Friday, April 19, 2013
Hi-P : iPhone sales may fall short of expectations (Limtan)
Hi-P’s major customer Apple fell 5.5% last night (bringing its decline since peaking in Sept ’12 to -43%) after one of its key audio chip supplier (Cirrus Logic) reported an inventory glut that suggests iPhone sales may fall short of expectations.
According to several US analysts, Cirrus Logic (Apple accounts for 90% of its sales) which makes sound components for the iPhones and iPads is a good indicator of demand for Apple’s top selling products and they blame Apple for losing its mobility mojo and that there was an inventory over-build for iPhone 5 relative to Apple’s previous forecast.
Cirrus Logic reported 1Q ‘13 sales of US$170mln, below expectations of US$197mln and inventories rose to a record high level.
Apple will be reporting 1Q ‘13 results next week on 23 Apr ’13.
We continue to maintain a Neutral rating on Hi-P.
Publish date: 17/04/13