Hon Hai Precision Industry (TPE:2317), also known as Foxconn, reported a 19% annual growth in net profit for the first quarter to NT$49.9 billion, supported by strong demand for artificial intelligence products, according to a Thursday press release.
Shares gained over 2% in Friday's late morning trade.
Earnings per share rose to NT$3.56 from NT$3.03 a year earlier.
The Taiwanese electronics manufacturer's operating profit surged 63% year-on-year to NT$75.6 billion, while revenue climbed 29% to a record NT$2.12 trillion.
Gross profit margin improved to 6.18% from 6.11% a year ago, while operating profit margin rose to 3.57% from 2.83%.
Foxconn said its cloud and networking business, driven by AI server demand, now contributes nearly half of total revenue, helping reduce the seasonal impact typically seen in the ICT sector.
The company expects strong AI demand to continue lifting second-quarter performance, forecasting significant quarter-on-quarter growth and strong year-on-year expansion despite the industry's traditional slow season.
Foxconn maintained its full-year outlook for strong growth and said capital expenditure is expected to rise more than 30% this year as it expands manufacturing capacity, automation and AI-related investments.