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Foxconn Achieves Record Third-Quarter Revenue Amid AI Demand, Misses Forecast

  • tech360.tv
  • Oct 6
  • 2 min read

Taiwan's Foxconn, the world's largest contract electronics maker, reported record third-quarter revenue, driven by robust demand for artificial intelligence products. Despite this, the company missed the market forecast and expressed caution regarding exchange rates.


Foxconn building top with glass windows; large red and blue logo sign. Clear sky background. Modern and minimal architecture.
Credit: SAM YEH/AFP via Getty Images

Revenue for the quarter jumped 11% from the same period last year, reaching T$2.057 trillion, or USD 67.71 billion. This figure fell below the LSEG SmartEstimate of T$2.134 trillion, though Foxconn stated the result was better than expected.


On a US dollar basis, Foxconn's third-quarter revenue increased 16.1% year-on-year. The Taiwan dollar has strengthened approximately 8% against the greenback so far this year.


Circuit board with glowing blue AI chip at center. Lines connect across dark blue background, creating a futuristic tech aesthetic.

Strong demand for artificial intelligence led to significant revenue growth within its cloud and networking products division. Conversely, smart consumer electronics, including iPhones, experienced a slight revenue decline, impacted by exchange rate fluctuations.


September revenue alone rose 14.2% year-on-year, reaching T$837.1 billion. This marked a record high for that particular month.


Operations are anticipated to maintain sequential quarterly growth in the fourth quarter, driven by continued increases in AI server shipments. This growth is also expected due to the traditional peak season preceding year-end holidays in major Western markets.


However, the organisation indicated a need for continued close monitoring of the global political, economic situation, and exchange rate fluctuations. Foxconn, formally known as Hon Hai Precision Industry, does not provide numerical forecasts.


The company will report its third-quarter earnings on Nov. 12. Foxconn's shares have risen 23% this year, outperforming the Taiwan market's 16% increase.


The stock closed up 0.44% on Friday, ahead of the revenue data release. This compared to a 1.45% gain for the benchmark index.

  • Foxconn reported record third-quarter revenue of T$2.057 trillion (USD 67.71 billion).

  • The revenue increase of 11% was largely due to strong demand for artificial intelligence products.

  • Despite the record, Foxconn's revenue missed the market forecast of T$2.134 trillion.


Source: REUTERS

 
 
 

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