Nvidia Partner Hon Hai Sees AI Server Sales More Than Doubling

(Bloomberg) -Hon Hai Precision Industry Co. has published a better increase in profit in June quarter and envisions sales growth to accelerate the most important AI server business.

Nvidia Corp. Servers and Apple Inc. Hon Hai, who brought together iPhones, reported a net revenue of 44.36 billion NT ($ 1.5 billion) for the period and defeated an average analyst projection for $ 36.14 billion NT. The company, also known as Foxconn, previously reported a 16% sales increase for the period.

Hon Hai will increase 170% revenue from servers for artificial intelligence tasks of the existing quarter. They became a growth engine when it was a demand for consumer technology. Hon Hai said that on Thursday, he worked for smart consumer electronics containing the iPhone assembly, shifting it instead of keeping it fixed this year. This segment faces possible tariffs implemented by the US government.

The Taiwan company earns a significant income from the iPhone manufacturer, and even though the general sales will still grow in 2025, it will be slower than expected before.

Hon Hai is strolling in sudden and unpredictable geopolitical changes while trying to diversify production footprint. In May, full-year income guidance, the US-China Trade War made potential sprinkler. Although President Donald Trump promised to exempt companies that carry production to the USA, he declared 100% tariff plans in semiconductor imports.

Taiwan’s appreciated dollar also focuses on Hon Hai’s financial financials. Executives estimate that each NT $ increase against Greenback will reduce approximately 3%in the average annual average.

-Help from Savov.

(Updates with Hon Hai estimates for AI server sales growth and consumer electronics)

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