Hon Hai reports highest ever April sales amid AI, cloud enthusiasm

Taipei, May 6 (CNA) Taiwan-based manufacturing giant Hon Hai Precision Industry Co. has reported its highest ever sales for April due to solid global demand for artificial intelligence applications and cloud services.

In a statement Monday, iPhone assembler and AI maker Hon Hai, also known as Foxconn internationally, said it had consolidated sales of NT$641.37 billion (US$21.24 billion) in April, up 25.54 percent from a year earlier.

The previous high for April was NT$510.9 billion seen in 2024.

On a year-on-year basis, Hon Hai said client demand for AI and cloud gadgets stayed strong, boosting shipments of its cloud and networking division sharply in April, while its electronics component and computing product division also enjoyed an increase in shipments.

Sales posted by its smart consumer electronics division, however, stayed little changed from a year earlier in April, Hon Hai said.

In addition, Hon Hai's four major business divisions other than the computing product unit reported a month-on-month increase in sales in April, the company said.

Market analysts said Hon Hai largely benefited from an increase in orders for AI servers powered by U.S.-based AI chip designer Nvidia Corp.'s powerful GB200 graphics processing units as well as other AI-related devices.

In the first four months of 2025, Hon Hai's consolidated sales rose 24.58 percent from a year earlier to NT$2.29 trillion on the back of growing shipments in the cloud and networking, electronics component and computer divisions, the company said.

Looking ahead, Hon Hai said that while the cloud and networking business will continue to grow in the second quarter, it is a traditionally slow season, with many products in transition periods that could compromise the company's quarterly sales growth.

Still, Hon Hai said it expected to post a quarter-on-quarter increase and a year-on-year rise in revenue in the second quarter.

Hon Hai will hold an investor conference on May 14 to detail its first quarter results and offer its guidance for the second quarter as well as for 2025 as a whole.

In the first quarter, the world's largest contract electronics maker posted consolidated sales of NT$1.64 trillion, up 24.20 percent from a year earlier but down 22.98 percent from a quarter earlier.

Meanwhile, Largan Precision Co., a supplier of smartphone camera lenses to Apple Inc., said it posted consolidated sales of NT$4.38 billion in April, up 27 percent from a year earlier but down 11 percent from a month earlier.

In April, Largan said its 20 mega-pixel and higher lenses -- which have higher profit margins -- accounted for 10-20 percent of total sales, with 10-20 mega-pixel lenses making up 50-60 percent, 8 mega-pixel lenses representing less than 10 percent, and other products making up 20-30 percent.

In the first four months of this year, Largan's consolidated sales rose 28 percent from a year earlier to NT$18.95 billion.

Largan said the recent rapid appreciation of the Taiwan dollar against the U.S. dollar is expected to affect its operations, referring to a 6.21 percent rise of the local currency on Friday and Monday.