Foxconn Technology Group Posts Record-High July Revenue on Strong AI Server Demand

By Jiahui Huang

Foxconn Technology Group posted record-high revenue for July, thanks to strong AI server demand and the launch of a new computing product.

Foxconn, formally known as Hon Hai Precision Industry, said Monday that its July revenue rose 22% from a year earlier to 572.35 billion New Taiwan dollars (US$17.55 billion).

Its cloud and networking products generated robust on-year revenue growth amid strong demand for AI servers, it said in a statement. Components and other products also showed solid growth, which the company attributed to higher sales of its core business and automotive components.

Foxconn's revenue rose 17% month on month in July, led by the smart consumer electronics segment, it said.

"Entering the peak season of the second half of the year, we anticipate our operations to gradually gain momentum," the company said.

"The third quarter is expected to generate growth compared to the second quarter and the same period last year," it added.

The electronics maker is set to report second-quarter earnings and host an earnings call on Aug. 14.

Shares of the world's largest contract electronics maker closed 9.9% lower at NT$168.00 on Monday amid risk-off sentiment across the region sparked by weak U.S. economic data.

Write to Jiahui Huang at jiahui.huang@wsj.com

(END) Dow Jones Newswires

August 05, 2024 04:40 ET (08:40 GMT)

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