Wednesday, Aug 04, 2021, 16:41 Economy

Apple – The Most Profitable Company In The World

Apple's resurrection after the company almost collapsed in the 90s is one of the greatest success stories in the history of business. Few still remember the days almost 25 years ago when the company was only a few weeks away from complete insolvency. Had the company ended up getting sold to Sun in 1996 as planned, the brand "Apple" would have ceased to exist due to its low value. A quick look at the current "Fortune Global 500" reveals an entirely different scenario. Only 5 other companies have more sales than Apple – although none of them makes more profit.

Sales: 6th Place – Profit: No Contest
In terms of sheer sales volume, Walmart, State Grid, Amazon, China National Petroleum, and Sinopec lead the pack. First place averages out to US$524 billion in sales per year. At 6th place, Apple's yearly sales volume is US$260 billion. However, the ranking list looks quite different when sorted per profit. When sorted per profit, Walmart only places 27th – and Apple is far ahead of the rest at 1st. Cupertino's healthy profit margins make out US$57.4 billion in comparison to Walmart's US$13 billion.

advertising


advertising



The 5 most profitable companies in the world.


Comparing Apple and Microsoft
Microsoft also does quite well for itself in the list. Although the Redmond-based company only manages to make it to 33rd place in terms of sales – Microsoft ranks 5th place in terms of pure profit. When comparing other data from the company to Apple, the Windows developer shows strong sales figures and profit margin growth and also employs 16,000 more employees than Apple (163,000 vs. 147,000). On the other end of the spectrum, Walmart employs 2.3 million individuals and Amazon – 1.3 million. Microsoft has been on Fortune 500's list for 24 years, Apple, however, for only 19 – due to the company's rough patch in the 90s.

About The Global 500
The Fortune 500 list of the world's largest companies has existed since 1995 and the "Fortune Global 500" list (referenced in this article) has existed since 1990. Fortune also mentions another interesting statistic – the 500 companies in the lineup account for more than a third of the gross world product. In comparison to last year, the total sales volume shrank by 5%, largely due to the worldwide coronavirus pandemic.

More mtech.news articles you might enjoy to read: