Nvidia Partner Hon Hai Profit Jumps After AI Fuels Server Sales

Nvidia Corp.’s major server assembly partner Hon Hai Precision Industry Co. reported a stronger-than-expected increase in quarterly profit, highlighting sustained spending on hardware essential for AI.

Net income for the first quarter ended in March rose to NT$49.9 billion ($1.6 billion), while analysts on average expected NT$48.4 billion. The Taiwanese company earlier reported a 30% rise in sales that was broadly in line with expectations.