Apple Cork 40th Anniversary Campus ExteriorSource: Apple

What you need to know

  • Apple has filed its accounts for its Cork-based Irish subsidiary.
  • Numbers show Apple's pre-tax profit fell by 19% to $33.8 billion last year.
  • The drop comes in spite of increasing revenues because of a huge increase in R&D spending.

New filings for Apple's Cork-based subsidiary in Ireland have revealed a fall in pre-tax profits of 19% to $33.8 billion, despite an increase in revenue.

From RTE

Pre-tax profits at an Irish-based Apple business last year decreased by 19% to $33.8 billion (€28 billion), new figures show today.

Apple Operations International Ltd's (AOI) daily pre-tax profits of $92.6m (€76.9m) for the 12 months to September 26 are revealed in new accounts filed with the Companies Office.

The drop in pre-tax profit came in spite of revenues increasing by 5% from $140.99 billion to $148.16 billion for the 12 month period.

The biggest reason for the drop is apparently a huge increase in Research & Development spending which more than doubled from $7.59 billion to $15.48 billion.

The figures show Apple's dividend payments last year fell to $81.5 billion, down from 2019's $196.7 billion. The figures also reportedly show that Apple paid $6.14 billion in tax last year "across a number of countries where Apple operates", not including US taxes.

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AOI reportedly employs 51,125 people, some 6,000 of which are based in Ireland. As the report notes Apple was not previously required to file accounts under Irish law, but an EU directive from FY 2018 has seen accounts filed since.

At its Q2 earnings call in April, Apple posted revenue of $89.6 billion, smashing even the most bullish of analyst estimates in another bumper quarter for the company.