Wistron, a Taiwanese electronics company, anticipates revenue growth due to strong demand for servers dedicated to artificial intelligence applications.

Declining Margins

Despite the revenue growth forecast, the company reported a decrease in gross margins, which fell to 5.62%. Simon Lin of Wistron attributed this decline to changes in the composition of products sold, particularly the increase in shipments of rack-related server products. These changes in the product mix have a direct impact on the company's overall profitability.

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