Foxconn second-quarter revenue jumps, company cautions on geopolitics

Taiwan's Foxconn, the world's largest contract ​electronics maker, reported ​a 39.8% year-on-year rise in second-quarter revenue ​that beat market forecasts on strong demand for AI products, though it cautioned about "volatile" global politics.

Revenue for Nvidia's biggest ‌server maker ⁠and Apple's ⁠top iPhone assembler jumped to T$2.513 trillion ($78.71 billion) in ​the April-June quarter, Foxconn said in a statement on Sunday.

That ​was above a T$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% year-on-year to ​T$821.8 billion, a record for that month.

Operations are expected to grow both quarter-on-quarter and year-on-year in the third quarter, with AI racks maintaining a growth trend, the company said.

However, "it remains necessary ‌to monitor the impact of the volatile global political and economic situation", Foxconn said, ​without elaborating.

Foxconn, ​formally called ⁠Hon Hai Precision Industry, does not provide numerical forecasts.

The company's shares have gained 4.3% this year, underperforming the ​61.5% rise for the Taiwan market.

The stock closed up 0.6% on Friday ahead of the revenue data release. The benchmark index ended the day flat.