Apple will not meet its March revenue guidance due to Covid-19
Apple will not meet its March revenue guidance due to Covid-19
Apple announced that it does not expect to meet the revenue guidance for the March quarter due to the Covid-19 outbreak.
The company states that worldwide iPhone supply will be temporarily constrained as its facilities in China are ramping up more slowly than it had anticipated. As a result, the supply shortages will temporarily affect revenues worlwide.
In addition, demand for its products in China has been affected significantly. Many of its stores in China, which include partner stores, have been closed in the past several weeks. Stores that have reopened are operating at reduced hours and customer traffic is said to be very low.
This is the second time in two years that Apple issued a warning on its earnings guidance. In January 2019, Apple informed investors of weaker-than-expected Q1 earnings due to fewer iPhone upgrades.
Source: Apple