Foxconn, an iPhone supplier, is mainly optimistic about the fourth quarter of its revenue forecast

Foxconn, an iPhone supplier, is mainly optimistic about the fourth quarter of its revenue forecast ...

Foxconn, Taiwan''s largest contract electronics company, said on Tuesday that it was "cautiously optimistic" about its revenue forecast for the fourth quarter after reporting record-breaking September sales.

As the world''s economy confronts the possibility of recession and inflation, especially in the United States and Europe, the Taiwanese company, a major Apple supplier, might be vulnerable to rising consumer tech demand.

In a statement, the company stated that it was "cautiously optimistic" about the forecast for the next three months of 2022, and maintained its full-year growth guidance, which was derived from previous estimates of flattish earnings.

The company, officially referred to Hon Hai Precision Industry, said revenue for September and the third quarter increased by 40.39 percent, respectively, putting both the numbers at a new high, surpassed expectations.

According to the company, revenue for smart consumer electronics, which includes its leading smartphone industry, increased in the third quarter owing to fresh product launches and "smooth mass production."

The new iPhone 14 from Apple has been on sale last month.

Consumer electronics, including smartphones, had previously forecasted steady revenue growth for the third quarter.

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The company said revenue increased by 13.66 percent in the first nine months of 2022, indicating that the forecast for the year had remained the same as previous forecasts of "growth."

Taiwanese tech firms are expected to supply cellphones, tablets, and other items for the holidays ended in the fourth quarter.

The company''s stock closed up 1.8 percent on Tuesday, underperforming the larger market that gained 2.1 percent. Foxconn''s stock has dropped 1.4 percent this year, giving it a market value of $44.03 billion (roughly Rs. 3.6 lakh crore).

2022, Thomson Reuters