Profit at Apple supplier Foxconn drops 90%

Foxconn Technology Group’s first-quarter net profit slumped 90% from a year earlier, after its biggest customer, Apple Inc., reportedly delayed some production plans due to the coronavirus pandemic.

The Taiwan-based electronics maker, also known as Hon Hai Precision Industry Co., posted net profit of 2.08 billion Taiwan dollars (US$69.6 million), sharply lower from NT$19.83 billion a year ago.

Revenue fell 12% to NT$929.13 billion, the company said in a stock exchange filing Friday.

Foxconn had earlier warned of a hit to sales from extended factory shutdowns during the past quarter, when Beijing directed for most workplaces to suspend operations to contain the public health crisis.

Yifan Wang

Source:marketwatch.com