By Yimou Lee and Religion Hung
TAIPEI (Reuters) -Taiwan’s Foxconn (SS:), the world’s largest contract electronics maker, stated on Thursday it anticipated sturdy progress in its synthetic intelligence server enterprise subsequent 12 months after reporting a better-than-expected 14% rise in quarterly revenue.
The agency, a key provider to Apple (NASDAQ:) and Nvidia (NASDAQ:), stored its 2024 steerage of “important” gross sales progress and forecast AI servers would account for 50% of its complete server income subsequent 12 months.
Foxconn stated final month it was constructing the world’s largest manufacturing facility in Mexico for bundling Nvidia’s GB200 superchips, a key part of the U.S. agency’s next-generation Blackwell household computing platform.
Underscoring Foxconn’s rosy prospects, October gross sales hit a document excessive for the month and the corporate, formally referred to as Hon Hai (TW:) Precision Business, has stated it expects fourth-quarter income to develop year-on-year.
It doesn’t present numerical steerage.
Web revenue for July-September for Apple’s high iPhone assembler got here in at T$49.3 billion ($1.5 billion), in accordance with Reuters calculations.
That marked a fifth consecutive quarter of revenue progress and in contrast with a T$46.3 billion LSEG consensus estimate of 14 analysts.
Final month, the corporate stated third-quarter income jumped 20% from a 12 months earlier, beating expectations to put up its highest-ever income for that quarter on sturdy gross sales of AI servers.
Foxconn’s shares have doubled to this point in 2024, beating the broader market’s 28% achieve, buoyed by its assured outlook on AI.
They closed down 1.4% on Thursday forward of the earnings launch.
($1 = 32.4140 Taiwan {dollars})