According to a quarterly results announcement made on Monday, Pegatron saw annual net profits rise 53.4% to $466.8 million U.S. in 2014, boosted by a growing share of the Apple’s supply chain including the very popular iPhone 6.Reuters recently reported some statistics on sales of the iPhone 6, which is said to have greatly benefited Pegatron’s bottom line in 2014. In addition, Q4 profits surged 68% to T$5.68 billion ($181.2 million US), which is a new record. The iPhone 6 was released only midway through Pegatron’s fiscal year in September.
Pegatron CEO Jason Cheng noted that “It’s definitely not a good thing to be too concentrated on just a few clients,” he said. “But you can’t avoid the fact that mobile phones have been fast sellers. When good business comes your way, how can you not take it?”
In the past Apple has been primarily dependent on another supplier, Hon Hai better known as Foxconn. However, the company’s product line has grown, which the company has delegated more and more orders to secondary firms.
In Feburary, a labor rights group charged that Apple had also shifted orders to Pegatron because of wage hikes at Foxconn. The improvement was one of number of steps taken by Foxconn to address complaints about poor working conditions, following pressure by activist groups and the media.
Fubon Securities analyst Arthur Liao told Reuters that Apple products may have made up as much as 59% of Pegatron’s 2014 revenues.