“Prior to implementing a dividend and share buyback plan, Apple had accumulated about $120 billion in cash and marketable securities,” Horace Dediu writes for Asymco.
“In the eight quarters since implementing the cash return plan, Apple has paid about $21.5 billion in dividends and spent another $53 billion of its shareholder’s money buying its own shares and retiring them,” Dediu writes. “That’s $74.5 billion in cash that’s been removed from its balance sheet. To avoid some repatriation taxes it also borrowed about $29 billion. Of course, in the meantime, it also generated cash from operations.”
“What would have happened if Apple had not paid any dividends, bought back shares and taken on debt?” Dediu writes. Apple would have “about $210 billion today.”
Read more and check out the chart in the full article here.
MacDailyNews Note: As of June 28, 2014, Apple had $164.5 billion in cash plus marketable securities, a sequential increase of $13.9 billion.