Apple will pay even more for memory in the September quarter than it did in the June quarter, CEO Tim Cook told analysts on the company's earnings call on July 30, after memory costs accounted for more than the entire sequential decline in Apple's adjusted gross margin. Cook, speaking from Cupertino on his final call before John Ternus takes over as CEO, called the market "a hundred-year flood on the memory pricing." Apple's consolidated financial statements for the quarter ended June 27 put inventories at $11.09 billion, up 87% year over year, with $5.46 billion of cash consumed building that position over nine months. CFO Kevan Parekh said the benefit Apple gets from that carry-in inventory shrinks after September.
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