Quanta Computer Inc. reported a record annual profit of NT$59.7 billion ($1.85 billion) for 2024, up more than 50% from the previous year, as robust demand for AI servers offset weakness in its traditional laptop business.
The Taiwan-based electronics manufacturer announced its highest-ever dividend of NT$13 per share, representing an 84% payout ratio and a yield of about 5.2% based on Wednesday’s closing price.
Looking ahead to 2025, Quanta expects AI servers to account for more than half of its server business, with that proportion rising to over 70% in 2025. The company forecasts its AI server revenue will double this year, driven by steady orders from the four major cloud service providers whose infrastructure investments remain strong.
“2025 is going to be a celebratory year, with excellent opportunities for Quanta,” said Chairman Barry Lam, who noted that after a year of intensive R&D, the company’s AI supercomputer will launch this year.
To support this growth, Quanta is increasing capital expenditure to between NT$15-16 billion ($465-496 million) in 2024, up from NT$14.2 billion last year. The company also plans to hire 500-600 additional employees in Taiwan, expanding its R&D team to 3,000 people.
Despite seasonal weakness, Quanta’s laptop business is showing signs of recovery. The company expects a milder first-quarter decline compared to typical seasonal patterns and projects a single-digit percentage increase in annual laptop shipments after delivering 45.9 million units in 2023.
Quanta will also expand production in Thailand and is considering growth in the US, with NVIDIA GB200 shipments starting this quarter and GB300 development underway for third-quarter delivery.
