cik
stringclasses
1 value
date
stringlengths
8
8
form
stringclasses
4 values
sentenceCount
int64
0
2.33k
sentence
stringlengths
2
5.25k
filename
stringlengths
40
40
0000320193
20071115
10-K
1,036
The Americas segment includes both North and South America.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,037
The Europe segment includes European countries as well as the Middle East and Africa.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,038
The Retail segment operates Apple-owned retail stores in the U.S., Canada, Japan, the U.K. and Italy.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,039
Each reportable geographic operating segment and the Retail operating segment provide similar hardware and software products and similar services.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,040
During 2007, the Company revised the way it measures the Retail Segment's operating results to a manner that is generally consistent with the Company's other operating segments.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,041
Prior period results have been reclassified to reflect this change to the Retail Segment's operating results along with the corresponding offsets to the other operating segments.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,042
Further information regarding the Company's operating segments may be found in Note 9, "Segment Information and Geographic Data" in Notes to Consolidated Financial Statements of this Form 10-K. Americas During 2007, net sales in the Americas segment increased $2.2 billion, or 23%, compared to 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,043
The main sources of this growth were Mac portable products, iMacs, iPods, and the sales of third-party content from the iTunes Store.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,044
Sales of Mac portable products increased due to the popularity of the MacBook, introduced in May 2006 and updated in May 2007, as well as the MacBook Pro, introduced in January 2006 and updated in June 2007.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,045
Sales of iMacs grew due to a shift in desktop product mix away from the Mac mini and discontinued eMac as well as the strong reception of the new iMac introduced in August 2007.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,046
Sales of iPods grew due to increased demand for the iPod nano and iPod shuffle and the introduction of the iPod touch in September 2007.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,047
The Company believes that the growth in iTunes Store sales was the result of heightened consumer interest in downloading digital content and the expansion of third-party audio and video content available for sale via the iTunes Store.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,048
During 2007, the Americas segment represented 48% of the Company's total net sales as compared to 49% in the same period of 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,049
During 2007, U.S. education channel net sales and Mac unit sales increased by 14% and 18%, respectively, compared to 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,050
Net sales from the higher education market grew 17% during 2007 compared to 2006, while net sales in the K-12 market grew 10% during the same period.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,051
During 2006, net sales in the Americas segment increased $2.8 billion, or 41%, compared to 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,052
The primary contributors to this increase were iPods, other music related products and services, Mac portable systems, and APP.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,053
Sales of iPods increased primarily due to the introduction of the updated iPod with video-playing capabilities in October 2005 (now referred to as iPod classic) and the iPod nano during September 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,054
The increase in other music related products and services was due to increases in sales of Apple-branded and third-party iPod accessories and sales from the iTunes Store.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,055
The increase in sales of Mac portable systems in the Americas was due to strong sales of the MacBook and MacBook Pro during 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,056
The overall increase in net sales was partially offset by a decline in net sales of desktops, displays, and Mac OS X.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,057
The decrease in desktop products and displays net sales reflects the overall shift in product mix toward portable Mac systems.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,058
Mac OS X sales decreased from 2005 since the Company had not released a new version of Mac OS X since Tiger began shipping in April 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,059
During 2006, the Americas segment represented 49% of the Company's total net sales as compared to 48% in the same period of 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,060
Europe Europe segment net sales increased $1.4 billion or 33% during 2007 compared to 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,061
Consistent with the Americas segment, the primary drivers of this growth were Mac portable products, iMacs, iPods, and the sales of third-party content from the iTunes Store.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,062
Sales of Mac portable products increased due to the popularity of both the MacBook and MacBook Pro.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,063
Sales of iMacs grew due to a shift in desktop product mix away from the Mac mini and discontinued eMac as well as the strong reception of the new iMac introduced in August 2007.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,064
Sales of iPods grew primarily due to increased demand for the iPod nano and iPod shuffle.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,065
The Company believes that the growth in iTunes Store sales was the result of heightened consumer interest in downloading digital content and the expansion of third-party audio and video content available for sale via the iTunes Store.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,066
Europe segment net sales increased $1.0 billion or 33% during 2006 compared to 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,067
Consistent with the Americas segment, these increases were a result of strong growth in iPod sales, other music related products and services, and Mac portable systems.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,068
Sales of iPods increased primarily due to the introduction of the updated iPod with video-playing capabilities in October 2005 and the iPod nano during September 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,069
The increase in other music related products and services was due to increases in sales of Apple-branded and third-party iPod accessories and sales from the iTunes Store.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,070
The increase in sales of portable systems in Europe was due to strong sales of the MacBook and MacBook Pro that were introduced during 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,071
In addition, Europe also reported increased sales in APP related to the increase in Mac unit sales.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,072
These increases were partially offset by a decrease in desktop and Mac OS X net sales during 2006 compared to 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,073
The decrease in desktop net sales was due to the shift in product mix toward portable Mac systems.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,074
Mac OS X sales have decreased from 2005 since the Company has not released a new version of Mac OS X since Tiger began shipping in April 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,075
Japan Japan's net sales declined by $129 million or 11% in 2007 compared to 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,076
Total Mac unit sales in Japan declined 1% during 2007.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,077
