Foxconn fared better than it predicted during Q2, with annual declines in overall and consumer unit revenue more muted than executives feared as Covid-19 (coronavirus) lockdowns spurred demand for devices.
The company recorded sequential growth in revenue at its consumer unit, albeit the division did not escape the pandemic completely unscathed with sales down year-on-year. And Foxconn conceded the figure would likely be down again in the current quarter.
Foxconn’s other product groups, enterprise; computing; and components, all made annual revenue gains during Q2: the manufacturer was bullish on further increases being recorded during the current quarter for all but its components unit.
Net profit in Q2 increased 34.2 per cent year-on-year to TWD22.9 billion ($779.3 million), while revenue dipped 2.7 per cent to TWD1.13 trillion.
The revenue decline is in line with a prediction for a single-digit drop made by Foxconn chairman Liu Young after an opening quarter when it recorded net profit 89 per cent lower and revenue 12 per cent down on Q1 2019.