Apple India Posts $8 Billion Revenue and $330 Million Profit in FY24

Strong Growth in Revenue and Profit for Apple in India

Apple India has reported impressive financial results for the fiscal year 2024, with substantial growth in both operating revenue and profit. For the fiscal year ending March 2024, the company achieved a 36% increase in operating revenue, surpassing Rs 66,700 crore (approximately $8 billion). This growth is in line with Apple India’s consistent expansion in the country over the past several years.

The company also posted a significant profit of Rs 2,746 crore (approximately $330 million), reflecting a 23% increase compared to the previous fiscal year.

Breakdown of Financial Performance

Apple India’s revenue from operations reached Rs 66,727 crore ($8 billion) in FY24, up from Rs 49,188 crore ($6 billion) in FY23. A breakdown of revenue sources shows:

• Product Sales: Revenue from the sale of products grew by 36.53% to Rs 63,297 crore ($7.6 billion), accounting for 94.86% of the total revenue.
• Service Sales: Service-related income also grew by 21.41% to Rs 3,430 crore ($413 million), contributing 5.14% to the overall revenue.
• Non-Operating Income: The company earned an additional Rs 393 crore ($47 million) from non-operating sources, bringing the total revenue to Rs 67,121 crore ($8.1 billion).

Expenses and Cost Management

On the expense side, Apple’s costs were mainly driven by material costs, which made up 84.6% of total expenses. Material costs grew by 34.87% to Rs 53,658 crore ($6.4 billion). Other key expenses included:

• Employee Benefit Expenses: Increased by 18.22% to Rs 2,599 crore ($313 million).
• Advertising Expenses: Rose sharply by 61.22% to Rs 728.7 crore ($87 million).
• License Fees: The royalty payments to Apple Global more than doubled to Rs 4,490 crore ($540 million).
• Warranty Claims: Amounted to Rs 374.2 crore ($45 million).

Overall, Apple India’s total expenses rose by 36.5% to Rs 63,397 crore ($7.6 billion) in FY24.

Profit and Financial Health

Despite the increase in expenses, Apple India was able to improve its profitability. The company’s profit after tax (PAT) grew by 23% to Rs 2,745.7 crore ($330 million), up from Rs 2,229.6 crore ($268 million) in FY23.

Apple India’s Return on Capital Employed (ROCE) stood at an impressive 71.96%, and its EBITDA margin was 6.43%. The company’s financial health remains robust, with Rs 2,912 crore ($350 million) in cash and bank balances, and Rs 13,551 crore ($1.6 billion) in current assets at the end of FY24.

Expansion and Strategic Moves

Apple continues to strengthen its operations in India, recently establishing a wholly owned subsidiary, Apple Operations India, to deepen its presence. Additionally, Tata Group has acquired a 60% majority stake in Pegatron’s iPhone manufacturing facility in Tamil Nadu, reinforcing Apple’s local manufacturing capabilities. In a move earlier this year, Tata also acquired a 100% stake in Wistron India, positioning itself as a significant supplier for Apple alongside Taiwan’s Foxconn.