Apple CFO Luca Maestri to Step Down, Kevin Parekh to Succeed

Apple CFO Luca Maestri Steps Down: What’s Next for the Tech Giant?

Maestri’s Transition: A New Role Ahead

Apple's chief financial officer (CFO) Luca Maestri is set to transition from his role at the beginning of next year. While he will step down as CFO, he will continue to contribute to the company by heading the corporate services team, where his responsibilities will include overseeing information systems and technology, information security, and real estate and development.

A Journey Through Apple's Financial Landscape

Joining Apple in 2013 after a successful tenure as Xerox's CFO, Maestri was promoted to CFO within a year, succeeding Peter Oppenheimer. When he took the helm, Apple's annual revenue stood at a staggering $183 billion. Under his financial stewardship, this figure soared to $383 billion last year, demonstrating a remarkable trajectory of growth.

Record-Breaking Share Repurchase Programs

Recently, Apple announced an expansion of its share repurchase program to an unprecedented amount of $90 billion, which Maestri will oversee. This amount was later increased to $110 billion, breaking Apple’s own record of $100 billion. This expansion is significant as it reflects Apple's strong financial performance and commitment to returning value to shareholders.

Revenue Growth Amidst Challenges

Despite facing a decline in sales for key products like iPhones and iPads, Apple reported a 14% growth in service revenue. This resilience in revenue streams underscores Maestri's emphasis on diversification and financial discipline. Apple stated, "Maestri enabled essential investments and practiced robust financial discipline, which together helped the company more than double its revenue, with services revenue growing more than five times." This strategic focus on services has become a crucial element of Apple's revenue model.

Kevan Parekh: The New Financial Leader

With the announcement of Maestri's departure, Apple has appointed Kevan Parekh, the vice president of financial planning and analysis, as the new CFO of the company, now valued at $3 trillion. Parekh brings over 11 years of experience within Apple and has also held senior leadership roles at notable companies like Thomson Reuters and General Motors. His experience is expected to ensure a seamless transition in managing Apple's financial operations.

CEO Tim Cook's Praise for Maestri

Apple CEO Tim Cook lauded Maestri’s contributions, stating, "Luca has been an extraordinary partner in managing Apple for the long term. He has been instrumental in improving and driving the company’s financial performance, engaging with shareholders, and instilling financial discipline across every part of Apple." His legacy at Apple is marked by significant growth and enhanced financial frameworks.

Shaking Things Up: Changes Beyond Finance

In addition to the finance department shake-up, Apple is making structural changes in its operations. Recently, the company announced the restructuring of its App Store division, with vice president Matt Fischer stepping down after more than a decade in the role. These leadership changes signify a pivotal moment in Apple's strategy as it prepares for future growth.

Conclusion

As Apple undergoes this transition, the effects of Maestri's leadership will be felt for years to come, with notable financial milestones achieved under his guidance. With new leadership on the horizon, stakeholders and investors will be watching closely to see how the company navigates the next chapters of its storied history.

For more updates on Apple and its leadership changes, stay tuned to our latest articles.