TAIPEI: Taiwan’s Foxconn, the world’s largest contract electronics maker, is anticipated to report on Tuesday that first-quarter revenue greater than doubled on strong demand for synthetic intelligence servers and after coming off a low base a 12 months in the past.
Final month, the corporate stated first-quarter income slid 10% from a 12 months earlier nevertheless it has been bullish about 2024.
Internet revenue for January-March for Apple‘s high iPhone assembler doubtless got here in at T$29.3 billion ($904.6 million), in accordance with an LSEG consensus estimate of 15 analysts.
That will characterize a 129% enhance from the identical interval a 12 months in the past when revenue sagged after the corporate took a T$17.3 billion writedown associated to its 34% stake in Japanese electronics maker Sharp Corp. It could additionally mark a 3rd consecutive quarter of revenue development.
“Foxconn clearly is placing loads of effort into its AI servers. Focused shoppers embrace HP and Dell,” stated Allen Huang, a vp at Mega Worldwide Funding Service.
Analysts at KGI Securities wrote in a consumer observe that they anticipated the primary quarter to be Foxconn’s gross sales trough for the 12 months, with AI cloud server gross sales persevering with to see big demand.
“As for 2025, we anticipate cloud gross sales to stay the foremost gross sales and earnings development driver,” they added.
Underscoring Foxconn’s rosy prospects, April gross sales hit a file excessive for the month and the corporate, formally known as Hon Hai Precision Business, has stated it expects second-quarter income to develop 12 months on 12 months. Foxconn doesn’t present numerical steerage.
Foxconn’s shares have surged greater than 60% to date in 2024, far outperforming the broader market’s 15% achieve, because of its assured outlook on AI.
Apple’s quarterly outcomes and forecast beat modest expectations this month, and CEO Tim Cook dinner stated income development would return within the present quarter.
Foxconn holds its earnings name at 3.00 pm in Taipei (0700GMT) on Tuesday, Could 14.
Final month, the corporate stated first-quarter income slid 10% from a 12 months earlier nevertheless it has been bullish about 2024.
Internet revenue for January-March for Apple‘s high iPhone assembler doubtless got here in at T$29.3 billion ($904.6 million), in accordance with an LSEG consensus estimate of 15 analysts.
That will characterize a 129% enhance from the identical interval a 12 months in the past when revenue sagged after the corporate took a T$17.3 billion writedown associated to its 34% stake in Japanese electronics maker Sharp Corp. It could additionally mark a 3rd consecutive quarter of revenue development.
“Foxconn clearly is placing loads of effort into its AI servers. Focused shoppers embrace HP and Dell,” stated Allen Huang, a vp at Mega Worldwide Funding Service.
Analysts at KGI Securities wrote in a consumer observe that they anticipated the primary quarter to be Foxconn’s gross sales trough for the 12 months, with AI cloud server gross sales persevering with to see big demand.
“As for 2025, we anticipate cloud gross sales to stay the foremost gross sales and earnings development driver,” they added.
Underscoring Foxconn’s rosy prospects, April gross sales hit a file excessive for the month and the corporate, formally known as Hon Hai Precision Business, has stated it expects second-quarter income to develop 12 months on 12 months. Foxconn doesn’t present numerical steerage.
Foxconn’s shares have surged greater than 60% to date in 2024, far outperforming the broader market’s 15% achieve, because of its assured outlook on AI.
Apple’s quarterly outcomes and forecast beat modest expectations this month, and CEO Tim Cook dinner stated income development would return within the present quarter.
Foxconn holds its earnings name at 3.00 pm in Taipei (0700GMT) on Tuesday, Could 14.
