Apple supplier Foxconn’s Q2 profit up 12% on cloud demand

A motorcyclist rides previous the emblem of Foxconn, the buying and selling title of Hon Hai Precision Trade, in Taipei, Taiwan March 30, 2018. REUTERS/Tyrone Siu

TAIPEI, Aug 10 (Reuters) – Apple Inc (AAPL.O) provider Foxconn (2317.TW) reported on Wednesday a 12% bounce in second-quarter web revenue, beating market estimates, helped by sturdy demand for its cloud computing merchandise.

The Taiwanese firm, the world’s largest contract electronics maker, mentioned web revenue for the April-June quarter rose to T$33.29 billion from T$29.78 billion a 12 months earlier.

Eleven analysts have been anticipating on common a revenue of T$31.02 billion, in accordance with Refinitiv.

The corporate, like different international producers, has grappled with a extreme scarcity of chips that has squeezed smartphone manufacturing, and extra just lately a downturn in main markets amid excessive inflation and the warfare in Ukraine.

Foxconn shares closed 0.9% increased forward of the earnings launch, versus a 0.7% drop within the broader market (.TWII). They’ve risen 5.8% to date this 12 months, giving the corporate a market worth of $50.3 billion.

Reporting by Yimou Lee and Sarah Wu; Enhancing by Muralikumar Anantharaman

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