Hon Hai Precision Industry Co. Chairman Terry Gou says the company’s profits have lagged behind those of Apples because the devices are ‘very difficult to make’, reports Bloomberg.
Gou says steps to make products more efficiently will start to pay off in the second half of this year and next year.
"We’ve helped make a lot of money," Gou said. "If our customers make money, then we can also make money. I most fear customers that don’t make money."
Although Hon Hai posted two quarters of declining profit due to higher wages and costs for moving factories to inland China, the company’s net income rose 1.9 percent to NT$77 billion ($2.7 billion) for year ending in December on a 53 percent jump in revenue to NT$3 trillion. Apple’s profit jumped 70 percent to $14 billion for the year that ended in September.