Foxconn with record quarter thanks to AI servers, but growth in 2025

Foxconn almost doubled its net profit in the first three months of this year compared to 2024, whereby sales have grown by 24 percent each year. The world’s largest manufacturer of electronic products owes this mostly artificial intelligence (AI), because the demand for corresponding servers does not decrease. The business with electric cars is also slowly going, but the view of the year as a whole is a little more cautious due to the geopolitical situation and currency fluctuations than before.

Foxconn had already explained in March that Trump’s tariffs are preparing the tech giant “big headache”. Due to the partially leaking and unpredictable policy of the new US government under Donald Trump, it was “very, very difficult to predict how things will develop next year,” Young Liu, CEO of the Taiwanese group, had at that time. There is also a strengthened Taiwan dollar that reduces the income in the correspondingly weaker US dollar.

Foxconn expects significant growth in 2025

After all, Foxconn, formally the “Hon Hai Technology Group”, expects a “significant growth” this year, but had previously assumed “strong growth” in 2025. There was little to feel in the first quarter, because the group was able to increase sales by 24 percent compared to the same period of the previous year, the profit by 27 percent and net profit by 91 percent. The quarterly turnover of the equivalent of 48.7 billion euros is a new record for the company. Foxconn also assumes significant growth for the current second quarter, traditionally a rather weaker phase of the year. This is According to the company owe to the product segment cloud and network as well as the components.

The international orientation of the Taiwanese group, which is now producing in 24 different countries, is also to help. In addition to Asia, Foxconn refers to over 50 locations on the American continents and more than 10 locations in Europe and India. There are a total of 233 production locations worldwide. This also includes the United States, because Foxconn and Wistron are building factories there for the production of Nvidia servers. However, this was initiated before Trump was taken over by Trump and is not a reaction to his customs policy.

Foxconn’s electric cars for Mitsubishi

Foxconn chair Liu was also positive regarding the cooperation with Mitsubishi with regard to electric cars. Only last week was the Japanese Group agreedthat Foxconn will develop and manufacture an electric car model for Mitsubishi. Liu expects to support Mitsubishi in selling this model in Australia and Oceania. This is an important milestone for Foxconn’s electric car business. Liu hopes for further cooperation of this kind with other car brands, confirmed According to Reuters But only conversations with other Japanese car manufacturers and did not want to name them.

The stock exchange reacted positively to the developments at Foxconn. The group’s share price has fallen by over 11 percent since the beginning of the year, which was mainly due to Trump’s customs policy. But now the paper has gained 2.6 percent in value.