The decrease in the Japan segment's overall net sales was primarily attributable to decreases in iPod and Mac desktop sales, partially offset by an increase in revenue from MacBooks and sales of third-party content from the iTunes Store.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,078
The decline in net sales and Mac unit sales is partially attributable to Japan's declining consumer PC market, and the iPod sales decline is primarily due to lower average selling prices.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,079
The Company is continuing to evaluate ways to improve the future results of its Japan segment.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,080
Japan's net sales increased $287 million or 31% during 2006 compared to 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,081
The Japan segment experienced increased net sales in iPods, Mac portable products, and other music related products and services.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,082
Consistent with the Company's other segments, Japan experienced increases in sales of iPods due to the introduction of the iPod with video-playing capabilities (now referred to as the iPod classic) and the iPod nano in October and September of 2005, respectively.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,083
Japan also experienced strong sales of the Intel-based MacBook and increased sales from the iTunes Store.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,084
These increases were partially offset by decreases in net sales of Mac desktop products, displays, and Mac OS X.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,085
The decreases in desktop products and displays reflect the overall shift in product mix toward portable Mac systems.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,086
Mac OS X sales have decreased from 2005 since the Company had not released a new version of Mac OS X since Tiger began shipping in April 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,087
Total Mac unit sales during 2006 remained relatively flat compared to 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,088
Retail The Company opened 32 new retail stores during 2007, including a total of 5 international stores in the U.K. and Italy, bringing the total number of open stores to 197 as of September 29, 2007.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,089
This compares to 165 open stores as of September 30, 2006 and 124 open stores as of September 24, 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,090
The Retail segment's net sales increased by 27% to $4.1 billion during 2007 compared to 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,091
Retail segment Mac unit sales increased 56% during 2007 as compared to 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,092
With an average of 178 stores open during 2007, average revenue per store was $23.1 million, compared to $22.9 million in 2006 and $21.7 million in 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,093
The current year increase in Retail segment net sales was primarily due to stronger sales of Mac portable products, iMacs, accessories and services.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,094
The increase was partially offset primarily by lower net sales of iPods and other music related products due to the expanded availability of those products through third-party resellers.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,095
The Retail segment's net sales increased by 42% to $3.3 billion during 2006 compared to 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,096
Retail segment Mac unit sales increased 45% during 2006 compared to 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,097
The current year increase was primarily due to strong sales of Mac portable and desktop products, iPods, and other music related products and services.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,098
Sales of iPods increased primarily due to the introduction of the updated iPod with video-playing capabilities in October 2005 and the iPod nano during September 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,099
The increase in other music related products and services was due to increased sales of Apple-branded and third-party iPod accessories.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,100
Mac portable and desktop sales increased due to strong sales of the Intel-based MacBook, MacBook Pro, and iMac.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,101
As measured by the Company's operating segment reporting, the Retail segment reported operating income of $875 million during 2007 as compared to operating income of $600 million and $396 million during 2006 and 2005, respectively.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,102
This improvement in 2007 was primarily attributable to an increase in the Company's overall gross margin percentage.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,103
Expansion of the Retail segment has required and will continue to require a substantial investment in fixed assets and related infrastructure, operating lease commitments, personnel, and other operating expenses.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,104
Capital asset purchases associated with the Retail segment were $294 million in 2007, bringing the total capital asset purchases since inception of the Retail segment to $1.0 billion.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,105
As of September 29, 2007, the Retail segment had approximately 7,900 employees and had outstanding operating lease commitments associated with retail store space and related facilities of $1.1 billion.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,106
The Company would incur substantial costs if it were to close multiple retail stores.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,107
Such costs could adversely affect the Company's financial condition and operating results.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,108
Other Segments The Company's Other Segments, which consists of its Asia Pacific and FileMaker operations, experienced an increase in net sales of $406 million, or 30% during 2007 compared to 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,109
This increase related primarily to a 58% increase in sales of Mac portable products and strong iPod sales in the Company's Asia Pacific region.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,110
During 2006, net sales in Other Segments increased 35% compared to 2005 primarily due to an increase in sales of iPod and Mac portable products.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,111
Strong sales growth was a result of the introduction of the updated iPods featuring video-playing capabilities and the new Intel-based Mac portable products that translated to a 16% increase in Mac unit sales during 2006 compared to 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,112
Gross Margin Gross margin for each of the last three fiscal years are as follows (in millions, except gross margin percentages): Gross margin percentage of 34.0% in 2007 increased significantly from 29.0% in 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,113
The primary drivers of this increase were more favorable costs on certain commodity components, including NAND flash memory and DRAM memory, higher overall revenue that provided for more leverage on fixed production costs and a higher percentage of revenue from the Company's direct sales channels.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,114
The Company anticipates that its gross margin and the gross margins of the personal computer, consumer electronics and mobile communication industries will be subject to pressure due to price competition.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,115
The Company expects gross margin percentage to decline sequentially in the first quarter of 2008 primarily as a result of the full-quarter impact of product transitions and reduced pricing that were effected in the fourth quarter of 2007, lower sales of iLife and iWork in their second quarter of availability, seasonall...
