Search

Apple iPhone partner Foxconn's February revenue tanks on slowdown caused by coronavirus outbreak - CNBC

Chinese workers assemble electronic components at the Taiwanese technology giant Foxconn's factory in Shenzhen, China.

AFP | AFP | Getty Images

Apple supplier Foxconn said Thursday that its February revenue fell 18.13% to NT 216 billion (approximately $7.26 billion), the largest year-over-year drop since March 2013 when it fell more than 19%. Revenue fell 40.35% month over month.

Foxconn cut production in China over fears of the fast-spreading coronavirus outbreak. The company said Tuesday that output has returned to 50% of capacity but that it expects to be back to full seasonal capacity by the end of March.

Apple is expected to announce a new low-cost iPhone sometime this spring, possibly named the iPhone SE2. Foxconn is Apple's main iPhone manufacturer. Other Apple suppliers have also reported weakness due to the novel virus. 

Qorvo, a radio frequency chip supplier for Apple's iPhones, lowered its fourth-quarter revenue expectations to $770 million on Tuesday, down from its predicted range of $800 million to $840 million in late January.

In mid-February, Apple said it didn't expect to meet its quarterly revenue forecast due to lower iPhone supply globally and weak Chinese demand. 15% of its revenue comes from the region. Apple previously predicted net sales of $63 billion to $67 billion for its fiscal second quarter, though it didn't provide a new forecast. 

Apple CEO Tim Cook said on Feb. 28 he believes that China is getting coronavirus under control. "When you look at the parts that are done in China, we have reopened factories, so the factories are working through the conditions to open. They're reopening," he said. 

- CNBC's Lauren Feiner contributed to this report. 

Subscribe to CNBC on YouTube.

Let's block ads! (Why?)


https://www.cnbc.com/2020/03/05/coronavirus-apple-iphone-partner-foxconn-february-revenue-down.html

2020-03-05 15:40:00Z
CAIiEMiaPgMXZ0tK0ufHpjRMZcAqGQgEKhAIACoHCAow2Nb3CjDivdcCMMPf7gU

Bagikan Berita Ini

0 Response to "Apple iPhone partner Foxconn's February revenue tanks on slowdown caused by coronavirus outbreak - CNBC"

Post a Comment

Powered by Blogger.