Foxconn, the world’s largest contract electronics manufacturer and Apple’s primary iPhone assembler, announced record-breaking revenue for the fourth quarter of 2024, exceeding market expectations. The Taiwan-based company, officially known as Hon Hai Precision Industry, cited surging demand for artificial intelligence (AI) servers as a key driver behind its impressive performance.
Foxconn reported a 15.2% year-on-year revenue increase, reaching T$2.13 trillion ($64.72 billion) for the quarter. The results surpassed the T$2.1 trillion forecast provided by LSEG SmartEstimate, which places more weight on consistently accurate analysts. In December alone, the company achieved T$654.8 billion in revenue—a 42.3% rise compared to the same month last year—marking the second-highest monthly total in its history.
The company’s cloud and networking products division, which serves clients like Nvidia, experienced strong growth due to robust AI server demand. However, Foxconn noted that its smart consumer electronics segment, including iPhones, saw relatively flat year-on-year growth.
Looking ahead to the first quarter of 2025, Foxconn expects operations to enter the typical seasonal slowdown. The company anticipates quarterly performance to align with historical averages from the past five years while showing notable year-on-year growth. Despite these projections, Foxconn refrained from providing numerical forecasts, maintaining its standard practice.
Foxconn’s shares rose 76% in 2024, significantly outperforming the broader Taiwan market’s 28.5% gain. However, shares closed down 0.8% on Friday, ahead of the revenue announcement, while the benchmark index rose 0.3%.
The company is scheduled to release its full fourth-quarter earnings on March 14, providing a more detailed look into its financial performance and growth drivers.
Featured image courtesy of World Construction Network
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