“When I first started raising some questions about Apple last June, the part of the story I kept hammering away at was the way it reports its operating segments. Unlike its competitors, aside from its retail operations, Apple reports operating segments by geography rather than business unit,” Herb Greenberg blogs for MarketWatch.
Greenberg writes, “Considering that Apple is no longer just a personal computer company, I was convinced that after the SEC did a scrub of its accounting recently, one change would more detail on segments by business lines (computers, music and, soon, mobile telephones.)”
“But in two recent 10-Qs, Apple has continued to report segments the way it always has, shedding little light on the profitablity of such businesses as the i-Pod or i-Tunes — something investors ask about repeatedly on earnings conference calls,” Greenberg writes.
Greenberg asks, “Could it be that regulators are giving the company a pass?”
Full article here.