IPhone assembler Hon Hai Precision Industry Co (鴻海精密) on Saturday reported its highest-ever quarterly sales for the third quarter on the back of solid global demand for artificial intelligence (AI) servers.
Hon Hai, also known as Foxconn Technology Group (富士康科技集團) globally, said it posted NT$1.85 trillion (US$57.93 billion) in consolidated sales in the July-to-September quarter, up 19.46 percent from the previous quarter and up 20.15 percent from a year earlier.
The figure beat the previous third-quarter high of NT$1.74 trillion recorded in 2022, company data showed.
Photo: CNA
Due to rising demand for AI, Hon Hai said its cloud and networking division enjoyed strong sales growth on a year-on-year and quarter-on-quarter basis in the third quarter.
Sales in its electronics component division also rose significantly on the back of an increase in critical component and automotive component shipments, the company said.
The computing division reported solid year-on-year sales growth in the third quarter due to the debut of new products, but sales stayed little changed from a quarter earlier, it said.
The company’s smart consumer electronics division reported robust quarter-on-quarter sales growth as new products hit the market, but stayed flat from a year earlier, it added.
In the first nine months of this year, Hon Hai’s consolidated sales rose by 9.73 percent from a year earlier to NT$4.73 trillion. The world’s largest contract electronics maker expects sales momentum to accelerate this quarter, because of peak season effects in the global information and communications technology industry, it said.
The company is scheduled to hold its annual Tech Day tomorrow and Wednesday to introduce new electric vehicle models and AI servers.
Meanwhile, smartphone camera lens maker Largan Precision Co (大立光), another supplier to Apple Inc, reported on Saturday that its consolidated sales last month rose 17.08 percent from a year earlier to NT$6.52 billion.
However, the figure fell 7.04 percent from the prior month, which the company attributed to shipping some products to clients ahead of schedule in August.
In the third quarter, Largan posted NT$18.95 billion in consolidated sales, up 72.5 percent from the second quarter and up 39 percent from a year earlier, with analysts saying the company benefited from the efforts of international smartphone brands, including Apple, to introduce new products.
In the first nine months of this year, Largan’s consolidated sales rose by 33.23 percent year-on-year to NT$41.25 billion. The company expects sales this month to stay little changed from last month, while the year-on-year growth could decline due to a relatively high comparison base during the same month last year, it said.
After several years flying high as Asia’s best Nvidia Corp proxy, Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is increasingly vying with other artificial intelligence (AI) stocks for investor attention. Stock traders are chasing a wider array of beneficiaries as mainstream usage of AI creates demand for hardware beyond the most-advanced chips TSMC makes for Nvidia. Subthemes from the deepening memory crunch to advances in robotics are also luring bids. At the same time, investment caps on single stocks are pushing funds to diversify, while retail investors long familiar with TSMC through its US depositary receipts are being offered a broader set of
UNDER MICROSCOPE: Taiwan detained three people who allegedly conspired to buy servers in Taiwan and export them using fraudulent documentation, prosecutors said Nvidia Corp chief executive officer Jensen Huang (黃仁勳) on Saturday urged Super Micro Computer Inc to tighten up on compliance after Taiwan detained three people this week for allegedly making fraudulent declarations about artificial intelligence (AI) servers made by its US partner. The development marked the nation’s first crackdown on semiconductor smuggling, which grew after the US slapped restrictions on exports of high-end chips such as Nvidia AI accelerators to China. Nvidia is “rigorous” in explaining regulations to all of its partners, Huang told reporters after arriving in Taipei. “Ultimately Super Micro has to run their own company,” he said in response to
TECH RELIANCE: Growth is increasingly reflecting an unequal K-shaped distribution, where technology sectors outperform and other industries struggle, an expert said Standard Chartered Bank has significantly raised its forecast for Taiwan’s economic growth to 9.5 percent this year, up from 7.6 percent previously, citing surging artificial intelligence (AI) demand driving exports, semiconductor production and investment. The upgrade reflects a sustained AI supercycle that continues to fuel demand for advanced chips and technology infrastructure, which form the backbone of Taiwan’s exports, the bank said in a report this week. “We raise our 2026 growth forecast to reflect a much stronger-than-expected first-quarter GDP figure,” Standard Chartered senior economist for greater China and Asia Tommy Wu (胡東安) said in the report. Driven largely by a 35.3 percent
Two of Taiwan’s international carriers, Starlux Airlines Co (星宇航空) and EVA Airways Corp (長榮航空), have retained the five-star airline rating awarded by international airline review organization Skytrax. Starlux was awarded the distinction for a second consecutive year, while EVA Air received it for the 11th straight year, Skytrax said in statements released yesterday and on Thursday last week, respectively. The five-star rating is considered one of the airline industry's highest honors and is awarded following professional audits of airline product and frontline service standards, Skytrax said. The ratings are based on in-depth assessments using unified global quality standards rather than customer review scores
RSS