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Foxconn is not afraid of a shortage of components and predicted an increase in revenue in the first quarter of 2021 by 15%
Foxconn representatives have already found the courage to say that the shortage of components will affect it to a lesser extent, since the scale of the business allows it to negotiate with suppliers on special terms. Strong demand for PCs, smartphones and server hardware allows Foxconn to forecast 15% revenue growth in the first quarter.
Image source: Reuters
As Foxconn representatives noted earlier, according to the results of the whole year, the company’s revenue may grow by 10%. According to Reuters, in the current quarter, the company may face a growth in revenue of at least 15% in the segment of consumer electronics, which includes smartphones and smartwatches. The Server Hardware and Laptops business will increase Foxconn’s revenue by 10% in the current quarter.
Foxconn’s business is heavily dependent on its largest customer, Apple, and the Taiwanese company is optimistic this quarter due to strong demand for the 12th iPhone series. Taiwan’s economy as a whole benefits from increased demand for electronic components. At the end of January, the monetary equivalent of exports increased by 49.3% compared to the same month in 2021, to $ 52.72 billion. The island’s authorities expect the economy to grow stronger in 2021 than in any of the previous seven years.