Foxconn's Revenue to Exceed 2024 Levels Despite Downgraded Outlook

Foxconn Technology Group, the world's largest contract electronics maker, reassured shareholders by announcing that its revenue for 2025 is expected to exceed last year's NT$6.86 trillion. Chairman Young Liu stated that robust AI server demand will continue to support growth, with 2025 revenue forecasted to be over NT$7 trillion ($234 billion). This news boosted shareholder confidence after the company downgraded its outlook earlier this month.

Foxconn Technology Group, the world's largest contract electronics manufacturer, has announced a significant increase in its revenue forecast for 2025. The company expects its revenue to exceed NT$7 trillion ($234 billion), a substantial rise from last year's NT$6.86 trillion [1]. This positive outlook was delivered by Chairman Young Liu, who attributed the growth to robust demand for AI servers.

The announcement comes as a welcome relief to shareholders, who had seen a downgrade in the company's outlook earlier this month. Foxconn's ability to maintain its leadership position in the contract manufacturing industry, particularly in the high-growth AI sector, is a key factor driving this optimism.

The company's success in overcoming technical challenges in the production of NVIDIA's AI data center racks has been instrumental in this growth. Foxconn, along with other suppliers like Inventec, Dell, and Wistron, has resolved issues that previously delayed shipments of NVIDIA's "Blackwell" AI servers [2]. These servers are expected to significantly boost computing power for AI applications, aligning with NVIDIA's broader strategy to solidify its position in the AI market.

The resolution of these technical issues has not only enabled the commencement of shipments but also contributed to Foxconn's revenue projections. The successful deployment of these AI servers is crucial for Foxconn to maintain its competitive edge and fulfill the expectations set by its leadership.

As Foxconn continues to navigate the complex landscape of global manufacturing and AI technology, its ability to deliver on its revenue forecasts will be closely watched by investors and financial professionals alike. The company's commitment to delivering cutting-edge technology solutions, along with its strategic partnerships, positions it well to capitalize on the growing demand for AI servers.

References:
[1] https://finance.yahoo.com/news/iphone-tariff-threat-sends-shockwaves-180333045.html
[2] https://finance.yahoo.com/news/nvidia-suppliers-ramp-ai-server-211116127.html