samsung vs apple

Apple Inc.Think Different!

Road MapHistory

Company Profile

Mission , Vision and Goal

Source of revenues

Main Competitor [ Samsung ]

Working Capital

Conclusion

1974

The idea for Apple Computers was

BORN

1976

First Computer was

SOLD

1984

The Macintosh was

INTRODUCED

1985

was dischargedSteve Jobs

1998 1999

Apple introduced all-in-one

the iMacAlso Apple unveiled

the iBook

And the Innovations continue…

Facts About Apple

Best Global Brands 2013

officially bigger than Microsoft ($73.7 billion)

Now, Apple generated revenue of

$74.7billion

Even bigger than the GDP of

100 other countries

Early Galaxy S phones and their software were

Apple Galaxy S

heavily influenced by the iPhone.

Apple Inc.

Company Profile

Vision & Mission

Apple Inc. Current Profile

Name Apple Incorporation

Former CEO Steve Job

New CEO Tim Cook

Revenue $ 74.6 billion (2014)

Area served Worldwide

Headquarter California, United States.

Total number of employees 72,800

Mission Statement"Apple is committed to bringing the best personal computing experience to students, educators, creative professionals and consumers around the world through its innovative hardware, software and Internet offerings." 

Vision Statement

We are “committed” in producing

high quality products and

providing high quality service

thus setting high industry

standards for other competitors.

Code Of Ethics1- suppliers must treat workers fairly and ethically at all times

2- we built environmental responsibility into our products and processes

3- we go deep into our supply chain to enforce our standards and correct problems

Community Involvement

- Minimization on Apple’s carbon foot-print and restricted use of harmful materials [Environmental]

- - They do different special events to increase public awareness about issues [Social]

- - Apple is very involved with its community at its headquarters in Cupertino, California.

Social Responsibility

Environmen

tal

Community Ethical

Sourcingwe work with suppliers to make

sure they’re using

environmentally responsible

manufacturing.

ensuring that the products being

sourced are created in safe

facilities by workers who are

treated well and paid fair wages

Apple is committed to ensuring

the highest standards of social

responsibility wherever our

products are made

Apple Inc.• Goal • Business Strategy

Goal

Our goal, in a nutshell, is to obtain stellar products and

services within tight timeframes, at a cost that

represents the best possible value to our customers

and shareholders.

Apple Products

• Apple Watch, iPad, iPhone & iOS• Mac• Software• iPod & iTunes• iCloud & Apple Pay

APPLE BRAND BUSINESS STRATEGY MODEL

Investing information

•2005-2008 Apple's cash and short-term investments were US$8.3 billion, US$10.1 billion, US$18.45 billion, and US$24.490 billion.

•2009, its cash holdings were US $33.992 billion, increasing to $97 billion at the end of 2011.

• Apples source of revenue by category

• Fiscal Q4 2013

Source of Revenue

Apple’s Inc.Main Competitor[ Samsung ]

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Financial Statements

VS

Working Capital

•working capital=current assets- current liabilities

•Excess of the current assets of a business over its current liabilities.

•An increase in working capital increases or improves a company's short-term solvency

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Working capital for Apple

2014 2013

Total current assets 68,531,000 73,286,000

Total current liabilities 63,448,000 43,658,000

Working capital 5,083,000 29,628,000

working capital =current assets- current liabilities

Working Capital for Samsung

2013 2012Total current assets 110,760,000 87,269,000

Total current liabilities 51,315,000 46,933,000

Working capital 59,445,000 40,336,000

(in billion KRW)

Current ratio

•Current ratio= Current Asset/Current Liabilities

•A liquidity ratio that measures a company’s ability to pay short-term obligations.

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2014 2013 2012

Apple 1.08 1.68 1.50

Quick ratio

• Quick ratio = Quick assets /current liabilities

• Measures the amount of cash, short term equivalents, and accounts receivables that can be used to pay liabilities

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Year 2014 2013

Apple 0.89 1.48

Ratio of Liabilities to Stockholders’ Equity

•A measure of a company's financial leverage

•Debt/Equity Ratio= Total Liability/Shareholder’s Equity

•A higher debt ratio makes it more difficult to borrow money

2014 2013 2012

Apple 1.08 0.68 0.49

Stockholder’s Equity

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Apple’s Stockholder’s Equity 2014

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Earnings per common share

EPS = Net Income – Preferred Dividends Average Number of Common Shares Outstanding

Totals 2014 (Fiscal Year)

2013 (Fiscal Year)

2012 (Fiscal Year)

Revenue 182,795 (m) 170,910 (m) 156,508 (m)

EPS 6.45 5.68 6.31

Dividends 1.376 1.686 0.757

•Net income per share of common stock outstanding during a period.

•An increase in earnings per share is generally considered a favorable trend.

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Apple’s EPS:

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PE Ratio = Market Value per Share  Earnings per Share (EPS)

•Apple’s - Per Share Overview

The P/E is a quick way to look at the valuation of a stock.P/E is most useful in comparing one investment to another.

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Apple’s PE Ratio

Apple Cash Dividend

•Apple reinstated its dividend in 2012, and increased payments by 15% in 2013 and 8% in 2014.

