Manufacturing News

Hon Hai sees revenue jump 38% in September

With the peak sales season approaching for the electronic sector, Hon Hai Precision Industry Co., the world's largest provider of electronic manufacturing services, registered NT$149.4 billion (US$4.63 billion at US$1:NT$32.2) in sales in September this year, shooting up 38% from the preceding month.

The September sales hit the company's third-highest monthly sales record in history, only next to revenues posted in September and October of 2008. The company's spokesperson C.A. Ting noted his company has seen strong market demand for 3C (consumer electronics, communications and computers) products, especially the consumer electronics, in September. In addition, the company's personal computers sold very well in the month because of the incoming launch of the Microsoft Corp.'s Windows 7 operating system and Intel Corp.'s innovative chips.

An industry insider said Hon Hai's outstanding sales performance in September has indirectly proved that the global high-tech sector has got out of the woods.

It is expected Hon Hai will continually create a sales peak in October this year due partly to the Windows 7 new operating system to be launched worldwide on Oct. 22 and partly to the anticipated shopping-spree season stimulated by the upcoming Christmas holidays.

According to a research report made by the U.S.-based Merrill Lynch, Hon Hai is benefiting from the steadily-growing shipments of iPod Nano music players, iPhone cellphones and iMac computers to its biggest client Apple Computer.

Merrill Lynch Taiwan said Apple will outsource 39% of its total production to Hon Hai this year. At present, Hon Hai sees 20% of total sales come from Apple's contract orders.

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