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Hon Hai Technology Group (Foxconn) Announces  Second Quarter 2026 Financial Results
2026/08/12
Hon Hai Technology Group (Foxconn) Announces Second Quarter 2026 Financial Results
·      2Q26 revenue, operating profit, net profit all at record highs for same period ·      3Q26 to see strong YoY growth, significant QoQ growth ·      Solid gains in 3Q26 for cloud and networking & smart consumer electronics ·      2027 demand for AI production capacity to stay very strong ·      Capex to grow in US, including Texas, Wisconsin, Ohio, California ·      Electromobility new business gaining ground in New Zealand, Poland, Saudi Arabia--12 August 2026, Taipei, Taiwan – Hon Hai Technology Group (Foxconn) (TWSE:2317) today announced its second quarter 2026 financial results. Revenue in the April-June quarter reached NT$2.53 trillion, that alongside operating profit and net profit, all set new second-quarter records. Net profit for the quarter was NT$60 billion, and earnings per share reached NT$4.27. Looking ahead to the third quarter, the traditional peak season, operations are expected to gradually pick up. Overall, the July-September quarter is expected to see significant quarter-on-quarter growth and strong year-on-year growth. For the full year 2026, thanks to strong demand for AI servers and growth in smart consumer electronics, the outlook for strong growth remains unchanged. In the second quarter, revenue reached NT$2.53 trillion, up 41% on year; at the same time, gross profit was NT$154.5 billion, rising 36%; operating profit at NT$94.8 billion, increased 68%; and net profit (attributable to the parent company's owners) was NT$60 billion, gaining 35% on year. Gross profit margin, operating profit margin, and net profit margin were 6.12%, 3.75%, and 2.37%, respectively. EPS reached NT$4.27, an increase of NT$1.08 compared to NT$3.19 in the same period last year. Revenue, operating profit, and net profit all reached record highs for the same quarterly period. In the first half of 2026, revenue reached NT$4.65 trillion, increasing 35% from a year ago; at the same time, gross profit was NT$285.5 billion, up 33%; operating profit was NT$170.5 billion, jumping 65%; and net profit was NT$109.9 billion, rising 27%. Gross profit margin, operating profit margin, and net profit margin were 6.15%, 3.67%, and 2.37%, respectively. EPS reached NT$7.84, an increase of NT$1.61 compared to NT$6.23 in the same period last year. Revenue, operating profit, and net profit all reached record highs for the first half of the year. Amid significant market interest regarding the mass production progress of AI and smart consumer electronics products for key clients, Foxconn Rotating CEO Michael Chiang stated the Group is seeing sustained volume growth in AI server racks driven by continued capital expenditure expansion among cloud service providers (CSP). Cloud and networking products are projected for strong growth in the third quarter, with high double-digit increases both on-quarter and on-year. For the same period, revenue for smart consumer electronics, given traditional peak season in the second half of the year, is expected to show significant growth sequentially in the July-September quarter and compared to a year ago. As Foxconn continues to expand its market share in AI server racks, Chiang said Foxconn's advantage in AI lies in providing complete, end-to-end system solutions, rather than just single products. With Vera Rubin (VR) racks entering mass production in the third quarter, overall AI server rack revenue is expected to increase quarter-on-quarter, and shipments are projected to achieve high double-digit growth. For the full year this year, AI rack shipments are also expected to more than double. Shipments of high-performance networking products are moving ahead and full-year revenue from 800G and higher switches is expected to double, while co-packaged optics (CPO) all-optical switches are on track for mass production and shipment in the third quarter. Foxconn’s sustained strength in operational performance comes down to its global footprint and economies of scale, said Chiang. With more than 240 sites in 24 countries, and longstanding, deep development of vertically integrated and highly automated operations, alongside a high in-house production ratio of key components, the Group is able to maintain sound operating efficiency and yields in the face of high unit price and highly complex AI products. Taking an example, he said, currently the Group’s automation rates of processes in computer numerical control (CNC) and surface mount technology (SMT) are close to 100%. Ultimately, it is the collaboration with top-tier customers to develop products, focusing on forward-looking and proprietary technologies, increasing the proportion of high-value-added products, that drives Foxconn's transformation into a technology manufacturing platform service provider. On the subject of the Group’s cash flow supporting its huge operations and mass production work, Chiang said AI has brought significant benefits to Foxconn's financial performance. Investment expansion and order intake in the first half of this year has led to capital expenditure growing 5% on year to NT$80.9 billion, and net interest expense increasing by NT$6.6 billion annually. However, he pointed out that well-outpacing the spending and interest expense was a bigger 