,435 9,102 15 % 21,287 17,777 20 %
iPad (1)
7,646 7,807 (2) % 14,894 16,242 (8) %
Wearables, Home and Accessories (1)(2)
8,806 7,836 12 % 23,507 20,807 13 %
Services (3)
19,821 16,901 17 % 39,337 32,662 20 %
Total net sales $ 97,278 $ 89,584 9 % $ 221,223 $ 201,023 10 %

~~(3)~~Services net sales include sales from the Company’s advertising, AppleCare, cloud, digital content, payment and other services. Services net sales also include amortization of the deferred value of services bundled in the sales price of certain products.


	Three Months Ended						Six Months Ended
	April 1, 2023		March 26, 2022		Change		April 1, 2023		March 26, 2022		Change
Net sales by category:
iPhone	$	51,334	$	50,570	2	%	$	117,109	$	122,198	(4)	%
Mac	7,168		10,435		(31)	%	14,903		21,287		(30)	%
iPad	6,670		7,646		(13)	%	16,066		14,894		8	%
Wearables, Home and Accessories	8,757		8,806		(1)	%	22,239		23,507		(5)	%
Services	20,907		19,821		5	%	41,673		39,337		6	%
Total net sales	$	94,836	$	97,278	(3)	%	$	211,990	$	221,223	(4)	%

iPad net sales decreased during the second quarter of ~~2022~~2023 compared to the second quarter of ~~2021~~2022 due primarily to lower ~~net sales of the 10-inch version of iPad, offset by higher~~ net sales of iPad Pro® and iPad ~~mini~~Air®. Year-over-year iPad net sales increased during the first six months of 2023 due primarily to higher net sales of iPad, partially offset by lower net sales of iPad mini®.

Wearables, Home and Accessories net sales were relatively flat during the second quarter of 2023 compared to the second quarter of 2022. Year-over-year Wearables, Home and Accessories net sales decreased during the first six months of ~~2022~~2023 due primarily to lower net sales of ~~the 10-inch version of iPad, partially offset by higher net sales of iPad mini.~~AirPods

The Company manages its business primarily on a geographic basis. The Company’s reportable segments consist of the Americas, Europe, Greater China, Japan and Rest of Asia Pacific. Americas includes both North and South America. Europe includes European countries, as well as India, the Middle East and Africa. Greater China includes China mainland, Hong Kong and Taiwan. Rest of Asia Pacific includes Australia and those Asian countries not included in the Company’s other reportable segments. Although the reportable segments provide similar hardware and software products and similar services, each one is managed separately to better align with the location of the Company’s customers and distribution partners and the unique market dynamics of each geographic region. Further information regarding the Company’s reportable segments can be found in Part I, Item 1 of this Form 10-Q in the Notes to Condensed Consolidated Financial Statements in Note 9, “Segment Information and Geographic Data.”

Three Months Ended Six Months Ended
March 26,
2022 March 27,
2021 Change March 26,
2022 March 27,
2021 Change
Net sales by reportable segment:
Americas $ 40,882 $ 34,306 19 % $ 92,378 $ 80,616 15 %
Europe 23,287 22,264 5 % 53,036 49,570 7 %
Greater China 18,343 17,728 3 % 44,126 39,041 13 %
Japan 7,724 7,742 — % 14,831 16,027 (7) %
Rest of Asia Pacific 7,042 7,544 (7) % 16,852 15,769 7 %
Total net sales $ 97,278 $ 89,584 9 % $ 221,223 $ 201,023 10 %

Japan net sales were flat during the second quarter of 2022 compared to the second quarter of 2021 due primarily to the weakness of the Japanese yen relative to the U.S. dollar, offset by higher net sales of iPhone and Services. Year-over-year Japan net sales decreased during the first six months of 2022 due primarily to the weakness of the Japanese yen relative to the U.S. dollar.

