Taiwan’s Foxconn (2317.TW), the world’s biggest contract electronics maker and top iPhone assembler for Apple Inc (AAPL.O), said on Sunday its revenue last month rose 48.2% year-on-year, as it recovered from COVID disruptions in China.
Revenue in January hit an all-time high, at T$660.4 billion ($22 billion), with operations going back to normal and shipments surging at its Zhengzhou campus in China, a hub for iPhone production, the company said in a statement.
In comparison to the prior month, revenue jumped 4.93% with smart consumer electronics products, which includes smartphones, and computing products showing robust double-digit growth, it said.
Production of iPhones encountered disruption ahead of Christmas and January’s Lunar New Year holidays, after restrictions to control COVID-19 resulted in thousands of workers leaving Foxconn’s factory lines in Zhengzhou.
Analysts say Foxconn builds about 70% of iPhones, and the Zhengzhou factory makes the bulk of its premium models including the iPhone 14 Pro.
“Based on market consensus for the first quarter of 2023, January revenue came in slightly ahead. The outlook for the first quarter will likely reach market expectations,” Foxconn said without elaborating.
Analysts forecast first-quarter revenue to increase by around 4% year-on-year, according to Refinitiv.
Buy Bitcoin NowApple on Thursday forecasted its revenue would shrink for a second successive quarter but that iPhone sales were likely to increase as production had gone back to normal in China after the COVID-related lockdowns.
Foxconn shares have fallen 0.3% so far in 2023, underachieving the broader Taiwan market (.TWII) which is up 10.4%. The company posts fourth-quarter earnings, where it will also expound on its outlook, on March 15.
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