52% year-on-year jump in adjusted EBITDA in the first half, making clear a healthier cash flow. In the January-June period this year, adjusted EBITDA reached NT$227.7 billion, up by NT$77.6 billion. Regarding the ROE and operating profit margin indicators, Chiang stated the ROE for the first half of this year reached 6.21%, an increase of 0.73 percentage point compared to the same period last year, reaching half of the Group's 12% target, with further room for improvement. Operating profit margin – at 3.67% in the January-June period, improving 0.67 percentage point year-on-year – not only met the Group's 3% target, but should also exceed last year's full-year level of 3.2%. Looking ahead to next year, Chiang said customer demand for AI production capacity will still be very strong. Foxconn’s capex will continue to increase in locations including Taiwan, the United States, Mexico and Vietnam; among sites, in response to American localization needs, Texas, Wisconsin, Ohio and California will see build up in R&D and manufacturing capabilities. The Group currently has no plans for direct equity financing and will maintain a sound capital structure to meet future operational and expansion needs. Among positive developments in new business areas, Japan’s Mitsubishi Motors in New Zealand recently officially confirmed EV models under partnership, with Chiang noting vehicle deliveries starting in the second half of this year. In Europe, work with state-backed ElectroMobility Poland (EMP) is continuing to advance, while in MENA, production is expected to officially start in the fourth quarter for the joint venture in EV charging infrastructure in Saudi Arabia. Meanwhile, at home, delivery began in July for new car model CAVIRA based on the MODEL C, and the new Kaohsiung factory also started mass production of MODEL T and electric bus batteries. In a call out for October, Hon Hai Tech Day 2026 this year will be held October 30-31. In its 7th year, Foxconn’s flagship show will take place at an unprecedented scale, combining the first and fourth floors of Taipei Nangang Exhibition Center, Hall 1, to demonstrate the Group’s latest technological achievements from its three major smart platforms and deep integration of AI. New product reveals are planned. The two-day annual conference will launch for the first time a family-friendly pavilion for children to explore cool zones and dream jobs related to technology. Free entry on the second day, hands-on exploratory themes for the young include sustainability, mobility, smart factory and smart city. Foxconn sincerely invites one and all to come!     About Foxconn Hon Hai Technology Group (Foxconn) (TWSE:2317) is the world’s largest electronics manufacturer and leading technology solutions provider, ranking 23rd in Fortune Global 500. In 2025, revenue totaled TWD8.1 trillion (approx. USD260 billion). The Group’s market share in electronics manufacturing services (EMS) exceeds 40% and covers four major product segments: smart consumer electronics; cloud and networking; computing; and components and other. Operating over 240 campuses across 24 countries, Foxconn is one of the world’s largest employers with approx. 900,000 employees during peak manufacturing season. We are committed to sustainability in the manufacturing process and serving as a best-practice model for global enterprises. The Group is guided by its 3+3+3 strategy, actively investing in industries of electric vehicles, digital health, and robotics; in technologies of artificial intelligence, semiconductors and next-generation communications; in intelligent platforms of Smart Manufacturing, Smart EV and Smart City. Foxconn is dedicated to becoming a comprehensive, world-class enterprise, with AI as its core driving force. Learn more at www.foxconn.com/en-us
2026/08/12
Hon Hai Technology Group (Foxconn) Announces  First Quarter 2026 Financial Results
2026/05/14
Hon Hai Technology Group (Foxconn) Announces First Quarter 2026 Financial Results
• 1Q26 net profit up 19% on-year, operating profit surges 63% on-year• 1Q26 gross margin and operating profit margin both improve on-year• AI demand driving significant QoQ, strong YoY growth for 2Q26• FY 2026 outlook for strong growth unchanged14 May 2026, Taipei, Taiwan – Hon Hai Technology Group (Foxconn) (TWSE:2317) today announced its first quarter 2026 financial results:Revenue reached a record high of NT$2.12 trillion in the January-March period, while net profit attributable to the parent company totaled NT$49.9 billion, increasing NT$7.8 billion or 19% from the same period a year ago. Earnings per share in the first quarter hit NT$3.56. Looking ahead to the second quarter, although it is traditionally a slow season for the ICT industry, the Group expects to maintain an uptrend due to strong AI demand, with significant quarter-on-quarter growth and strong year-on-year growth. The full-year outlook remains unchanged, maintaining strong growth and providing greater visibility.In the first quarter of 2026, revenue reached NT$2.12 trillion, a year-on-year increase of 29%; gross profit was NT$131 billion, up 30%; operating profit was NT$75.6 billion, surging 63%; and net profit (attributable to the parent company's owners) was NT$49.9 billion, rising 19%. The gross profit margin, operating profit margin, and net profit margin were 6.18%, 3.57%, and 2.36%, respectively, compared with 6.11%, 2.83%, and 2.56% in the same