[sworthy]

I'm currently in a financial statements analysis class and with today's 10-K release I've updated some graphs that I thought others might like to see without digging through a financial document. Let me know if you have any questions.

[macintologist]

Nice graphs!!

I have a suggestion. Make the year 2000 be on the left and the year 2004 on the right hand side. That way the progression by year looks more linear (left to right), unless of course you are Israeli or Arab

[sworthy]

oops. good find. In financial statements the current year is typically furthest left, mistake of habit I guess. I'll be sure to fix that before I turn it in next week.

[macintologist]

Oh, do whatever you have to do to make it look best for turning in for class or a course or something. But for MacNN non-financial junkies like me it looks best to have the latest year on the right hand side

[SafariX]

So the bars and lines, what do they all MEAN?

[moonmonkey]

Originally posted by SafariX:
So the bars and lines, what do they all MEAN?

They mean everythings going to be alright.

[rozwado1]

Step One: Steal Underpants
Step Two: ...
Step Three: Profits!

[ManOfSteal]

Purty.

[MacGorilla]

Whoah...grooooooovy!

[macintologist]

oops double post

[dreilly1]

Originally posted by SafariX:
So the bars and lines, what do they all MEAN?

One thing it means: Apple is selling a metric shitload of iPods.

Another thing it means is that if Apple never got into the iPod or music business, they wouln't be nearly as profitable. (I'll bet that the iPod line, even with its lower margins, is providing at least half of the company's profit.)

edit: got my math wrong, sorry...

[sworthy]

Yea, the two things that are driving growth right now are iPods and the retail stores. However, the iPod brought in less revenues than either the powerbook or powermac last year (though the iPod will certainly bring in the most next year).

The graph that scared me the most was the net profit with the stock option expense. Basically, with current accounting rules, a company's "net profit" does not have to include stock option expenses (such as Jobs' $74 million). The red bar represents Apple's profits if they had expensed stock options, which is something all companies will have to do in the future. If you look at it that way, 2004 was the first year Apple has been profitable since 2000.

[E's Lil Theorem]

Originally posted by sworthy:
...
The graph that scared me the most was the net profit with the stock option expense. Basically, with current accounting rules, a company's "net profit" does not have to include stock option expenses (such as Jobs' $74 million). The red bar represents Apple's profits if they had expensed stock options, which is something all companies will have to do in the future. If you look at it that way, 2004 was the first year Apple has been profitable since 2000.

But, FASB nor the gov't know exactly how they want to treat options yet. However, in the near future (most likely 2005), options will have to be treated as an expense somehow and most tech companies like Apple will take a hit on their profits (or increase losses).

Now, if you're a company like Microsoft and have a Gizillion dollars and thus can afford to give your employees (essentially outright) stock, you don't have to worry about these upcoming rules as much. Ah, so nice to be rich.

BTW, nifty graphs.

[olePigeon]

You can tell from the graphs that the iPod is a sure loser. Who the hell would pay $400 for a MP3 player?

[SafariX]

Originally posted by olePigeon:
You can tell from the graphs that the iPod is a sure loser. Who the hell would pay $400 for a MP3 player?

[spiky_dog]

nice graphs. before you turn it in fix "segement" vs. "segment" in the last one tho.

[sworthy]

Originally posted by spiky_dog:
nice graphs. before you turn it in fix "segement" vs. "segment" in the last one tho.

Damn excel and it not spell checking

Thanks though

[ReggieX]

Originally posted by olePigeon:
You can tell from the graphs that the iPod is a sure loser. Who the hell would pay $400 for a MP3 player?

Not me, brother! Zen Xtra all the way!

[MrForgetable]

no i'd rather have the super 100 dollar pencil shaped 64mb mp3 player with buttons i cannot accurataely program and an LCD screen that shows only how loud the speakers are going.

[juanvaldes]

Don't you have a weeding to plan?

...some people and free time...seesh...

[sworthy]

Originally posted by juanvaldes:
Don't you have a weeding to plan?

...some people and free time...seesh...

This way I have excel templates in place to calculate the wedding expenses!

Though I wouldn't have had to worry at all if I got in early on this:

[turtle777]

Originally posted by sworthy:
Damn excel and it not spell checking

Rrrright. Blame it on M$ and Steve B.

For the rest of us: Excel spell-check is just one button away !

-t

[sworthy]

true, but it doesn't (or I at least don't think) underline misspellings as you type. See, they're not consistent! It's not my fault

[wataru]

Two things that jumped out at me were:
1. iPod sales boom, as others have pointed out, and
2. iMac sales seem to have suffered the most. I suppose the iMac G5 hasn't had much time to affect these numbers though.

[macintologist]

They really need to cut the price on iMacs and make it priced as a consumer and not a prosumer machine which is what it is now.