Foxconn Chairman Young Liu delivers a speech during the Hon Hai Tech Day in Taipei on Oct. 18, 2023.
Foxconn, the world's largest contract electronics maker, said Wednesday that its third-quarter profit jumped 17% from a year earlier, driven by growth in its artificial intelligence server business.
Here's how Foxconn did in the September quarter compared with LSEG SmartEstimates, which are weighted toward forecasts from analysts who are more consistently accurate:
Revenue: $2.06 trillion New Taiwan dollars ($66.29 billion) vs. NT$2.06 trillion expected
Net profit: NT$57.67 billion vs. NT$50.41 billion
Foxconn, formally known as Hon Hai Precision Industry, is best known as the world's largest manufacturer of Apple 's iPhones, but has been shifting into other business avenues, including AI. The firm manufactures server racks designed for AI workloads and has become a key partner to American AI chip darling Nvidia .
The company said it expects operations in the second half of the year — the traditional peak season — to maintain continuous quarterly growth, citing stronger AI server shipments and rising demand for information and communications technology products.
However, Foxconn cautioned that global political and economic uncertainty, along with exchange rate fluctuations, will require continued close monitoring.
Foxconn reported that its 'Cloud and Networking' segment saw strong year-on-year growth, supported by demand for AI server racks.
Foxconn's server manufacturing business is currently in a strong growth phase, underpinned by robust demand, Ivan Lam, a senior analyst at Counterpoint Research, told CNBC.
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