Lates News

Foxconn, the world's largest electronics contract manufacturer, announced that strong demand for artificial intelligence servers drove a 91% increase in first-quarter profits, surpassing market expectations, but the outlook for the full year has become more conservative. The Apple iPhone assembler and NVIDIA AI server manufacturer's net profit for the first three months reached 42.12 billion New Taiwan dollars (1.39 billion U.S. dollars), higher than analysts' average estimate of 37.8 billion New Taiwan dollars. Foxconn (officially known as Hon Hai Precision) said last month that strong sales of AI servers led to a 24.2% year-on-year increase in first-quarter revenue, reaching a historical high for the period. In the financial report, Foxconn expects a significant year-on-year growth in the second quarter, with the AI server business showing double-digit growth, and production ramping up speed. However, the company forecasts a "significant year-on-year growth" in full-year revenue, lower than the previous expectation of "strong growth". Foxconn did not provide specific numerical guidance, as it usually does not. The company's stock price has fallen by 11.4% so far this year, compared to a 5.4% decline in the broader market index. The stock rose 3.2% in trading on Wednesday before the financial report was released.