Apple iPhone assembler Foxconn says revenue up 48.2%

Taiwan's Foxconn, the world's largest contract electronics maker and major iPhone assembler for Apple Inc., said its revenue in January went up 48.2% year-on- year, as it shook off COVID disruptions in China.

In January, the company said that revenue reached a record high, at T $660.4 billion $22 billion with operations returning to normal and shipments increasing at its Zhengzhou campus in China, a centre for iPhone production.

It said that revenue with smart consumer electronics products, including smartphones and computing products, showed a double-digit growth, up 4.93% compared to the previous month.

The production of iPhones was disrupted ahead of Christmas and January's Lunar New Year holidays after curbs to control COVID 19 prompted thousands of workers to leave Foxconn's factory lines in Zhengzhou.

According to analysts, Foxconn assembles around 70% of its iPhones, and the Zhengzhou plant produces the majority of its premium models, including the iPhone 14 Pro.

January revenue came in slightly ahead of market consensus for the first quarter of 2023. The outlook for the first quarter will likely reach market expectations, Foxconn said.

Analysts expect first-quarter revenue to grow by around 4% year-on- year, according to Refinitiv.

Apple had forecast its revenue would fall for a second quarter in a row, but it was likely that iPhone sales would improve as production in China returned to normal after the COVID-related shutdowns.

Foxconn shares have fallen 0.3% this year, underperforming the Taiwan market, which is up 10.4%.

The company reports fourth-quarter earnings on March 15, where it will also elaborate on its outlook.