Apple supplier Foxconn forecasts flat sales in 2023 after reporting fourth-quarter profit miss

Name: Violence erupts at world’s largest iPhone factory over benefits and Covid-19 controls
Uploaded: 2023-03-15T12:06:09.000Z
Duration: 1 min 51 s
Description: Violence erupts at world’s largest iPhone factory over benefits and Covid-19 controls

Foxconn, the world’s largest electronics contract manufacturer, predicts a slump in consumer electronics demand this year

The company on Wednesday reported fourth-quarter net income of US$1.3 billion, down 10 per cent from the same period in 2021

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Staff members work on the production line at Foxconn Technology Group’s manufacturing complex in the tech hub of Shenzhen, in southern Guangdong province. Photo: AP

Bloomberg

Published: 8:06pm, 15 Mar 2023

Apple supplier Foxconn Technology Group, formally known as Hon Hai Precision Industry, on Wednesday offered a cautious outlook for this year after reporting fourth-quarter profit that fell just shy of expectations.

Taiwan-based Foxconn, the world’s largest electronics contract manufacturer, offered a forecast of slumping consumer electronics demand this year, offset by an uptick in expected sales of cloud and networking products, personal computers and other components.

The flattish full-year outlook is matched by the current quarter, which the company indicated is expected to be in line with market consensus. It reported net income of NT$40 billion (US$1.3 billion) for the last three months of 2022 on sales totalling NT$1.96 trillion.

That was down 10 per cent for the same period in 2021 and operating profit also slumped 16 per cent. Analysts had expected slightly higher profit, with a consensus average of NT$40.91 billion ahead of the company’s report on Wednesday.

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Violence erupts at world’s largest iPhone factory over benefits and Covid-19 controls

Foxconn dealt with a coronavirus outbreak at its most important mainland Chinese plant in Zhengzhou, capital of central Henan province, during most of the fourth quarter.