Foxconn Hon Hai Technology Group Signage during the NVIDIA GPU Technology Conference (GTC) held in San Jose, California, USA on Thursday, March 20th, 2025.
David Paul Morris | Bloomberg | Getty Images
Taiwan foxconnthe world's largest contract electronics manufacturer reported on Thursday that second quarter operating profit rose 27% year-on-year in the strength of its growing artificial intelligence server business.
Here's how Foxconn did in the second quarter of 2025 compared to LSEG smartestimates, which is weighted to forecasts from more consistently accurate analysts:
- Revenue: 1.79 trillion new Taiwanese dollars ($5.97 billion) vs. 1.79 trillion
- Operating profit: NT $5.6596 billion vs $4.9767 billion
Second quarter revenues rose 16% from last year, alongside LSEG's SmartEstimates. The company's net profit for the second quarter was NT$443.6 billion, exceeding expectations of NT$388.1 billion.
Officially known as the Hon Hai Precision Industry, Foxconn is the world's largest manufacturer of iPhones, and is trying to replicate the success of home appliances in the AI world.
The company manufactures server racks designed for AI workloads and has become an important partner for AmericanAI Chip Darlings nvidia.
Foxconn's server products sales consisted of Lion's revenue share of 41% in the second quarter, surpassing smart consumer electronics for the first time, accounting for 35%.
In its revenue report, the company predicts its AI server business will continue to drive growth in the current quarter, with revenue expected to rise by more than 170% year-on-year.
Foxconn said earlier this month that it expects further overall revenue to rise in the third quarter, but that the impact of “evolving global political and economic conditions” will be closely monitored.
At the end of July, Foxconn announced it was acquiring a stake in industrial motor manufacturer Teco Electric & Machinery in a strategic partnership to build more AI data centers.
The company also shows its willingness to expand into new regions, including assembling electric vehicles and manufacturing semiconductors.
But US President Donald Trump's global tariffs could affect Foxconn's outlook this year. In response to Trump's tariff threat, the company has already moved most of its final production of its US iPhone to India.
Taiwan is said to be hit by a 20% “temporary tariff” from the US, with trade negotiations being underway.
Last week, Trump also said he would impose 100% tariffs on semiconductor and chip imports, but not on businesses that are “built in the US.”
Details about these tariffs remain unknown, according to local media reports, but Foxconn Technology Co, a metal casing supplier owned by Hon Hai Precision Industry, has announced plans to invest $1 billion over the next decade as part of North American expansion strategy.
