With Apple's recent $ 1 trilli rating, it would be a wderful time to be Apple's supplier. However, according to the new quarterly settlement announced by Apple's lgtime manufacturer Foxcn, it is not entirely true.
As revealed by Foxcn's latest financial revenue, csolidated revenue increased 17% year-over-year and reached the record high of $ 34.43 billi in the secd quarter. Unfortunately, net income for the quarter declined 2.18% from the same period last year to the lowest level in five years.
The gross margin was the lowest level since the same period in 2012, but the operating margin declined to the lowest level since January of the same year.
Foxcn did not comment overwhelming profit performance, but shares fell 2.44% prior to the announcement of the quarterly settlement of accounts.
Apple accounts for approximately 50% of Foxcn's revenue. However, although Apple has been blown out in 2018, most of its growth is growing due to the growth of service departments and other devices such as AirPod and Apple Watch. IPhe shipments, which are more directly related to Foxcn's revenue, have increased by ly 1% in a year.
Vincent Chen, director of regial research team at Yuanta Investment Csulting, says: "Apple's achievements are gradually deviating from Taiwanese suppliers.
Necessity of reform
Things never come too so. This year may eventually be the iPhe super cycle that Apple wanted, but it also instructs suppliers to reduce parts to 20% to suppliers compared to a year ago.
We will negotiate your own deals for screw-like compents to save mey by other Apple initiatives –