Strong Quarter for Foxconn Emphasizes Initiatives Beyond Apple

11 AUGUST 2022 - Foxconn parent Hon Hai Precision Industry posted a surprisingly strong June-quarter with a reported emphasis on not Apple. A piece from Bloomberg had Apple’s iPhone-making partner reporting revenue equal to ~US$1.1B. That beat analyst expectations by about US$100-million.

Mentions of Apple and not Apple were of particular interest. While the Bloomberg piece did point to strength for iPhone in the June-quarter as good for Foxconn, it also pointed to “worrying signs” tied to Mac and iPad shipments that were down from the year ago quarter.

There’s plenty to cheer Foxconn on, though. “Given the potential for a downturn in consumer appetite for gadgets,” says Bloomberg:

…the Taiwanese company has been expanding its revenue from corporate customers, logging solid sales in its cloud and network computing products in July.

Additionally, there’s Hon Hai’s planned push into electric vehicles. The piece says the “world’s largest contract manufacturer has targeted 5% market share in EVs in 2025…”