Rest of Asia Pacific net sales decreased during the second quarter of 2022 compared to the second quarter of 2021 due primarily to lower net sales of iPhone, partially offset by higher net sales of Services and Mac. Year-over-year Rest of Asia Pacific net sales increased during the first six months of 2022 due primarily to higher net sales of Services, Mac and Wearables, Home and Accessories. The movement of foreign currencies in Rest of Asia Pacific relative to the U.S. dollar had a net unfavorable impact on Rest of Asia Pacific net sales during the second quarter and first six months of 2022.


		Three Months Ended				Six Months Ended					Three Months Ended				Six Months Ended
		March 26, 2022		March 27, 2021		March 26, 2022		March 27, 2021			April 1, 2023		March 26, 2022		April 1, 2023		March 26, 2022
Gross margin:	Gross margin:									Gross margin:
Products	Products	$	28,167	$	26,236	$	68,287	$	59,784	Products	$	27,134	$	28,167	$	62,757	$	68,287
Services	Services	14,392		11,843		28,515		22,623		Services	14,842		14,392		29,551		28,515
Total gross margin	Total gross margin	$	42,559	$	38,079	$	96,802	$	82,407	Total gross margin	$	41,976	$	42,559	$	92,308	$	96,802


Gross margin percentage:	Gross margin percentage:									Gross margin percentage:
Products	Products	36.4	%	36.1	%	37.5	%	35.5	%	Products	36.7	%	36.4	%	36.8	%	37.5	%
Services	Services	72.6	%	70.1	%	72.5	%	69.3	%	Services	71.0	%	72.6	%	70.9	%	72.5	%
Total gross margin percentage	Total gross margin percentage	43.7	%	42.5	%	43.8	%	41.0	%	Total gross margin percentage	44.3	%	43.7	%	43.5	%	43.8	%

Products gross margin ~~increased~~decreased during the second quarter ~~of 2022 compared to the second quarter of 2021 due primarily to higher Products volume. Year-over-year Products gross margin increased during the~~and first six months of 2023 compared to the same periods in 2022 due primarily to lower Products volume and the weakness in foreign currencies relative to the U.S. dollar, partially offset by a different Products ~~mix and higher Products volume.~~mix.

Products gross margin percentage increased during the second quarter of ~~2022~~2023 compared to the second quarter of ~~2021~~2022 due primarily to ~~improved leverage.~~a different Products mix, partially offset by the weakness in foreign currencies relative to the U.S. dollar. Year-over-year Products gross margin percentage ~~increased~~decreased during the first six months of ~~2022~~2023 due primarily to the weakness in foreign currencies relative to the U.S. dollar, partially offset by a different Products mix.

Services gross margin percentage ~~increased~~decreased during the second quarter and first six months of ~~2022~~2023 compared to the same periods in ~~2021~~2022 due primarily to ~~a different Services mix and improved leverage, partially offset by~~ the weakness in foreign currencies relative to the U.S. ~~dollar.~~dollar and higher Services costs, partially offset by improved leverage.


		Three Months Ended						Six Months Ended							Three Months Ended						Six Months Ended
		March 26, 2022			March 27, 2021			March 26, 2022			March 27, 2021				April 1, 2023			March 26, 2022			April 1, 2023			March 26, 2022
Research and development	Research and development	$	6,387		$	5,262		$	12,693		$	10,425		Research and development	$	7,457		$	6,387		$	15,166		$	12,693
Percentage of total net sales	Percentage of total net sales	7		%	6		%	6		%	5		%	Percentage of total net sales	8		%	7		%	7		%	6		%
Selling, general and administrative	Selling, general and administrative	$	6,193		$	5,314		$	12,642		$	10,945		Selling, general and administrative	$	6,201		$	6,193		$	12,808		$	12,642
Percentage of total net sales	Percentage of total net sales	6		%	6		%	6		%	5		%	Percentage of total net sales	7		%	6		%	6		%	6		%
Total operating expenses	Total operating expenses	$	12,580		$	10,576		$	25,335		$	21,370		Total operating expenses	$	13,658		$	12,580		$	27,974		$	25,335
Percentage of total net sales	Percentage of total net sales	13		%	12		%	11		%	11		%	Percentage of total net sales	14		%	13		%	13		%	11		%

The growth in research and development (“R&D”) expense during the second quarter and first six months of ~~2022~~2023 compared to the same periods in ~~2021~~2022 was driven primarily by increases in headcount-related expenses, engineering program costs and professional services. The Company continues to believe that focused investments in R&D are critical to its future growth and competitive position in the marketplace, and to the development of new and updated products and services that are central to the Company’s core business strategy.expenses.

