Apple Inc.
AAPL,
supplier ON Semiconductor Corp.
SURE,
Friday issued a revenue warning for the first quarter due to the change in trading conditions created by the COVID-19 coronavirus. The Phoenix, Arizona-based company said it now forecasts $ 1.275 billion to $ 1.325 billion in revenue, compared to previous forecasts of $ 1.355 billion to $ 1.405 billion released on February 3. “after the Lunar New Year holidays, but orders have picked up since, and we haven’t seen any significant order cancellations,” chief executive Keith Jackson said in a statement. Chinese factories have resumed normal operations after the extended Lunar New Year vacation, he said. “The public health outlook from COVID-19 is uncertain and continues to evolve, and the commercial impact of these conditions is difficult to predict,” the statement said. ON is planning restructuring measures to achieve annual savings of approximately $ 90 million, most of which target operating expenses. Shares have fallen 17% in the past 12 months, while the S&P 500
SPX,
gained 9%.
