TAIPEI (Taiwan News) — Foxconn said Wednesday (Aug. 14) its Q2 revenue was NT$1.55 trillion (US$48 billion), marking a historic high for the quarter.

In a press release on Wednesday, the company said operating profits rose by 44% to NT$44.6 billion while net profit increased by 6% to NT$35 billion. Revenue for the first half of the year reached NT$2.87 trillion, per UDN.

Foxconn Chief Financial Officer David Huang (黃德才) said Q2’s profit margins on a gross and operating basis improved compared to last year. “Gross profit margin improved to 6.42% mainly due to product mix optimization and revenue increase,” he added.

Foxconn Vice President and spokesperson James Wu (巫俊毅) said strong demand for AI servers is expected to continue. “We maintain our view that AI servers will contribute to 40% of overall server revenue this year,” he explained. “AI servers should soon become Foxconn’s next trillion dollar revenue product.”

Looking ahead to Q3, Wu said operations are set to ramp up as the company enters peak season. He added Q3 will see significant growth which will continue into Q4.