Foxconn Q3 Profit Rises 17% to NT$57.7B

According to reports, Foxconn (Hon Hai Precision Industry), the world's largest electronics manufacturer, posted a 17% increase in third-quarter profit, exceeding market expectations. The growth was fueled by continued strong demand for AI servers, a trend the company expects to persist through 2026.

As Nvidia's largest server manufacturer and Apple's main iPhone assembler, Foxconn recorded a net profit of NT$57.67 billion ($1.89 billion) from July to September, surpassing the NT$50.4 billion consensus forecast compiled by the London Stock Exchange Group (LSEG).

Third-quarter revenue also beat expectations, driven primarily by robust AI product demand. Foxconn indicated that fourth-quarter revenue is expected to grow significantly year-over-year, with AI server sales projected to rise sequentially.

Notably, Foxconn's cloud and networking segment—including AI servers—generated higher revenue than consumer electronics such as iPhones for the second consecutive quarter.

Looking ahead, Foxconn expects full-year 2025 revenue to see strong year-over-year growth, consistent with forecasts shared in August, although the company did not provide detailed figures, which aligns with its usual practice of not giving full-year or quarterly numeric guidance.

While most iPhones for the U.S. market are now assembled in India, Foxconn continues to produce iPhones in China and is expanding its footprint with factories in Mexico and Texas, U.S., to manufacture Nvidia AI servers.

Foxconn is also pursuing growth in the electric vehicle sector, which it views as a key long-term driver, though the journey has been challenging. In August, the company agreed to sell a former car plant in Lordstown, Ohio, to SoftBank for $375 million, including equipment acquired in 2022 for EV production.

Foxconn's stock has surged 36% this year, outperforming Taiwan's benchmark index (.TWII), which has risen 21%.