SCHAUMBURG, Ill. — Citing the impact of SARS on Asian handset sales, Motorola Inc. reduced its guidance for the company's second quarter sales revenue from $6.4 billion to $6.6 billion to $6.0 billion to $6.2 billion.
The company said Monday (June 9) that as well as knocking $400 million of the company's second quarter sales revenue, the impact from SARS in China and elsewhere in Asia could last all year. The company said it would renew its guidance for 2003 when it announces its second quarter results in mid-July.
Although mobile phone handset sales in Asia are running lower than expected due to SARS and pressure from inventory build-up from southeast Asian manufacturers, Motorola said that in Europe and the Americas handset sales are meeting expectations.
However semiconductor sales to the wireless market are also being affected by the Asian issues, Motorola said. The company's Semiconductor Products Segment has also been affected by damage caused by an earthquake at a wafer fab in Sendai, Japan, Motorola said.