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,116
These factors are expected to be partially offset by higher sales of the Company's Mac OS X operating system due to the introduction of Mac OS X Version 10.5 Leopard ("Mac OS X Leopard") that became available in October 2007.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,117
The foregoing statements regarding the Company's expected gross margin percentage are forward-looking.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,118
There can be no assurance that current gross margin percentage will be maintained or targeted gross margin percentage levels will be achieved.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,119
In general, gross margins and margins on individual products will remain under downward pressure due to a variety of factors, including continued industry wide global pricing pressures, increased competition, compressed product life cycles, potential increases in the cost and availability of raw material and outside ma...
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,120
In response to these competitive pressures, the Company expects it will continue to take pricing actions with respect to its products.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,121
Gross margins could also be affected by the Company's ability to effectively manage product quality and warranty costs and to stimulate demand for certain of its products.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,122
Due to the Company's significant international operations, financial results can be significantly affected in the short-term by fluctuations in exchange rates.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,123
The Company orders components for its products and builds inventory in advance of product shipments.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,124
Because the Company's markets are volatile and subject to rapid technology and price changes, there is a risk the Company will forecast incorrectly and produce or order from third-parties excess or insufficient inventories of particular products or components.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,125
The Company's financial condition and operating results in the past have been and may in the future be materially adversely affected by the Company's ability to manage its inventory levels and outstanding purchase commitments and to respond to short-term shifts in customer demand patterns.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,126
Gross margin percentage of 29.0% in 2006 remained flat compared to 2005.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,127
The Company experienced more favorable pricing on certain commodity components including LCD flat-panel displays and DRAM memory and higher overall revenue that provided for more leverage on fixed production costs, offset by an increase in lower margin iPod sales and other music-related services.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,128
Operating Expenses Operating expenses for each of the last three fiscal years are as follows (in millions, except for percentages): Research and Development ("R&D") Expenditures for R&D increased 10% or $70 million to $782 million in 2007 compared to 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,129
R&D expense does not include capitalized software development costs of $75 million related to the development of Mac OS X Leopard and iPhone.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,130
The increases in R&D expense were primarily due to an increase in R&D headcount in the current year to support expanded R&D activities, partially offset by one less week of expenses in the first quarter of 2007 and the capitalized software development costs mentioned above.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,131
The Company continues to believe that focused investments in R&D are critical to its future growth and competitive position in the marketplace and are directly related to timely development of new and enhanced products that are central to the Company's core business strategy.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,132
As such, the Company expects to increase spending in R&D to remain competitive.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,133
Selling, General, and Administrative Expense ("SG&A") Expenditures for SG&A increased $530 million or 22% during 2007 compared to 2006.
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,134
The increase was primarily due to higher direct and indirect channel variable selling expenses resulting from the significant year-over-year increase in total net sales in 2007, the Company's continued expansion of its Retail segment in both domestic and international markets, and a current year increase in spending on...
0001047469-07-009340/full-submission.txt
0000320193
20071115
10-K
1,135
Other Income and Expense Other income and expense for each of the last three fiscal years are as follows (in millions): Total other income and expense increased $234 million or 64% to $599 million during 2007 as compared to $365 million and $165 million in 2006 and 2005, respectively.
0001047469-07-009340/full-submission.txt