TAIPEI (Reuters) – Taiwan’s Foxconn, the world’s largest contract electronics manufacturer and largest assembler of Apple’s (NASDAQ:) iPhone, confirmed on Sunday it expects revenue to rise in the second quarter and reported record sales for April. Foxconn said in a statement that the second quarter of this year “remains the traditional off-peak season, with core products entering a period of transition from old to new products.”
But he added: “The operating guidance for the second quarter is expected to show both quarter-on-quarter and year-on-year growth.”
The statement is not specified, and the company does not provide numerical guidance.
The company, officially called Hon Hai Precision Industry Co Ltd, said April revenue reached 510.9 billion tenge ($15.83 billion), which it said was the highest for the same period and represented an increase of 19 % compared to the same period last year.
Revenue from sales of smart consumer electronics, including smartphones, showed “significant growth” in April compared with last year, it said.
Strong demand for artificial intelligence (AI) servers also drove “strong growth” in April in the cloud and networking products segment, the company added.
The monthly sales data comes ahead of Foxconn’s first-quarter earnings announcement on May 14.
Foxconn previously reported first-quarter revenue fell 9.6% year-on-year to T$1.322 trillion, below LSEG SmartEstimate of T$1.401 trillion, giving more weight to analysts’ forecasts that are more accurate.
The first quarter is traditionally a quieter season than the previous one, with Taiwanese technology companies rushing to supply smartphones, tablets and other electronics to major suppliers such as Apple during the year-end holidays in Western markets.
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Apple’s quarterly results and guidance on Thursday beat modest expectations, with CEO Tim Cook saying revenue growth will resume in the current quarter.
In March, Foxconn adopted a much more optimistic outlook for this year, saying in its fourth-quarter earnings report that it expects strong revenue growth driven by rising demand for artificial intelligence servers.
Foxconn shares are up nearly 50% this year, compared with a 13% gain for the broader market.
They closed 1.3% higher on Friday.
($1 = NT$32.2800)