Foxconn, the world's biggest electronics contract manufacturer and a major assembler of iPhones, reported an 11.77% YoY drop in revenue in April due to the sluggish performance of smart consumer electronics. According to a Reuters report, the revenue for April was T$429.2 billion ($14 billion), which is consistent with the company's own predictions. Revenue from smart consumer electronics products, which include smartphones and are Foxconn's primary business driver, decreased last month due to entering the traditional slow season, according to the company.
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Additionally, Foxconn expects a decline in business during the current quarter because of a high base last year and the seasonal off-peak period in between the launch of old and new products. The first half of the year tends to be slower for Taiwan tech manufacturers as major electronics vendors like Apple launch new products near the year-end holiday season.
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On May 11, Foxconn will release its first-quarter earnings and provide an update on its outlook for the full year. In March, the company predicted flat revenue for the entire year, with growth in computing, cloud, networking, and component products offsetting weak demand for consumer electronics.
Foxconn's shares have increased by 5.1% so far this year, which is behind the broader Taiwan market, up 10.5%. Apple exceeded expectations in its quarterly earnings results for the quarter ended April 1, owing to better-than-anticipated iPhone sales and advancements in India and other emerging markets.
