Andre Yoskowitz
10 Apr 2013 15:45
Hon Hai Precision Industry, the parent of Foxconn, reported earnings this week, and they were not pretty.
The company, which is Apple's main manufacturer, saw a 19 percent dip in revenue for the Q1 thanks to weaker demand for the iPhone.
Total revenue for the quarter was $26.96 billion, down from $33 billion in the Q4 2012 and $33.5 billion for the Q1 2012.
"A quarterly decline was expected, but not a yearly decline," added KGI Securities analyst Ming-chi Kuo. "This shows that Hon Hai's revenue depends too much on Apple, and iPhone orders corrected more than expected."
Hon Hai makes 65 percent of its revenue from assembling iPhones (and iPads and iPod Touches) and other work for Apple.