Companies feel impact of coronavirus outbreak in China

Companies feel impact of coronavirus outbreak in China
Share

(Reuters) – Companies around the world have warned that a coronavirus outbreak in China could disrupt supply chains or hurt bottom lines as factories and shops shut and airlines suspend flights.

FINANCIAL IMPACT:

**Apple (AAPL.O) gave a wider-than-usual revenue outlook range for the March quarter to factor in uncertainty. Apple, which has suppliers in Wuhan, the central Chinese city at the heart of the outbreak, said the reopening of some suppliers’ factories outside Wuhan had been moved to Feb. 10 from the end of January.

**Baidu (BIDU.O) postponed the announcement of its fourth-quarter results.

**Carlsberg (CARLb.CO) expects the virus to hurt business, but said it was too early to give an estimate.

**Electrolux (ELUXb.ST) said the epidemic could have a material impact if its Chinese suppliers were further affected and that it was implementing contingency plans.

**Foxconn’s (2317.TW) shipments to customers including Apple could be disrupted if a Chinese factory halt extends into a second week, a source said. Foxconn has halted almost all its production in China, the person said.

**H&M (HMb.ST) said store closures in China – about 45 – hurt sales in January. The company said its flexible supply chain had limited disruptions.

Source: REUTERS

Submit a Comment