~~The growth in selling,~~Selling, general and administrative expense ~~during the second quarter of 2022 compared to the second quarter of 2021~~ was driven primarily by increases in advertising, headcount-related expenses and professional services. Year-over-year selling, general and administrative expense increased during the first six months of 2022 due primarily to increases in headcount-related expenses, advertising and variable selling expenses.


		Three Months Ended						Six Months Ended							Three Months Ended						Six Months Ended
		March 26, 2022			March 27, 2021			March 26, 2022			March 27, 2021				April 1, 2023			March 26, 2022			April 1, 2023			March 26, 2022
Provision for income taxes	Provision for income taxes	$	5,129		$	4,381		$	11,740		$	9,205		Provision for income taxes	$	4,222		$	5,129		$	9,847		$	11,740
Effective tax rate	Effective tax rate	17.0		%	15.6		%	16.4		%	14.9		%	Effective tax rate	14.9		%	17.0		%	15.4		%	16.4		%
Statutory federal income tax rate	Statutory federal income tax rate	21		%	21		%	21		%	21		%	Statutory federal income tax rate	21		%	21		%	21		%	21		%

The Company’s effective tax rate for the second quarter of ~~2022~~2023 was lower than the statutory federal income tax rate due primarily to a lower effective tax rate on foreign earnings ~~including~~and the ~~favorable impact of changes in unrecognized tax benefits,~~U.S. federal R&D credit, partially offset by ~~the impact to U.S. foreign tax credits as a result of regulations issued by the U.S. Department of the Treasury in January 2022 (the “Regulations”).~~state income taxes. The Company’s effective tax rate for the first six months of ~~2022~~2023 was lower than the statutory federal income tax rate due primarily to a lower effective tax rate on foreign earnings, ~~including~~ the ~~favorable impact of changes in unrecognized~~U.S. federal R&D credit and tax ~~benefits.~~benefits from share-based compensation, partially offset by state income taxes.

The Company’s effective tax rate for the second quarter of ~~2022~~2023 was ~~higher~~lower compared to the second quarter of ~~2021~~2022 due primarily to the impact toof U.S. foreign tax ~~credits as a result~~credit regulations issued by the U.S. Department of the ~~Regulations, partially offset by~~Treasury in 2022 and a ~~lower effective tax rate on foreign earnings, including the favorable impact of changes in unrecognized tax benefits.~~higher U.S. federal R&D credit. The Company’s effective tax rate for the first six months of ~~2022~~2023 was ~~higher~~lower compared to the same period in ~~2021~~2022 due primarily to the impact toof U.S. foreign tax ~~credits as a result~~credit regulations issued by the U.S. Department of the ~~Regulations~~Treasury in 2022 and a higher U.S. federal R&D credit, partially offset by lower tax benefits from share-based compensation.

The Company utilizes several outsourcing partners to manufacture subassemblies for the Company’s products and to perform final assembly and testing of finished products. The Company also obtains individual components for its products from a wide variety of individual suppliers. Outsourcing partners acquire components and build product based on demand information supplied by the Company, which typically covers periods up to 150 days. As of ~~March 26, 2022,~~April 1, 2023, the Company had manufacturing purchase obligations of ~~$40.6~~$40.5 billion, with ~~$40.5~~$40.1 billion payable within 12 months. The Company’s manufacturing purchase obligations are primarily noncancelable.

