Top Apple suppliers post solid sales in November

By BLOOMBERG

TAIPEI • Apple Inc’s two largest Asian suppliers unveiled decent jumps in monthly revenue, potentially assuaging investors who fear the worst about iPhone demand.

Taiwan Semiconductor Manufacturing Co Ltd (TSMC) and Hon Hai Precision Industry Co Ltd both posted a 5.6% rise in November sales, a solid figure given Apple suppliers around the globe have taken turns to cut back on output or revenue outlooks to reflect waning demand for the US company’s most important product.

While reflecting just 30 days of business, TSMC’s and Hon Hai’s performance comes in the middle of the year’s busiest quarter and may help balance the narrative that Apple’s latest line-up — particularly the cheapest iPhone XR — is falling flat with global consumers. Hon Hai’s November revenue of NT$601.4 billion (RM81.51 billion) was a record for the month and takes January- November sales growth to almost 16% — on track for its fastest pace of annual growth in years.

TSMC’s sales of NT$98.4 billion, while reflecting a pullback in growth from October, may underscore its rare position of being the sole processor chipmaker for Apple’s most expensive gadgets. TSMC and Hon Hai climbed more than 1% in Taipei.

From Lumentum Holdings Inctlooks in recent months, stoking concerns about the iPhone’s prospects.