Electronics manufacturing company Foxconn—also known as Hon Hai Technology Group—has reported strong growth in its Q2 earnings report, as per an official press release by the firm.
Foxconn manufactures the majority of Apple’s iPhone products in bulk and is headquartered in Taiwan.
Foxconn posts double-digit growth in profitability metrics
The company posted revenues of 1.79 trillion New Taiwan dollars for the quarter. Profitability metrics were positive, with a gross profit of 113.5 billion (14% growth) New Taiwan dollars and an operating profit of 56.6 billion (27% growth) New Taiwan dollars. Net profit increased by 27% to 44.4 billion New Taiwan dollars.
AI now forms a substantial part of Foxconn’s revenue, with its AI server business showing an annual growth rate of more than 60%.
The electronics firm operates four main product segments as drivers of operational revenue. The earnings report noted that its third quarter will show higher growth due to the start of its peak operating season, with the biggest drivers being its cloud and networking segment and smart consumer electronics.
“As for the full-year outlook, the Group maintains its forecast for significant growth, but remains vigilant regarding changes in geopolitics, tariffs, and global exchange rates,” stated the official earnings release.
