Foxconn warns chip shortage will last until second half of 2022

in iPhone edited November 2021
Major Apple iPhone supplier Foxconn has cautioned that the global chip shortage is likely to continue for longer than previously expected.

Hon Hai Precision Industries owns Foxconn
Hon Hai Precision Industries owns Foxconn

Foxconn's previous Q2 earnings saw the company beat estimates. However, it said that it was having to "wait and see" whether the chip shortage or coronavirus outbreaks would have an impact.

Now in announcing its Q3 earnings, the company reported a 20% rise in profits, year on year, according to Reuters.

"If not for supply shortages prospects for the fourth quarter [it] could have been better," said chairman Liu Young-way in the firm's earnings call. "Regarding next year's prospects, we will be relatively cautious in our outlook."

Net profit for Q3 was $1.33 billion, ahead of average analyst estimates of $1.14 billion.

The company said that it expects to see revenue from its electronic vehicle (EV) business, starting in Q3 2022. It recently acquired its first US EV factory.

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