Hon Hai chair forecasts 10% growth in company’s sales
The chairman of Taiwan-based Hon Hai Precision Industry Co. ( ), a major supplier of Apple Inc., promised Thursday that his company’s revenue will grow 10 percent this year.
Speaking at a meeting with shareholders, Terry Gou (
) said he remains “highly optimistic” about Hon Hai’s growth in the medium and long term because his company’s business development “conforms to its customer demand.”
Hon Hai, known outside Taiwan as Foxconn Technology Group ( ), is currently developing new businesses to cater to the “Industry 4.0” initiative for smart plants, to China’s national plan to boost its manufacturing sector by 2025, and to the deployment of robots at Hon Hai’s own factories, Gou said.
However, he admitted that it will become more difficult for Hon Hai to grow by another 10 percent from a large base of around NT$4 trillion (US$129 billion) in consolidated revenue last year by simply selling products, so the company will seek more sales contribution from providing services to its customers.
Hon Hai reported consolidated net operating income of NT$4.213 trillion in 2014, an increase of 6.6 percent from NT$3.952 trillion in 2013, and the company’s net profit also grew 22.34 percent to a record high of NT$130.535 billion in 2014.