“Foxconn International Holdings Ltd., the Hong Kong-listed unit of the Foxconn Technology Group, posted a full-year net loss that was wider than analysts estimated as costs increased and sales shrank,” Joshua Fellman reports for Bloomberg.
“The net loss was $218.3 million, or 3.06 cents a share, compared with net income of $38.6 million, or 0.55 cent, in 2009, Foxconn said in a Hong Kong stock exchange filing yesterday,” Fellman reports. “The mean estimate of seven analysts surveyed by Bloomberg was for a net loss of $202 million.”
Fellman reports, “Foxconn Group increased salaries last year after a spate of suicides prompted clients to investigate working conditions, and is expanding in China’s interior, where costs are lower. The Hong Kong-listed unit is selling its Taiyuan, China, unit to its parent to help reduce fixed costs… Sales at Foxconn International fell to $6.63 billion from $7.21 billion in 2009, according to the statement.”
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