Ready Player 21: Lumentum cuts earnings forecast by XNUMX% due to Huawei situation

From theoretical discussions about the degree of influence of the situation with pressure from the US authorities on Huawei, it's time to move on to ascertaining the financial consequences. At least, the counterparties of the Chinese giant from the United States have already begun not only to report on joining the large-scale boycott of yesterday's partner, but also to count the losses. The American company Lumentum, which specializes in the supply of optical components for communication systems, following the statement of its law-abiding опубликовала updated forecast for the fourth fiscal quarter, which in the manufacturer's calendar will end on June 30 of this year.

The adjustment was made as follows: the forecasted amount of revenue decreased by 8% to $383 million, and the operating profit - immediately by 21%, to $62 million. the previous fiscal quarter - already 11%, and on average for the current fiscal year this figure did not exceed 18%. Lumentum's margin of profit can now also be reduced to 15-15,5% instead of the previous 17,0-18%.

Nomura experts now count them.that Xilinx, which supplies Huawei with programmable arrays for use in telecommunications equipment, could suffer next. JP Morgan analysts add that Huawei has been creating an "emergency stock" of purchased components for the production of smartphones and base stations for several months, and it may be enough not only for this year of normal activity, but also for the next one.

Experts also refer to the risk group of Intel, NVIDIA, AMD and Broadcom. Moreover, the US Federal Trade Commission is investigating the latter’s trade policy, according to Bloomberg information. Last year, Broadcom was not allowed to buy Qualcomm's assets, cloaked in national security interests, and even moving its headquarters from Singapore to the United States did not soften the verdict of the authors of this decision. The situation on the market was not very favorable anyway, now we may face a wave of forecast corrections by many market participants, and Lumentum in this sense will be only the first sign.

Source: 3dnews.ru