Taiwanese contract manufacturer Hon Hai Precision Industry, known as Foxconn, reports a bigger-than-expected 40% increase in quarterly sales, citing ongoing demand for AI servers. According to the company, shipments of AI server racks should keep their momentum during the current quarter. The Next Web reports that Hon Hai also posted June revenue of NT$1.33 trillion (about $45 billion), representing a 21.6% year-on-year increase. Bloomberg similarly describes the results as a sales beat driven by continued AI demand, referencing Hon Hai as a key partner in assembling servers for Nvidia. Both sources attribute the growth to sustained customer interest in AI-focused server systems rather than any single product change. The company’s guidance indicates it expects AI-related rack shipments to remain strong in the near term, aligning with the reported acceleration in sales over the quarter. The reported figures cover the latest quarterly performance and do not specify additional details on margins, customer mix, or production capacity in the excerpts provided.