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Foxconn Technology ( OTCPK:FXCOF ) said Friday it expects revenue growth in the second quarter, after reporting a nearly 10% decline in first-quarter revenue.
The world’s largest electronics maker, formally known as Hon Hai Precision (OTCPK:HNHAF) (OTCPK:HNHPF), said that the second quarter “remains a traditional off-peak season, and major products are entering a transition period between old and new products.” Growth is expected both on a quarterly and year-on-year basis in the second quarter.
In the first quarter, revenue growth for computing products was flat due to weak demand from the PC market. Foxconn ( OTCPK:FXCOF ) attributed the smart consumer electronics sector’s decline to last year’s high level.
However, the company reported strong growth for its cloud and networking products for the first quarter due to strong customer attraction to the cloud segment. Components and other products also grew alongside the increase in shipments of components related to the core business.
Last month, supplier Apple (AAPL) forecast “significant” growth in 2024, driven by demand for AI servers.
The company’s revenue for the first quarter fell 9.61% year-on-year to NT$1,322.2 billion, while March revenue increased 11.8% to NT$447.5 billion.