TAIPEI: Taiwan’s Foxconn, the world’s largest contract electronics maker, reported a 39.8% year-on-year (y-o-y) rise in second-quarter (2Q) revenue that beat market forecasts on strong demand for artificial intelligence (AI) products, though it cautioned about “volatile” global politics.
Revenue for Nvidia’s biggest server maker and Apple’s top iPhone assembler jumped to NT$2.513 trillion (US$78.71bil) in the April to June quarter, Foxconn said in a statement yesterday.
That was above a NT$2.372 trillion LSEG SmartEstimate, which gives greater weight to forecasts from analysts who are more consistently accurate.
“Strong AI demand led to robust revenue growth for its cloud and networking products division, while smart consumer electronics, which includes iPhones, posted ‘significant’ growth,” the company said.
June revenue alone rose 52.1% y-o-y to NT$821.8bil, a record for that month.
Operations are expected to grow both quarter-on-quarter and y-o-y in the 3Q, with AI racks maintaining a growth trend.
However, “it remains necessary to monitor the impact of the volatile global political and economic situation”. — Reuters
