Taipei, March 28, 2012 (CENS)--The Hon Hai Group, currently Taiwan's biggest manufacturing conglomerate, scores after-tax net income of NT$35 billion (US$1.1 billion at US$1:NT$30) on consolidated revenue of NT$1.07 trillion (US$35.8 billion) in the fourth quarter of 2011, both topping expectations and breaking the group's quarterly records.
The quarterly revenue result represents a 24.43% increase over a quarter earlier and the earnings result was up 82.66% in the meantime. For the first time, the company's quarterly revenue stands above NT$1 trillion (US$33.3 billion).
The group's earnings per share for the fourth quarter of 2011 was NT$3.18, higher than the NT$2.5-2.8 range set by industry executives.
Throughout 2011, Hon Hai raked in NT$81.9 billion (US$2.7 billion at US$1:NT$30) in after-tax net income, or NT$7.65 per share, on consolidated revenue of NT$3.18 trillion (US$106 billion).
Industry executives ascribed Hon Hai's staggering revenue and earnings in the fourth quarter of 2011 mostly to iPhone 4S contracts from Apple and climbing defect-free production ratio. The group's consolidated gross margin for the quarter rose to 8.89%, up from 7.05% in the previous quarter.
Macquarie Securities estimated New iPad, Macbook and iPhone 5 would drive up the group's revenue in the first, second and third quarters of this year, respectively.
Moreover, the group's handheld phone subsidiary, Foxconn International Holdings (FIH), managed to score net profit of US$72 million) in 2011 from a net loss of US$218 million in 2010 and enjoys bright outlook for earnings in this year and next.
Macquarie projected the group's earnings at NT$10.99 for this year and NT$14.25 for next year.
(by Ken Liu)