Taiwan’s Foxconn, the world’s largest contract electronics maker, said on Tuesday it was “cautiously optimistic” about its fourth-quarter revenue outlook after reporting record-breaking September sales.

Like other global manufacturers, the Taiwanese company, a major Apple supplier, could be vulnerable to the slowing consumer tech demand as the world’s economy faces the possibility of recession and inflation soars, especially in the United States and Europe.

But the company said in a statement it was “cautiously optimistic” about the outlook for the final three months of 2022, and maintained its full-year guidance of growth given in August, from previous guidance of flattish revenue.

The company, formally called Hon Hai Precision Industry, said revenue for September and the third quarter grew 40.39 percent and 24.4 percent on the year, respectively, both hitting a record high and beating the company’s own expectations.

Revenue for smart consumer electronics, which includes its key smartphone business, showed strong double-digit growth in the third quarter thanks to new product launches and “smooth mass production”, the company said in a statement.

Apple’s new iPhone 14 went on sale last month.

The company had previously forecast flat revenue growth for the third quarter for consumer electronics, including smartphones.

Revenue gained 13.66 percent in the first nine months of 2022, the company said, adding outlook for the year remained the same as previously forecast of “growth”. It did not elaborate.

The fourth quarter is traditionally the hot season for Taiwanese tech companies as they race to supply cellphones, tablets and other electronics for the year-end holiday period in Western markets.

The company’s shares closed up 1.5 percent on Tuesday, underperforming the broader market which gained 2.1 percent. Foxconn shares have dropped 1.4 percent this year, giving it a market value of $44.03 billion (roughly Rs. 3.6 lakh crore).

© Thomson Reuters 2022