Parts Suppliers in Japan: "Half the Expected Production of iPhone 5"

As Japanese companies report their 2012 4th quarter earnings in a short span of few days, parts suppliers of Apple's iPhone 5 are indicating less than expected shipment of iPhone 5 is hurting their bottom lines, without naming Apple.

How polite of them.

Not so long ago when iPhone 5 was launched, pundits said the phone was going to push the US 4th quarter GDP up by 0.5% on an annualized basis. Instead, the 4th quarter GDP came in at minus 0.1%, which was celebrated by the financial media as "best-looking contraction of US GDP ever" in this bizarro world.

From Asahi Shinbun (2/1/2013):

ｉＰｈｏｎｅ５、予想より減産？　部品提供の日本側指摘

iPhone 5 being produced less than expected? Japanese part suppliers point out

アップルに部品を提供する日本のメーカーから、同社の成長の陰りを指摘する声が出始めている。

Japanese manufacturers who supply parts to Apple have start to voice concern over Apple's growth.

ＴＤＫの上釜健宏社長は３１日の会見で「北米メーカーのスマートフォンの台数が予想に比べ半減している」と明かした。「社名は言えないが世界２強の一つ」とし、ｉＰｈｏｎｅ５を指したとみられる。１３年３月期の営業利益が前回予想より２２０億円目減りする見込みという。

Takehiro Kamigama, President of TDK said in the press conference on January 31, "The number of smart phones by a US maker is half of what was expected." He said he "cannot reveal the name, but one of the two largest in the world", indicating iPhone 5.

村田製作所の藤田能孝副社長も、３１日の決算会見で「ｉＰｈｏｎｅ５減産の影響は」と質問され、「個別のお客様については言ってはいけないが、世の中で言われている通り」と述べ、計画より減産していることを認めた。アルプス電気の米谷信彦専務も「スマホ向けの製品が期待どおりに伸びなかった」と述べ、１３年３月期の業績を押し下げる一因に挙げた。

Yoshitaka Fujita, Vice President of Murata Manufacturing, was asked about the effect of reduced production of iPhone 5 during the earnings conference on January 31. He admitted that the production was less than planned, and said, "I shouldn't comment on individual customers [of our company], but it is just as what's being said in the world." Nobuhiko Yonetani, executive director of Alps Electric, said "Parts for smart phones haven't sold as well as we hoped", citing it as one of the causes that will push the 2013 1st quarter results lower.

Japanese electronics companies may be suffering from not-so-brisk sales of iPhone 5, but if Canon is any indication they may still have a fat profit thanks to much cheaper yen since Shinzo "pork cutlet on curry rice" Abe became the prime minister again.

Tweet