Key iPhone Assembler Smashes Profit Forecast
Key iPhone assembler, Hon Hai, has ridden the demand for Apple’s new device posting September quarter earnings that far outstripped Wall Street estimates.
The Taiwanese manufacturer reported US$1.3 billion in net income for the quarter, well above analysts’ forecasts of US$1.17 billion.
Hon Hai’s unexpected results “indicates stronger-than-expected demand for its semiconductors, mainly power and analog chips, and iPhone assembly service,” Bloomberg Intelligence analyst Charles Shum said.
Hon Hai Chairman Young Liu said on a company earnings call that business during the December quarter won’t be as robust, shrinking from the previous December quarter as component shortages continue to result in a decline in computing and consumer electronics.