The outstanding sales performance of Hon Hai can be attributed to its concentration on the contract production of such mainstream electronic products as iPhone and iPad for Apple Computer Inc.

Taiwan's other electronic contract manufacturers almost posted double-digit decline month-to-month in non-consolidated sales in April, making Hon Hai stand firmly as Taiwan's largest electronic contract manufacturer.

Institutional investors noted Hon Hai is running on the right track as it focuses on the most popular electronic products. Based on the outstanding performance in April, Hon Hai is expected to return to a growth track in May.

Earlier, industry insiders predicted Hon Hai's April sales to surpass that of March because of the successful introduction of Apple's iPAD2 tablet computers. But Hon Hai suffered a month-on-month decline in sales in April because it has enjoyed outstanding performance in March.

Other electronic contract manufacturers, including Quanta Computer Inc., Pegatron Corporation, Wistron Corp. and Compal Electronics Inc., all saw consolidated sales slip by over 10% in April.

Hon Hai forecasts a strong growth this year. Of its major 3C (communications, consumer electronics and computers) products, Hon Hai believes the consumer electronics will see the strongest growth, followed by computers and communications this year.

A domestic securities firm predicted Hon Hai will see operating profit margin return to a comparatively high level of 3.5% in the second half of this year.