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Hon Hai's September revenues hit one-year high
Publication Date : 11-10-2013
Boosted by strong sales of new iPhone models, the September consolidated revenues of Apple's primary device manufacturer Hon Hai Precision Industry posted a 14.26-per-cent rise from a year earlier and hit a one-year high at NT$337.862 billion (US$11 billion).
Hon Hai Precision Industry, trading as Foxconn outside Taiwan's equity market, yesterday released a statement that its revenues for September 2013 were NT$337.862 billion, a 14.26-per-cent jump from NT$295.693 billion in September 2012 and a 20.48 per cent sequential growth.
As the market had widely expected, Hon Hai's consolidated sales for September rose more than 20 per cent from August to return to the NT$300 billion-mark on the back of increased shipments to Apple.
Apple unveiled its latest two smartphone models — the high-end iPhone 5S and the lower cost iPhone 5C — in the United States on September 10. It was the first time that the US-based consumer electronics giant had launched more than two iPhone models at the same time.
Apple sold more than 9 million units of the iPhone 5S and the iPhone 5C in the first weekend after they went on sale in selected markets on Sept. 20. The figure was Apple's best first weekend for iPhone sales and beat previous market estimates of 6-8 million units.
Consumer products a major slice of Sept revenues
The company garnered NT$918.543 billion in third-quarter consolidated revenues, up 2.56 per cent in quarterly terms to reach a one-year high. Hon Hai's second-quarter consolidated revenues reached NT$895.617 billion.
Hon Hai's cumulative 2013 sales dropped 5.18 per cent to NT$2,624.38 billion, from NT$2,767.65 billion in the year previous.
Hon Hai Precision told Taiwan-based Central News Agency that consumer electronics products made up a major share of its total shipments, followed by personal computers and telecommunications products.
Analysts observed that sales in September recovered as many consumers had put their purchase plans on hold until Apple announced the launch of the two new iPhones.
In addition to Apple's latest devices, Hon Hai's September sales benefited from increased production of new smartphones, particularly low-range non-Apple models, analysts said.
Looking forward, analysts said Hon Hai is expected to post even higher sales in the fourth quarter, which is a traditional peak season for the high-tech industry, on hopes that Apple's strong iPhone sales will continue, while orders placed by non-Apple smartphone vendors could also lift the Taiwanese supplier's shipments.
As Apple is likely to unveil new iPad models later this month, Hon Hai's sales growth momentum is expected to accelerate in the October-December period, they said, adding that the Taiwanese firm's monthly sales could hit a peak in November or December of this year.
US$1 = NT$29.38