Skip to main content

Market Overview

Apple Supplier Foxconn's May Revenue Falls Amid Rising COVID-19 Cases In Taiwan, After Q1 Profit Beat

Apple Supplier Foxconn's May Revenue Falls Amid Rising COVID-19 Cases In Taiwan, After Q1 Profit Beat

Apple Inc (NASDAQ: AAPL) supplier Foxconn reported a 9% fall in May revenue on a month-on-month basis and the slowest monthly sales growth in six months on a year-on-year basis. 

What Happened:  The slowdown came as Taiwan, the island country where Foxconn is based, tackles a spike in COVID-19 cases after recording just a few daily infections for months.

Hon Hai Precision Industry Co (OTC: HNHPF), popularly known as Foxconn, reported a May revenue of NT$455 billion ($16.38 billion), up 17.6% compared with a year ago. The company had reported an April revenue of NT$500.49 billion.

The Taiwan-based semiconductor maker had last month warned the ongoing chip crisis could worsen in the current quarter with a business impact of 10%. The company’s first-quarter profit beat estimates, helped by an extended work-from-home boom spurred by the COVID-19 pandemic.

Why It Matters: The company which assembles iPhones at plants in China and India saw first-quarter revenue rise 45% despite a sharp reduction in iPhone production in India due to surging coronavirus cases in the country.

Taiwan, at present, is also seeing a spike in COVID-19 infections. Foxconn founder Terry Gou last week announced a charity plan to apply to import 5 million doses of Pfizer Inc (NYSE: PFE)/BioNTech SE's (NASDAQ: BNTX) COVID-19 vaccine into Taiwan to speed up its vaccination program, as per a Reuters report.

Price Action: Foxconn shares closed 1% higher at $8.11 on Friday.

Photo by Nadkachna on Wikimedia


Related Articles (AAPL)

View Comments and Join the Discussion!

Posted-In: foxconn iPhone taiwanEarnings News Tech Best of Benzinga

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at