Foxconn sales peak after COVID-19 disruption

Oluwanifemi Ojo
Oluwanifemi Ojo
Foxconn, iPhone Assembler in China

The world’s largest electronics maker and the biggest Apple’s iPhone assembler, Foxconn has recorded a 48.2% revenue increase in January, after COVID-19 disruption.

It was stated by the company on Sunday that it recorded a revenue of T$660.4 billion ($22 billion).

The company also established that operations are returning to normal. There is now an increase in shipments at Zhengzhou, the centre for the production of Apple’s iPhones in China, it said.

According to the company, “ compared to the previous month, revenue was up 4.93% with smart consumer electronics products, which includes smartphones, and computing products showing strong double-digit growth.”

It was reported that iPhones production faced major disruption during the holidays as a result of the Covid restrictions. This also affected workers of Foxconn’s factory lines as they left because of the curbs to control the Covid-19 pandemic.

Following these Covid restrictions in China, the rate of production slowed down in this company. Consequently, Apple recorded a 5% fall in sales which was the first major decline since 2019.

According to Reuters, analysis has shown that about 70% of iPhones were assembled by Taiwan’s Foxconn. Apple’s premium models like the iPhone 14 Pro were also produced at the Zhengzhou plant.

However, Apple predicted on Thursday that the sales of iPhones will likely rise because their major producer in China has begun normal operations.

Foxconn has predicted that based on what has been recorded in January, the company is likely going to meet market’s expectations.

In Foxconn’s words, “Based on market consensus for first quarter 2023, January revenue came in slightly ahead. The outlook for the first quarter will likely reach market expectations.”

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