Apple MacBook assembler’s profits halved due to China’s COVID shutdowns

As anyone who’s recently ordered – and waited for – an Apple MacBook Pro and/or MacBook Air could likely have predicted, Apple MacBook assembler Quanta Computer said its Shanghai campus recovered from the Chinese Communist Party’s quixotic “zero-COVID” (doesn’t exist) shutdowns more slowly than expected, halving its profit.

Apple's M2 MacBook Air in Starlight
Apple’s M2 MacBook Air in Starlight

Debby Wu for Bloomberg:

Net income for the second quarter came in at NT$3.96 billion ($132 million), down 50% and below the average estimate of NT$4.3 billion. Sales totaled NT$270.5 billion, versus average analyst estimate of NT$258.4 billion.

Quanta announced in April its Shanghai site halted operations to comply with the local government’s Covid curbs. Spokesperson Carol Hsu said the company obtained approval to resume operations in a closed-loop system that same month, but the restart was bumpy due to logistics disruptions and a shortage of workers. The Shanghai unit returned to full production only in late June, she said.

“Meaningful recovery took longer-than-expected,” Hsu told analysts on a call about its Shanghai operation, calling the company’s results “disappointing.”

MacDailyNews Note: Currently, MacBook Pro models are immediately available in the U.S., but there’s still about a two-week wait for the recently updated MacBook Air, according to Apple’s official website.

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