The Foxconn logo is displayed on a Foxconn building in Taipei on January 31, 2019. (PHOTO / AFP)

Taiwan’s Foxconn posted an almost 90 percent drop in first-quarter profit on Friday, as the coronavirus pandemic disrupted production and hit demand from Apple Inc and other major clients.

But the world’s largest contract electronics manufacturer, formally called Hon Hai Precision Industry Co Ltd, said the worst of virus outbreak for the company was over.

Hon Hai will stabilize in the second quarter

Foxconn 

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“Hon Hai will stabilize in the second quarter,” Foxconn said in a statement, adding that it expects revenue will show double-digit growth in the second quarter from the first quarter.

While demand for smartphones remains unclear, other business units are expected to see revenue growth of more than 10 percent in the second quarter from a year earlier thanks to rising demand from telecommuting and online entertainment, it added.

READ MORE: Foxconn says there is a need to hire 50,000 people in Q1

Foxconn reported net profit of NT$2.1 billion (US$70.25 million) for the January-March quarter, falling well short of a Refinitiv consensus estimate of NT$8.88 billion drawn from 14 analysts.

Foxconn shares closed 1.4 percent lower ahead of the results on Friday, versus a 0.3 percent gain for the broader market. They have lost 15 percent for the year to date.