M-Flex Beats Expectations, Prompting Positivity for Apple Performance
Speculation regarding how well Apple (NASDAQ:AAPL) has performed in its December quarter continues to swirl. Now analysts are looking at positive results from M-Flex, a key supplier to Apple, as a sign that Apple too will post strong numbers. M-Flex, a manufacturer of flexible circuits used in smartphones and tablets pre-announced revenue of $239 million for the quarter, while expectations were in the $220-$230 million range. Apple is thought to account for 66% of M-Flex’s sales.
Earlier in the quarter rumors emerged out of Asia that Apple was having a weak quarter due to parts shortages resulting from flooding in Thailand. Business Insider quoted M-Flex who said that, “supply-chain shortages from flooding in Thailand improved throughout the quarter,” indicating that there was some truth to the rumors, but the issues have now been addressed.
This M-Flex data coupled with iPhone market share estimates have analysts rushing to increase their Apple sales numbers. Business Insider reported that analyst Gene Munster increased his iPhone sales number to 30 million on Wednesday.