Foxconn is expected to report a 2.35% year-on-year increase in net profit for the fourth quarter in its earnings report to be released on Friday. This growth is primarily attributed to strong demand for AI servers. According to the consensus estimate of 15 analysts, Foxconn's net profit for the October-December period is projected to reach NT$54.4 billion (approximately US$1.65 billion), up from NT$53.15 billion in the same period last year.
Foxconn stated in January that its fourth-quarter revenue reached a record high, with a growth rate of 15.2%. The company remains optimistic about its future performance, projecting that first-quarter results will surpass the five-year average and show significant year-on-year growth. However, the outlook is complicated by escalating global trade tensions. Foxconn's major manufacturing bases in China and Mexico are impacted by US trade policies, particularly increased import tariffs.
Furthermore, Apple recently announced a partnership with Foxconn to establish a 250,000-square-foot (approximately 23,200-square-meter) facility in Houston for assembling servers destined for data centers, furthering Apple's smart technology development. This move not only strengthens the Foxconn-Apple partnership but also underscores the sustained market demand for AI technology and related equipment.
Foxconn will hold an earnings conference call at 3 PM on Friday (0700 GMT) to provide an updated outlook on its future performance. It's noteworthy that Foxconn's stock price is down 8.7% year-to-date, primarily driven by concerns over US tariffs and trade policies.
Key Highlights:
💰 Foxconn projects a 2.35% increase in Q4 net profit, reaching NT$54.4 billion.
📈 Strong AI server demand fuels company performance, with Q4 revenue up 15.2%.
🇺🇸 Global trade tensions impact company outlook, with Foxconn facing challenges in the US market.