Foxconn Nets $1.5 Billion In Q3

Taiwan's Foxconn, the world's largest contract electronics manufacturer, reported a better-than-expected 14% rise in quarterly profit to $1.5 billion, Reuters announced.

Foxconn is. a key supplier to Apple and NVIDIA. I Photo: Henan Foreign Affairs

The company expects robust growth in its artificial intelligence (AI) server business next year.

A key supplier to Apple and Nvidia, Foxconn reaffirmed its 2024 guidance of "significant" sales growth and forecasted that AI servers would contribute 50% of its total server revenue in 2025.

Last month, the company revealed plans to construct the world's largest manufacturing facility in Mexico to bundle Nvidia's GB200 superchips, a critical component of Nvidia's next-generation Blackwell computing platform.

Foxconn's optimistic outlook is supported by record-high October sales for the month. The company, formally known as Hon Hai Precision Industry, expects its fourth-quarter revenue to grow year-on-year.

For the July-September quarter, Foxconn posted a net profit of T$49.3 billion ($1.5 billion), marking its fifth consecutive quarter of profit growth. This surpassed the T$46.3 billion consensus estimate of 14 analysts, according to Reuters calculations.