AAPL Apple Inc

   By Kimberly Chin 
 

Qorvo Inc. (QRVO) cut its forecast for the third quarter as tepid demand for smartphones is likely to weigh on its margins.

The North Carolina-based semiconductor company, which counts Apple Inc. among its customers, said Tuesday that it now expects sales to be in the range of $800 million and $840 million, lower than its previous forecast of $880 million to $900 million.

Qorvo said it expects demand from China-based handset manufacturers to remain measured and largely unchanged.

It also projected adjusted per-share earnings to be $1.70 at the midpoint, down from its previous target of $1.95.

Shares of Qorvo fell 0.9% in Tuesday trading.

Apple was Qorvo's largest end customer in company's latest fiscal year, accounting for 36% of total revenue, according to a securities filing.

On Monday, Lumentum Holdings Inc., which makes facial-recognition components for Apple's iPhones, lowered its earnings forecast by nearly 25% for the three months ending in December, saying one of its largest customers had materially reduced shipments for previously placed orders.

Write to Kimberly Chin at kimberly.chin@wsj.com

(END) Dow Jones Newswires

November 13, 2018 10:54 ET (15:54 GMT)

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