period last year, showing an increase in both gross profit margin and operating profit margin. EPS reached NT$3.56, an increase of NT$0.53 compared with NT$3.03 in the same period last year.Faced with sustained, strong demand for the Group’s AI business, Foxconn Rotating CEO Michael Chiang said that with the ICT industry entering the traditional off-season in the first quarter, coupled with rapid growth in AI server demand, the Cloud and Networking product segment now accounts for nearly 50% of revenue. This demonstrates that the Group’s AI strategy has already brought about a structural transformation, helping to mitigate the seasonality of the ICT industry. At the same time, with a more diversified AI customer base, the Group’s product portfolio has become more balanced.Looking ahead to the Group’s second quarter performance, although the quarter is traditionally a slow season for the ICT industry, expectations are for maintaining an uptrend, with significant growth quarter-on-quarter and strong growth year-on-year, thanks to strong AI demand. The full-year outlook for strong growth remains unchanged. Visibility is higher.The Group's main product segments are Cloud and Networking, and Smart Consumer Electronics. In terms of the former, strong growth is expected both on a quarterly and yearly basis. In terms of the latter, with overall demand better than last year, significant growth is expected.During the investor call, the Group shared how it is building a moat through a sound financial constitution, while at the same time expanding investment and spending. Last year, capital expenditures increased about 27% on-year to NT$174 billion, and should rise more than 30% this year. The investments are primarily focused on regional manufacturing deployment, automation implementation, and upgrade of core capacity.Taking the first quarter as an example, the Group’s EBITDA rose to NT$102.4 billion. This indicates that as the Group actively invests in future growth, its overall financial health is staying robust. Capex is gradually translating into revenue and profit growth ahead.In addition, in terms of enhancing corporate value, the Group’s ROE for the first quarter reached 2.88%, representing a clear improvement compared to the same period over the past two years. This reflects ongoing progress in optimizing the Group’s profitability structure and operational efficiency. As AI-related business grows, as well as benefits materialize from a global footprint and vertical integration, there is further upside potential for ROE.Regarding recent market focus on co-packaged optics (CPO), rotating CEO Chiang said that CPO switches are scheduled to enter mass production in the third quarter, with annual shipments expected to reach tens of thousands of units. Based on current visibility, shipments are projected to grow multi-fold next year.CPO and 1.6T high-end switch products are currently being developed and prepared for mass production in cooperation with major cloud and AI data center customers, with shipments expected to begin in the third quarter. In addition to switch design and assembly, the Group continues to strengthen its capabilities in key components such as optical modules, optoelectronic integration, cables, connectors, high-speed transmission, and power management. By increasing the proportion of in-house production and integration, the Group aims to further enhance system performance, delivery efficiency, and supply chain control.For AI rack shipments, the Group expects to keep high double-digit growth in the second quarter. For the full year, AI rack shipments are projected to more than double, with quarterly volumes increasing sequentially as customer projects progress. In the area of high-speed switches above 800G, driven by growing demand for high-speed networking architectures in AI data centers, related product shipments and revenue this year also have the potential to double.In robotics, one of the key areas in the Group’s “3+3+3” strategy, humanoid robots and collaborative robots have already been introduced in US manufacturing sites in the second quarter. Operational data will be collected to support subsequent model optimization and large-scale deployment. In Smart City, the Group continues to deepen collaboration with local governments and partners, while promoting the export of integrated solutions, aiming to replicate successful experiences across more countries and cities.Lastly, in next-generation communications, the second-generation “PEARL” – Foxconn’s low Earth orbit (LEO) satellites – successfully launched on May 3 aboard a SpaceX Falcon 9 rocket, entering their designated orbit.While the first-generation satellites focused on satellite-to-ground communication experiments and system validation, the latest in orbit are equipped with Ka-band inter-satellite link (ISL) payloads. The two satellites will not only enable broadband communication between satellites and ground stations, but also validate inter-satellite communication between each other.Following the successful launch of the second-generation satellites, the Group will continue to accelerate its expansion in the space sector, focusing on diverse application scenarios such as mobile communication supplements, direct-to-device satellite connectivity, and connectivity in remote areas, further expanding opportunities in LEO satellite technology and smart communications integration.