In addition to its contractual cash requirements, the Company has aan authorized share repurchase program, ~~authorized by the Board of Directors (the “Program”). As of March 26, 2022,~~under which the remaining availability ~~under the Program~~ was ~~$17.6 billion.~~$22.6 billion as of April 1, 2023. On ~~April 28, 2022,~~May 4, 2023, the Company announced the Board of Directors ~~increased~~had authorized an additional program to repurchase up to $90 billion of the ~~Program authorization by $90 billion.~~Company’s common stock. The ~~Program does~~programs do not obligate the Company to acquire a minimum amount of shares.

On ~~April 28, 2022,~~May 4, 2023, the Company also announced the Board of Directors raised the Company’s quarterly cash dividend from ~~$0.22~~$0.23 to ~~$0.23~~$0.24 per share, beginning with the dividend to be paid during the third quarter of ~~2022.~~2023. The Company intends to increase its dividend on an annual basis, subject to declaration by the Board of Directors.

The preparation of financial statements and related disclosures in conformity with U.S. generally accepted accounting principles and the Company’s discussion and analysis of its financial condition and operating results require the Company’s management to make judgments, assumptions and estimates that affect the amounts reported. Note 1, “Summary of Significant Accounting Policies” of the Notes to condensed consolidated Financial Statements in Part I, Item 1 of this Form 10-Q and in the Notes to Consolidated Financial Statements in Part II, Item 8 of the ~~2021~~2022 Form 10-K describe the significant accounting policies and methods used in the preparation of the Company’s condensed consolidated financial statements. There have been no material changes to the Company’s critical accounting estimates since the ~~2021~~2022 Form 10-K.

Based on an evaluation under the supervision and with the participation of the Company’s management, the Company’s principal executive officer and principal financial officer have concluded that the Company’s disclosure controls and procedures as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) were effective as of ~~March 26, 2022~~April 1, 2023 to provide reasonable assurance that information required to be disclosed by the Company in reports that it files or submits under the Exchange Act is (i) recorded, processed, summarized and reported within the time periods specified in the SEC rules and forms and (ii) accumulated and communicated to the Company’s management, including its principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosure.

There were no changes in the Company’s internal control over financial reporting during the second quarter of ~~2022,~~2023, which were identified in connection with management’s evaluation required by paragraph (d) of Rules 13a-15 and 15d-15 under the Exchange Act, that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

Epic Games, Inc. (“Epic”) filed a lawsuit in the U.S. District Court for the Northern District of California (the “Northern California District Court”) against the Company alleging violations of federal and state antitrust laws and California’s unfair competition law based upon the Company’s operation of its App ~~Store.~~Store®. The Company filed a counterclaim for breach of contract. On September 10, 2021, the Northern California District Court ruled in favor of the Company with respect to nine out of the ten counts included in Epic’s claim, and in favor of the Company with respect to the Company’s claims for breach of contract. The Northern California District Court found that certain provisions of the Company’s App Store Review Guidelines violate California’s unfair competition law and issued an injunction. ~~Epic appealed~~On April 24, 2023, the ~~decision.~~U.S. Court of Appeals for the Ninth Circuit affirmed the Northern California District Court’s ruling. The Company ~~filed a cross-appeal and has been granted a stay pending~~is considering further review of the ~~appeal.~~decision.

The Company is subject to other legal proceedings and claims that have not been fully resolved and that have arisen in the ordinary course of business. The Company settled certain matters during the second quarter of ~~2022~~2023 that did not individually or in the aggregate have a material impact on the Company’s financial condition or operating results. The outcome of litigation is inherently uncertain. If one or more legal matters were resolved against the Company in a reporting period for amounts above management’s expectations, the Company’s financial condition and operating results for that reporting period could be materially adversely affected.

The Company’s business, reputation, results of operations, ~~and~~ financial condition ~~as well as the~~and stock price ~~of the Company’s stock,~~ can be affected by a number of factors, whether currently known or unknown, including those described in Part I, Item 1A of the ~~2021~~2022 Form 10-K under the heading “Risk Factors.” When any one or more of these risks materialize from time to time, the Company’s business, reputation, results of operations, ~~and~~ financial condition ~~as well as the~~and stock price ~~of the Company’s stock,~~ can be materially and adversely affected. There have been no material changes to the Company’s risk factors since the ~~2021~~2022 Form 10-K.


