Foxconn’s parent company, Hon Hai Precision Industry today reported disappointing results for the last quarter, which is partly explained by its accelerated effort to make electric cars….
Foxconn’s parent company, Hon Hai Precision Industry today reported disappointing results for the last quarter, which is partly explained by its accelerated effort to make electric cars. For the three months ending in December 2020, Foxconn’s net income was $1.6 billion, which not only misses the average estimates of $1.76 billion projected by analysts, but also represents a 3.7 percent decline compared to the same quarter of 2019. On the other hand, it’s a 15 percent increase over the first quarter of 2020, and close to the company’s own forecast. Foxconn chairman and CEO Young Liu said during an investor call the company’s revenue for most of 2020 was driven in no small part by Apple’s iPhone 12 lineup, as well as strong PC sales. But as the shortage of chips worsened towards the end of the year, the company started monitoring the supply chain more closely.
