Taiwan’s Foxconn, the world’s largest contract electronics maker and major iPhone assembler, reported an 11.77 percent YoY decrease in revenue for April 2023.
Revenue dipped amid weakness in smart consumer electronics
For smart consumer electronics products, which include smartphones and are the company’s main business driver, revenue in April declined as it entered the “traditional slow season”, the company said in a statement.
Impact of Q2 business trends
Business in the second quarter is expected to decline due to a high base last year and “the seasonal off-peak period” amid a transition between old and new products, it said.
First half sees slower business for major Taiwan tech manufacturers
The first half of the year is traditionally slower for Taiwan tech manufacturers as major electronics vendors including Apple launch new products near the year-end holiday season.
Apple results and Foxconn outlook
Apple results for the quarter ended April 1 beat expectations on Thursday, thanks to better-than-expected iPhone sales and inroads in India and other newer markets. Foxconn will report first quarter earnings on May 11 when it will also give an update on its outlook for the full year.The company in March predicted revenue for the full year to be flat, with weak demand for consumer electronics offset by growth in computing, cloud, networking and component products.
Foxconn’s year so far
Foxconn shares have risen 5.1 percent so far this year, lagging the broader Taiwan market, which is up 10.5 percent.