Periods	Periods	Total Number of Shares Purchased	Average Price Paid Per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	Approximate Dollar Value of Shares That May Yet Be Purchased Under the Plans or Programs (1)		Periods	Total Number of Shares Purchased	Average Price Paid Per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	Approximate Dollar Value of Shares That May Yet Be Purchased Under the Plans or Programs (1)
December 26, 2021 to January 29, 2022:
November 2021 ASRs		4,887	(2)		4,887
January 1, 2023 to February 4, 2023:								January 1, 2023 to February 4, 2023:
Open market and privately negotiated purchases	Open market and privately negotiated purchases	43,330	$	170.99	43,330			Open market and privately negotiated purchases	36,980	$	135.21	36,980

January 30, 2022 to February 26, 2022:
February 5, 2023 to March 4, 2023:								February 5, 2023 to March 4, 2023:
Open market and privately negotiated purchases	Open market and privately negotiated purchases	42,895	$	169.71	42,895			Open market and privately negotiated purchases	49,168	$	150.33	49,168

February 27, 2022 to March 26, 2022:
March 5, 2023 to April 1, 2023:								March 5, 2023 to April 1, 2023:
Open market and privately negotiated purchases	Open market and privately negotiated purchases	50,822	$	161.75	50,822			Open market and privately negotiated purchases	43,164	$	155.32	43,164
Total	Total	141,934				$	17,579	Total	129,312				$	22,570

(1)On April 28, ~~2021,~~2022, the Board of Directors authorized the purchase of an additional $90 billion of the Company’s common stock under ~~the Program.~~a share repurchase program. As of ~~March 26, 2022,~~April 1, 2023, total utilization under the April ~~2021~~2022 authorization was ~~$72.4~~$67.4 billion. On ~~April 28, 2022,~~May 4, 2023, the Company announced the Board of Directors ~~increased~~had authorized an additional program to repurchase up to $90 billion of the ~~Program authorization by $90 billion.~~Company’s common stock. The ~~Program does~~programs do not obligate the Company to acquire a minimum amount of shares. Under the ~~Program,~~programs, shares may be repurchased in privately negotiated ~~and/~~or open market transactions, including under plans complying with Rule 10b5-1 under the Exchange Act.

~~(2)~~In November 2021, the Company entered into accelerated share repurchase agreements (“ASRs”) to purchase up to a total of $6.0 billion of the Company’s common stock. In January 2022, the purchase periods for these ASRs ended and an additional 5 million shares were delivered and retired. In total, 35 million shares were delivered under these ASRs at an average repurchase price of $170.01 per share.

Apple Inc. | Q2 2023 Form 10-Q | 20

During the three months ended ~~March 26, 2022,~~April 1, 2023, Katherine L. Adams, Timothy D. Cook, Luca Maestri, Deirdre O’Brien and Jeffrey Williams, each an officer for purposes of Section 16 of the Exchange Act, had equity trading plans in place in accordance with Rule 10b5-1(c)(1) under the Exchange Act. An equity trading plan is a written document that preestablishes the amounts, prices and dates (or formula for determining the amounts, prices and dates) of future purchases or sales of the Company’s stock, including sales of shares acquired under the Company’s employee and director equity plans.

Incorporated by Reference

Exhibit

Number

Exhibit Description

Form

Exhibit

Filing Date/
Period End Date

10.1*

~~2022 Employee Stock Plan.~~

~~8-K~~

~~10.1~~

~~3/4/22~~

10.2*

~~Form of Restricted Stock Unit Award Agreement under 2022 Employee Stock Plan effective as of March 4, 2022.~~

~~8-K~~

~~10.2~~

~~3/4/22~~

10.3*

~~Form of Performance Award Agreement under 2022 Employee Stock Plan effective as of March 4, 2022.~~

~~8-K~~

~~10.3~~

~~3/4/22~~

31.1**

Rule 13a-14(a) / 15d-14(a) Certification of Chief Executive Officer.

