The paltry payrises from Foxconn to workers at its Shenzhen plants don’t seem to be affecting earnings too much. Parent group Hon Hai is going to see consolidated sales of NT$3 trillion, or about $98.4 billion US dollars, for this year.
Gross profit margin reached 8.2 percent and saw Hon Hai bringing in NT$2.045 trillion, or about $67 billion US. In the fourth quarter, consolidated sales are expected to hit up to NT$1 trillion, or $32 billion US.
Even with friendly margins, which keeps Hon Hai firmly as the largest electronic manufacturing service provider in Taiwan, consolidated gross profits were down one percentage point for the first threequarters of this year compared to the same time last year.
Its subsidiaries, such as Q-Run, are still making larger profit margins for electronic components, reports Taiwan Economic News.
However, in terms of losses, Hon Hai’s Foxconn Holdings, listed on the Hong Kong Stock Exchange, fell NT$1.777 billion in equity investment – or about $58.3 million US dollars. Still, as the contracts from the West keep rolling in, that’s just one less golden backscratcher for Terry “hungry people have especially clear minds” Gou.