Another Supplier Just Cut Its Apple Sales Forecast
(Bloomberg) -- Cirrus Logic Inc. joined a growing list of Apple Inc. suppliers in cutting its revenue forecast for the holiday quarter.
The Austin, Texas-based chipmaker cited "recent weaknesses in the smartphone market" in reducing sales projections for the current quarter to a range of $300 million to $340 million. That's down from the $360 million to $400 million Cirrus projected on Nov. 1 and compares with the average analyst estimate of $367 million, according to data compiled by Bloomberg. The stock fell as much as 9.2 percent in extended trading.
Cirrus, which makes audio chips used in the iPhone, is one of the most heavily exposed suppliers to Apple. The Cupertino, California-based company accounted for about 82 percent of Cirrus net sales in the second quarter of its latest fiscal year, according to a recent regulatory filing.
"If you compare that with other Apple suppliers that have cut guidance, it's in line with a lot of them," said Woo Jin Ho, a senior analyst with Bloomberg Intelligence. The lowered guidance suggests a reduction in iPhone unit output of about 10 million to 14 million units, he said.
Broadcom Inc., another major Apple supplier, reports earnings on Thursday.
Read about other Apple suppliers cutting their forecasts recently.
To contact the reporter on this story: Jeran Wittenstein in San Francisco at jwittenstei1@bloomberg.net
To contact the editors responsible for this story: Catherine Larkin at clarkin4@bloomberg.net, Alistair Barr, Andrew Pollack
©2018 Bloomberg L.P.
-
High US Salaries, No Green Card Certainty: The Financial Calculation Facing Indian H-1B Families
The suspension of PERM processing at eight technology employers does not cancel existing H-1B visas. What it does is force a question many Indian families have been avoiding: is the US salary worth tying your career and family plans to one employer?
-
Swiggy vs Eternal: Food Delivery's Two Rivals Are No Longer In The Same Race
Eternal is building a private AI assistant, dark.ai. Swiggy is still working out how to make Instamart pay, with an operating loss of Rs 895 crore in the July-September quarter while Blinkit stayed profitable.
-
Where You Live Shapes How You Get To Work | The Reason Why
Two-wheelers are the most popular way to get to work in India, accounting for nearly 43% of workplace commutes.
-
Unhedged Position: Can India See An Indonesia-Style Time Correction?
The Nifty is trading below levels it first clocked in 2024. Is there, then, as I have suggested in the headline, potential that the current time correction drags on painfully for the next three-five, even ten years?
-
Navigating Friction And Energy Realities: An Analysis Of Marco Rubio's October Visit To India
Occurring at a critical juncture marked by stalled trade negotiations and escalating geopolitical pressures over global energy supplies, the visit offers a profound window into modern US-India relations.
-
India Exports Capital. Why Not Export Trusteeship?
The big question, then, is whether India can build an institution that global borrowers, investors, banks, and lawyers can trust, even without an Indian connection.
-
France's Economy & Politics Are In Crisis | The Reason Why
Let's look at how the French economy and politics evolved under Nicolas Sarkozy, Franois Hollande and Emmanuel Macron.
-
You May Inherit The Business. You Must Earn Its Credibility.
Succession tests the founder's ability to share authority as much as it tests the next generation's readiness to assume it.
-
Signing Deals Is One Thing; Making Them Work Is Another | The Week In Whys
Sometimes, things don't turn out as planned. Indian companies have lost some bids to rivals, some projects won't produce until 2030.
-
FOMC Wall, PERM Suspension, Hospital Stocks | Talking Points This Week
A PERM suspension would directly affect green-card sponsorship rather than H-1B visas, so the near-term earnings impact could remain relatively limited. The key question is whether this marks a new phase in US scrutiny of Indian IT.