31.2**

Rule 13a-14(a) / 15d-14(a) Certification of Chief Financial Officer.

32.1***

Section 1350 Certifications of Chief Executive Officer and Chief Financial Officer.

101**

Inline XBRL Document Set for the condensed consolidated financial statements and accompanying notes in Part I, Item 1, “Financial Statements” of this Quarterly Report on Form 10-Q.

104**

Inline XBRL for the cover page of this Quarterly Report on Form 10-Q, included in the Exhibit 101 Inline XBRL Document Set.


California						94-2404110
(State or other jurisdiction of incorporation or organization)						(I.R.S. Employer Identification No.)

One Apple Park Way
Cupertino, California						95014
(Address of principal executive offices)						(Zip Code)


		Page
Part I
Item 1.	Financial Statements	1
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	14
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	2019
Item 4.	Controls and Procedures	2019
Part II
Item 1.	Legal Proceedings	20
Item 1A.	Risk Factors	20
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	2120
Item 3.	Defaults Upon Senior Securities	21
Item 4.	Mine Safety Disclosures	21
Item 5.	Other Information	21
Item 6.	Exhibits	2221


Due after 1 year through 5 years	$	~~97,603~~81,352
Due after 5 years through 10 years	~~22,899~~11,928
Due after 10 years	~~20,717~~17,181
Total fair value	$	~~141,219~~110,461


	September 24, 2022
	Fair Value of Derivatives Designated as Accounting Hedges		Fair Value of Derivatives Not Designated as Accounting Hedges		Total Fair Value
Derivative assets (1):
Foreign exchange contracts	$	4,317	$	2,819	$	7,136


Derivative liabilities (2):
Foreign exchange contracts	$	2,205	$	2,547	$	4,752
Interest rate contracts	$	1,367	$	—	$	1,367


	April 1, 2023		September 24, 2022
Components	$	3,379	$	1,637
Finished goods	4,103		3,309
Total inventories	$	7,482	$	4,946


	September 25, 2021
	Adjusted Cost		Unrealized Gains		Unrealized Losses		Fair Value		Cash and Cash Equivalents		Current Marketable Securities		Non-Current Marketable Securities
Cash	$	17,305	$	—	$	—	$	17,305	$	17,305	$	—	$	—
Level 1 (1):
Money market funds	9,608		—		—		9,608		9,608		—		—
Mutual funds	175		11		(1)		185		—		185		—
Subtotal	9,783		11		(1)		9,793		9,608		185		—
Level 2 (2):
Equity securities	1,527		—		(564)		963		—		963		—
U.S. Treasury securities	22,878		102		(77)		22,903		3,596		6,625		12,682
U.S. agency securities	8,949		2		(64)		8,887		1,775		1,930		5,182
Non-U.S. government securities	20,201		211		(101)		20,311		390		3,091		16,830
Certificates of deposit and time deposits	1,300		—		—		1,300		490		810		—
Commercial paper	2,639		—		—		2,639		1,776		863		—
Corporate debt securities	83,883		1,242		(267)		84,858		—		12,327		72,531
Municipal securities	967		14		—		981		—		130		851
Mortgage- and asset-backed securities	20,529		171		(124)		20,576		—		775		19,801
Subtotal	162,873		1,742		(1,197)		163,418		8,027		27,514		127,877
Total (3)	$	189,961	$	1,753	$	(1,198)	$	190,516	$	34,940	$	27,699	$	127,877


	March 26, 2022		September 25, 2021
Gross property, plant and equipment	$	109,324	$	109,723
Accumulated depreciation and amortization	(70,020)		(70,283)
Total property, plant and equipment, net	$	39,304	$	39,440


	March 26, 2022		September 25, 2021
Long-term taxes payable	$	20,711	$	24,689
Other non-current liabilities	31,721		28,636
Total other non-current liabilities	$	52,432	$	53,325


Date: ~~April 28, 2022~~May 4, 2023	Apple Inc.

	By:	/s/ Luca Maestri
		Luca Maestri
		Senior Vice President, Chief Financial Officer