What you need to know
- Foxconn has reported a new April record for revenue.
- It earned $12.72 billion.
- The new iPhone SE has helped smartphone demand grow rapidly.
Apple's new iPhone SE has helped propel Foxconn to a record April revenue figure, according to the latest report from DigiTimes.
Foxconn Technology Group (Hon Hai Precision Industry) has reported consolidated revenues of NT$380.93 billion (US$12.72 billion) for April 2020, up 9.6% sequentially and 0.3% on year to set a new April record.
The company's combined consolidated revenues from January to April in 2020 arrived at NT$1.31 trillion, down 8.74% on year.
Among Foxconn's four major business groups, the computing-related group (consisting PCs and tablets) had the best on-month revenue growth in April, followed by the enterprise product group (servers and networking equipment) components, and consumer smart devices.
The report notes that "one of Foxconn's key clients has begun selling a new entry-level smartphone", no doubt referring to Apple and the release of the new iPhone SE. DigiTimes notes that this has caused smartphone demand to grow rapidly and that several market observers have "recently raised their forecast on the smartphone's shipments."
The report also notes however that Apple's postponing of events, and the decision to host WWDC online has caused concerns that Apple's new iPhone 12 lineup, pegged for release later this year, may be delayed, resulting in decreased orders to Foxconn.
Foxconn has also reportedly invested $100 million in its factories in Yantai, China. It is believed that this money will go towards preparation for the production of "a client's next-generation game console", likely a reference to either the Xbox Series X or the Playstation 5.