We all know Foxconn, the Taiwan based company manufacturing most of the iPhones for Apple. Though it’s not the only thing the company does. Recently it posted the profit details of the last quarter and that’s in a better condition than expected. This boost is coming from the server and computing businesses mainly. On the other side, due to the pandemic condition, the revenue that comes from consumer products slashed by over 15% on the YoY basis.
As per the company report, its net profit is T$22.9 billion, around 778.54 million USD and it is around 34% more than the past year. Unfortunately, in this third quarter, Foxconn is expecting a double-digit downfall in overall revenue and a 10% drop in the consumer electronics division.
The Chairman of Foxconn Liu Young-way said to an investor that the gross margin of the company could go up to 7% by next year and it will be possible by boosting the growth of its component business sector. In the last quarter, this gross margin was 5.91%.
He also said that the tension between the US and China is affecting Foxconn. Though the company, at present, is manufacturing nearly 30% of its products outside of China, and the percentage may increase in the coming days.
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