Hon Hai Precision Industry Co (鴻海精密) yesterday reported a month-on-month revenue decrease of 39.12 percent to NT$402.04 billion (US$13.13 billion) last month, the lowest in 16 months.
On an annual basis, the company, which is globally known as Foxconn Technology Group (富士康科技集團), posted a 11.65 percent revenue decline, it said.
Last month’s revenue was the lowest since August 2021, when the firm reported NT$400.05 billion in revenue.
Photo: Fang Pin-chao, Taipei Times
However, it was also the second-best February performance in the company’s history, the iPhone assembler said in a statement.
February last year ranked the highest for the same period, with NT$455.03 billion in revenue, it said.
The world’s biggest contract electronics maker attributed last month’s revenue decrease to a lackluster performance across its four major business groups: smart consumer electronics, cloud and networking technology, computing products, and components and other products.
Smart consumer electronics, cloud and networking technology, and computing products all posted lower sales last month due to slowing pull-in orders from customers, and a relatively high comparison base last year, while sales of components and other products posted a relatively flat performance, Hon Hai said.
The company’s production lines in Zhengzhou — Apple Inc’s key manufacturing hub in China — had returned to normal operations in January, following disruptions from a COVID-19 outbreak late last year, it said
The first-quarter outlook is “roughly in line with market expectation,” Hon Hai said, based on revenue performance over the past two months.
Hon Hai’s consolidated revenue in the first two months of this year was NT$1.06 trillion, up 17.94 percent from NT$900.78 billion a year earlier, which is the highest January-to-February figure in the company’s history, it said.
The sales data come as the company is planning new investments in India following Hon Hai chairman Young Liu’s (劉揚偉) visit to the country last week.
Indian Karnataka State Chief Minister Basavaraj Somappa Bommai wrote on Twitter on Friday last week that Apple would “soon” manufacture iPhones at a new plant in the state, creating “about 100,000 jobs,” while Bloomberg News reported that Hon Hai was planning to invest US$700 million in a new factory in Karnataka, citing unnamed sources.
No deals had been finalized during Liu’s visit, and financial investment sums discussed in the media had not been officially released, Hon Hai said in a statement on Saturday.
Separately, Hon Hai joined more than 300 companies at a job fair at National Taiwan University on Saturday, as the firm seeks to hire recent graduates for its electric vehicle, digital healthcare, robotics, artificial intelligence, semiconductor and IC design businesses.
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