2026/05/14
Hon Hai Technology Group (Foxconn) Announces FY2025 & 4Q25 Financial Results
2026/03/16
Hon Hai Technology Group (Foxconn) Announces FY2025 & 4Q25 Financial Results
·       Revenuefor4Qandfull year2025 atrecord highs ·       CashdividendofNT$7.2arecord highsincelisting,payoutratio 52.9% ·       AIserversectortoseestronggrowthin 2026 ·       AIiscoredrivingforceinnew5-yeartransformationstrategy 16 March 2026, Taipei, Taiwan – Hon Hai Technology Group (“Foxconn”) (TWSE:2317) today announced its full year and fourth quarter 2025 financial results. Full-year net profit (attributable to the parent company) totaled NT$189.3 billion and EPS of NT$13.61 reached a record high since its listing in 1991. ROE hit 11.25%, further improving overall profitability. The company also announced a cash dividend of NT$7.2 per share this year, a record high since its listing in 1991, representing a payout ratio of 52.9%, marking the seventh consecutive year that the payout ratio has exceeded 50%. Despite significant changes in tariff policies, geopolitics, and global monetary policies, the AI server sector is expected to see strong growth in 2026. At the same time, the Group also unveiled its five-year plan, focusing on AI as the core driver and three major transformation strategies: Foxconn 1.0 – Operational Excellence; Foxconn 2.0 – Intelligence-Driven Growth; and Foxconn 3.0 – Platform Value Creation. Foxconn’s 2025 full-year revenue reached NT$8.1 trillion, a year-on-year increase of 18%; gross profit reached NT$498.2 billion, up 16% for the same period; operating profit at NT$259.2 billion, rose 29% on year; and net profit (attributable to the parent company) reached NT$189.4 billion, increasing 24%. The profit growth rate exceeded the revenue growth rate, representing best practice for maximizing the Group's profitability. Gross profit margin, operating profit margin, and net profit margin were 6.15%, 3.20%, and 2.34% respectively, compared to 6.25%, 2.92%, and 2.23% in the previous year. This shows that although high-priced AI products diluted the gross profit margin, the operating profit margin steadily grew to over 3%, and profitability of the core business benefited significantly from AI products, resulting in EPS reaching NT$13.61, an increase of NT$2.60 from the previous year. In the October-December quarter, revenue totaled NT$2.61 trillion, a 22% increase from the same period a year ago; gross profit at NT$153.3 billion, was up 17% at the same time; operating profit at NT$85.6 billion, rose 33% on-year; while net profit (attributable to the parent company) at NT$45.2 billion, fell 2% from a year ago. Gross profit margin, operating profit margin, and net profit margin were 5.88%, 3.28%, and 1.73%, respectively, compared to 6.15%, 3.03%, and 2.17% for the same period a year ago. The improved operating profit margin indicates enhanced profitability in the core business. EPS reached NT$3.23, down NT$0.11 from the previous year. Looking at the fourth quarter's operating performance, Foxconn Chairman Young Liu stated that both the fourth quarter and the full year saw record-breaking revenue, exceeding expectations and achieving strong growth. The Group's full year revenue reached NT$8.1 trillion, a record high. Notably, revenue from cloud and networking products surpassed that of smart consumer electronics products for the first time even during the traditional peak season for ICT products, becoming the largest product category in the quarter. Based on the Group's target of an average cash dividend payout ratio of no less than 40%, Chairman Liu announced this year's cash dividend per share will be NT$7.2, a significant increase from NT$5.8 per share last year, with a payout ratio of 52.9%, a new high since the company's listing in 1991, and exceeding 50% for seven consecutive years. The market is paying close attention to the Group's performance in cloud and networking products and smart consumer electronics products in 2026. Chairman Liu pointed out that with the unprecedented expansion of capital expenditures by large global CSPs, Foxconn, as the world’s largest AI server provider, will definitely seize this opportunity. As production capacity gradually comes online, AI servers will maintain strong growth. Regarding smart consumer electronics products, addressing market concerns about memory shortages and price increases, Chairman Liu stated that the Group's product portfolio is mainly composed of high-priced models, and the impact is currently observed to be relatively limited. Demand, as originally seen, remains unchanged, and visibility is gradually improving, with significant growth expected this year. Regarding the financial indicators that investors are highly concerned about, Chairman Liu stated that the "Enterprise Value Enhancement Plan" approved by the board of directors Monday incorporates targets such as operating profit margin and ROE into its core commitments in order to actively respond to investors' expectations for improved long-term profitability. ROE has been around 9% in 2023 and 2024. With deeper vertical integration of components, emerging economies of scale, and growing contribution of the AI business, overall profitability further improved in 2025, with ROE reaching 11.25% to steadily move towards a near-term target of 12%. As the global industry stands at the starting point of the new AI era, Foxconn, based on its three-stage transformation plan proposed five years ago – F1.0 Existing Business Optimization, F2.0 Digital Transformation, and F3.0 Transformation To New Industries – is using AI as the core driving force to promote the Group's upgrade through three major transformation strategies: Foxconn 1.0 Operational Excellence; Foxconn 2.0 Intelligence- Driven Growth; and Foxconn 3.0 Platform Value Creation Chairman Liu stated, "Our goal is clear: to transform Foxconn from the world's most important technology manufacturing partner into the most trusted industrial platform in the AI era. This will be the core direction of Foxconn's next stage of growth and the key to continuously creating long-term value for our shareholders."
2026/03/16