A Shares Apple Industry Chain Resumption Of Production Agencies Dispute The Impact Of The Epidemic

Beginning in February 10th, with the time limit for resuming work expired across the country, eligible enterprises will resume work one after another.

In recent days, affected by the outbreak of the new coronavirus, whether the domestic apple industry chain can return to work on schedule has been widely concerned by the market. It is urgent for the relevant enterprises to achieve a two-way balance from the resumption of production and prevention and control of the epidemic.

According to the twenty-first Century economic report, at present, Apple Corp suppliers, such as precision, intelligent manufacturing, GoerTek shares, and blue technology, have resumed their jobs in February 10th. However, some enterprises such as Xin Wanda are affected by multiple factors and are actively preparing to return to work. Among them, Foxconn's factories in Zhengzhou, Shenzhen and other places also delayed the original plan to resume work in February 10th.

Many industry insiders predict that the Apple supply side and demand side may be faced with uncertainty, affecting the domestic consumer electronics industry.

Whether the domestic apple industry chain can return to work on schedule has been widely concerned by the market. - Song Wenhui diagram

Some enterprises have resumed production in succession.

In February 10th, the first wave of labor recovery after the holiday came to China, the A share market was also on the high side, the Shanghai Composite Index closed up 0.51%, and the apple concept index edged up 0.64%.

In twenty-first Century, an economic report reporter learned that, with the time limit for resumption of work to expire, some of the listed companies in the apple industry chain have been resuming production or preparing for the resumption of production. However, under the influence of traffic control during the epidemic period, some employees are unable to go to posts, and the industry chain listed companies have not yet fully recovered.

Li Jing precision securities department people interviewed said: "we just (today) (February 10th) just went to work, some employees may have a road at home, and so on, now in the process of resuming work, the recovery rate is not clear. Overseas factories are still in normal production. "

GoerTek securities and securities department also confirmed to reporters that the company has officially resumed work in February 10th, "we are not sure about the specific resumption of production, but the eligible production lines have been resumed. (the level of capacity affected) is not good enough to assess the impact. The future depends on the situation of the development of the epidemic.

On the same day, the Ministry of intelligent Securities Division also said that during the Spring Festival, some products were produced in a small scope, and the company began to resume work in February 10th. "But the employees coming back from the field still have to isolate themselves for 14 days before they can go to work."

According to the CITIC Securities Research Report, the company has said that "the company's individual production line depends on the workers staying in the Spring Festival to maintain certain production and will not cause personnel turnover. From the point of view of orders and sales, everything is normal now, and the performance for the one or two quarter needs further observation. The short-term impact will be, but the long-term impact is not big, because the downstream demand is adequate.

In addition to the above enterprises, some enterprises are affected by the local re employment policy, and are still in the process of resuming work.

In February 10th, the members of the Ministry of finance of Xin Wanda Securities pointed out: "we are now in line with the request of the Shenzhen municipal government to resume work, and actively cooperate with the local government to resume the inspection and acceptance. We have submitted the (resumption of production related) materials, and are still waiting for the government to give specific notice. As early as Guangdong Province issued the relevant notice of postponed resumption, we began to prepare for (resumed) work, and the factory in Huizhou has got the relevant reply.

Prior to the resumption of Foxconn in February 10th, the resumption plan was postponed again.

In February 10th, twenty-first Century economic report reporters found from the social platform, at present, Foxconn, Shenzhen, Zhengzhou, Langfang, Taiyuan and many other factory employees said that the local resumption time was postponed again, the specific time for resuming work was not clear.

According to Shenzhen Longhua District Bureau of industry and information technology, in February 6th, Foxconn group's 3 legal person enterprises submitted to the board a report on the resumption of work resumption and epidemic prevention and control undertaking. Subsequently, the Bureau and the various departments formed a spot verification team, which is checking the Foxconn Group Corporation. At present, the verification work is proceeding in an orderly way.

On the same day, the economic news reporters in twenty-first Century also consulted Foxconn technology company for the resumption plan.

Foxconn stakeholders told reporters: "the factories in the mainland of the group are closely cooperating with the local governments to return to work, and orderly return to work in batches. Each factory relocation process requires strict legal compliance, the highest principle of employee safety, and the resumption of work in each plant area is based on the announcement of the local government."

Impact of epidemic situation

The inconsistency of the progress of domestic apple industry chain resumption has also led to the market's concern about Apple's supply and demand side.

Tianfeng international analyst Guo Mingji pointed out that if the new coronavirus epidemic situation can not be significantly improved before March, the Apple supply side and demand side may face uncertainties or potential risks.

The demand for iPhone and other Apple products may be lower than expected due to the decline in consumer confidence. In the first half of Apple2020, the new product's volume forecast and schedule are faced with potential risks caused by the delay in starting time and the lack of work. Apple's verification process for new products in the second half of 2020 is faced with potential risks caused by many countries' recent warnings to China's tourism.

The potential risks at both ends of apple supply and demand may affect the domestic consumer electronics industry chain.

In February 10th, an electronics industry analyst of a large brokerage in Southern China told the twenty-first Century economic report: "the current impact is not well assessed. Supply chain manufacturers are sure to be affected by the delay in the resumption of work and the loss of the Spring Festival consumption of the terminal products. The company's operating conditions in the next quarter of 1~2 will definitely be affected. If the situation is further developed, the impact may be all directional."

Prior to this, affected by the epidemic, Apple Corp began to temporarily shut down stores in mainland China based on public health and prevention considerations in February 1st.

But there are also market participants who are optimistic about Apple's industrial chain.

On the same day, another medium-sized brokerage consumer electronics analyst in Southern China said: "in the first half of the year, it was the off-season of consumer electronics. According to the statistics of shipments in the first half of the mobile industry chain, basically the volume of shipments in January and February accounted for about 3%-4% of the annual shipment volume. For the company, there is no need to achieve capacity utilization of 100%, so now the staff recovery rate should be able to fully support the company's production."

According to the consumer electronics analyst, "we have recently communicated with nearly 20 companies. Every company has factories in different regions. Apart from Hubei, the relocation arrangements for factories in all parts of the industry basically return to work in accordance with the requirements of the local government. However, there is basically no apple industry chain company in Hubei. Most of the enterprises today have resumed their jobs, and the orders given by Apple have not changed much."

It is worth mentioning that the reporter interviewed learned that the listed companies who have resumed work or are actively preparing for re employment have formulated strict epidemic prevention and control work.

In February 10th, the insiders of blue science and technology pointed out: "the company resumed everything normal, kept the situation and trend of" zero epidemic situation in the park ", and the various epidemic prevention measures were highly affirmed by the governments at all levels in Hunan province.

The company also told reporters: "in the early stage of the epidemic, the company began to discuss the coping strategies during the Spring Festival, and launched the corresponding mechanism of disease prevention and control internally, including the release of the epidemic, propaganda and emergency supplies, and the cleaning and killing of all the factories. Due to the relatively large number of people in Hubei, Shenzhen, the company also conducted a survey of the relevant staff to understand the itinerary, other areas of staff from the beginning of the holiday to the 14 day observation period daily travel reports. Outside, we will also use ten million special funds to prevent and control the epidemic.

In addition, in the Guomin securities conference held in February 9th, Xin Wanda and Dongshan precision also announced that they were ready to manufacture protective devices such as respirators.