Foxconn posts 40% Q2 revenue rise driven by AI server demand

Taiwan's Hon Hai Precision Industry (Foxconn) reported second‑quarter revenue of NT$2.513 trillion (about US$78.7 billion), a 39.8% increase year‑on‑year and a 52.1% jump for June alone. The surge was powered by strong demand for artificial‑intelligence servers, with the cloud and networking division posting the biggest growth. Foxconn, the leading assembler for Apple iPhones and the primary server maker for Nvidia, now holds roughly 40% of the global AI‑server market. Revenue also rose in its consumer‑electronics segment, helped by continued sales of smartphones and other devices.

The company cautioned that “volatile global political and economic” conditions could affect future performance, noting “it remains necessary to monitor the impact of the volatile global political and economic situation.” Analysts highlighted that rising trade tensions and export‑control risks may pressure supply‑chain strategies. Foxconn expects the third quarter to continue growing, with AI‑rack demand and seasonal consumer‑electronics sales projected to stay robust.

The results underscored Foxnet’s expanding role in the AI infrastructure ecosystem while flagging geopolitical uncertainty as a key risk factor.