Apple continues to maintain a huge cash balance

2012 Dividend History

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Ex/Eff Date

Type Cash Amount

Declaration Date

Record Date

Payment Date

11/7/2012

Cash 2.65 10/25/2012

11/12/2012

11/15/2012

8/9/2012 Cash 2.65 7/24/2012

8/13/2012

8/16/2012

2013 Dividend History

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Ex/Eff Date

Type Cash Amount

Declaration Date

Record Date

Payment Date

11/6/2013

Cash 3.05 10/28/2013

11/11/2013

11/14/2013

8/8/2013 Cash 3.05 7/23/2013

8/12/2013

8/15/2013

5/9/2013 Cash 3.05 4/23/2013

5/13/2013

5/16/2013

2/7/2013 Cash 2.65 1/23/2013

2/11/2013

2/14/2013

2014 Dividend History

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Ex/Eff Date

Type Cash Amount

Declaration Date

Record Date

Payment Date

11/6/2014 Cash 0.47 10/20/2014

11/10/2014

11/13/2014

8/7/2014 Cash 0.47 7/22/2014 8/11/2014 8/14/2014

5/8/2014 Cash 3.29 4/23/2014 5/12/2014 5/15/2014

2/6/2014 Cash 3.05 1/27/2014 2/10/2014 2/13/2014

2015 Dividend History

Ex/Eff Date

Type Cash Amount

Declaration Date

Record Date

Payment Date

2/5/2015 Cash 0.47 1/27/2015

2/9/2015 2/12/2015

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Share Buyback Program

Does Apple have a share repurchase program?Yes.  Apple’s Board of Directors has authorized a $90 billion share repurchase program that is expected to be completed by the end of calendar 2015.

Share holder’s equity

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Stock SplitDeclared Record Payable Type

Apr 23, 2014 Jun 2, 2014 Jun 9, 2014 7-for-1

Feb 11, 2005 Feb 18, 2005 Feb 28, 2005 2-for-1

Apr 19, 2000 May 19, 2000 Jun 21, 2000 2-for-1

Apr 21, 1987 May 15, 1987 Jun 15, 1987 2-for-1

Impact- Not change anything fundamentally about a company or its valuation

- increases the number of shares outstanding

- lowering the price accordingly

Why?

•Keep Price under $100•More people can buy it then•More $$$ for Apple•It usually means the company is doing good

Short term and Long term investments

All numbers in thousands

2/24/15

Sep 27, 2014

Sep 28, 2013

Sep 29, 2012

Short Term Investments

$11,233,000 $26,287,000 $18,383,000

Long Term Investments

$130,162,000

$106,215,000

$92,122,000

The elements of an annual report [ SEC ]

• Letter to Shareholders• Audited Financial Statements• Management Discussion & Analysis• Annual Meeting Information• Certifications by Auditors & Management

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The contents of the management discussions

• The Management Discussion & Analysis -- or MD&A

• The MD&A mentions performance of individual business units, list risk factors, executive compensation .

• The tone of the MD&A is distinctly different from the Letter to Shareholders.

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Cash Flow Statement All numbers in thousands

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Sep 27, 2014

Sep 28, 2013

Sep 29, 2012

Total Cash Flow From Operating Activities

59,713,000 53,666,000 50,856,000

Total Cash Flow From Investing Activities

-22,579,000 -33,774,000 -48,227,000

Total Cash Flow From Financing Activities

-37,549,000 -16,379,000 -1,698,000

Change In Cash and Cash Equivalent

-415,000 3,513,000 931,000

Sep 27, 2014

Sep 28, 2013

Sep 29, 2012

Property, Plant and Equipme

nt

20,624 16,597 15,452

Intangible Assets

8,758 5,756 5,359

Fixed Assets trend

Intangible Assets

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2013Apple 8,758,000

Samsung 560,534,000

2012Apple 16,597,000

Samsung 573,845,000

including: patents, copyrights,trademarks, and goodwill

Apple Inc.Conclusion

How to THINK DIFFERENT

Conclusion

For more than 35 years apple has been a trends set company able to foresee the future of domestic computers and consumers electronics, it will continue because apple’s others name is innovation and apple know,

Stay Hungry, Stay Foolish.

Think Different

Reference Sources

• http://www.businessinsider.com/15-amazing-facts-about-apple-2010-10?op=1

• http://www.statisticbrain.com/apple-computer-company-statistics/

• http://retailindustry.about.com/od/retailbestpractices/ig/Company-Mission-Statements/Apple-Inc--Mission-Statement.htm

• http://www.statisticbrain.com/apple-computer-company-statistics/

• http://www.microsoft.com/investor/reports/ar12/financial-highlights/index.html

• http://www.marketwatch.com/investing/stock/aapl/financials

• http://www.slideshare.net/marconivr/apple-history

• https://www.apple.com/procurement/

• http://www.forbes.com/sites/csr/2011/08/12/where-is-apples-social-purpose/

• https://sanctusmundo.com/products/ethical-sourcing

• https://www.apple.com/supplier-responsibility/pdf/Apple_SR_2013_Progress_Report.pdf

• http://macapplepod.wikispaces.com/Social+Responsibility

• https://discussions.apple.com/thread/5100552?start=0&tstart=0