Apple supplier Laird issued a warning on its full-year profit, saying that acceleration in production for mobile devices this year had come in much later than seen in previous cycles and that it had “poor” visibility in order volumes.
The electronic components maker said it expected full-year underlying profit to be about $61 million, also partly blaming margin concerns due to increased pricing pressure. Laird had not previously given any guidance for the full year.
Some of this margin pressure would be from Apple leaning on its suppliers to reduce their prices. But the disappointing results could also indicate that things are not working as well as Jobs Mob hoped and sales of the iPhone 7 were not doing as well as expected.
Apple has indicated that it does not expect this year to be as good as the last, in fact its iPhone 7 is a stop-gap product to keep its toe in the water until things pick up a bit.