Apple warns coronavirus will hurt iPhone supplies

The tech giant said production and sales were affected, and that "worldwide iPhone supply would be temporarily constrained", SIA reports.

The iPhone maker is the first major US company to say that the epidemic will hit its finances. Apple, which had forecast record revenues of up to $67bn in the current quarter, did not reveal the likely hit.

"We do not expect to meet the revenue guidance we provided for the March quarter," the company said in a statement, adding that it was "experiencing a slower return to normal conditions" than expected. With most stores in China either closed or operating at reduced hours, sales of Apple products would be lower, the company said.

Apple said that "while our iPhone manufacturing partner sites are located outside the Hubei province - and while all of these facilities have reopened - they are ramping up more slowly than we had anticipated. "All of our stores in China and many of our partner stores have been closed," it added. "Additionally, stores that are open have been operating at reduced hours and with very low customer traffic. We are gradually reopening our retail stores and will continue to do so as steadily and safely as we can."

New virus cases outside the epicentre area have been declining for the last 13 days. There were 115 fresh cases outside Hubei announced on Monday, sharply down from nearly 450 a week ago. But despite hopes that factories and shops are slowing getting back to normal, Apple's warning will underline that China's economy will be seriously affected by the coronavirus.

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