Riding on the AI ​​craze, Foxconn’s August revenue grew 52%, and this is just the beginning

The continued growth in financial performance shown by companies related to the field of artificial intelligence, amid a boom in related technologies, has long alarmed some skeptical investors who believed the bubble would burst sooner or later. Foxconn August statistics say Conditions for revenue growth of 52% and further positive dynamics maintained.

Image source: NVIDIA

The company has become a major contract manufacturer of server equipment for Nvidia and its customers, so Foxconn’s report speaks directly to the state of the industry. Analysts on average expect Foxconn’s revenue to grow 37% in the quarter ending in September. Foxconn, on the other hand, continues to rely heavily on contract manufacturing services for Apple devices, primarily iPhones, so a possible downturn in the consumer electronics sector could hurt the Taiwanese giant’s financials. By seasonal standards, Foxconn’s August revenue exceeded $29 billion, a record high.

Foxconn’s August profit rose 35%, also exceeding analysts’ expectations. According to the company’s own forecasts, the second half of the year will be more successful in terms of sales in the server field, so the growth rate of financial indicators may even increase. At this stage, the company has a good assessment of its near-term prospects and is given the opportunity to speak about those prospects with more confidence. Only persistently unstable global political and economic conditions will have a negative impact on businesses.