In spite of Apple’s latest estimates about weakened consumer demand for the iPhone, Foxconn has remained optimistic about Q4 earnings. However, the company is holding to its original forecast of strong year-end holiday sales fueled by the customer demand for smartphones, tablet computers, and other electronic gadgets from the Chinese and U.S. markets.
- Foxconn, a major Apple supplier, maintains its strong outlook for the fourth quarter despite Apple's recent forecast of weaker-than-expected demand for iPhones.
- Foxconn says customers are buying well in China and the United States, driving strong demand for smartphones, tablets, and other electronics.
- The company anticipates that it will register a huge growth in its revenue in the fourth quarter when compared to the third quarter.
Foxconn, the world's largest contract electronics maker and a major Apple supplier, is sticking to its previous outlook of strong year-end holiday sales despite Apple's recent forecast of weaker-than-expected demand for iPhones. The company says customers are buying well in China and the United States, driving strong demand for smartphones, tablets, and other electronics.
In a statement, Foxconn said that with the second half of the year a "traditional peak season" for consumer tech products, operations "will ramp up sequentially." Its projected revenues will see a substantial increase between the third and fourth quarters of the fiscal year.
Foxconn's October revenue reached T$741.2 billion ($23.09 billion), the second highest ever for October. The company's smart consumer electronics products, including smartphones, saw "significant" growth month-on-month as new products On Thursday, apple which is Foxconn’s biggest iPhone assembler missed Wall Street expectations of sales forecast in the holiday quarter. Apple cited weak demand for iPads and wearables for the softer forecast.
Despite Apple's tepid forecast, Foxconn is confident in its own outlook. The company expects strong demand for its products from other customers, such as Huawei and Xiaomi, to offset any weakness from Apple. Additionally, Foxconn is benefiting from the ongoing global chip shortage, which is driving up prices for electronics components.
