HONG KONG— Foxconn Technology Group, the main manufacturer of Apple Inc. devices, posted an 8.7% decline in third-quarter profit, weighed down by recently acquired Japanese electronics maker Sharp Corp.

Losses at Sharp were a drag on what was otherwise a quarter of brisk sales because of production of the iPhone 7 for Apple, Foxconn’s largest customer.

Foxconn, which is formally known as Hon Hai Precision Industry Co. , said on Friday its profit fell to $34.6 billion New Taiwanese dollars ($1.09 billion), but it still beat the NT$33.3 billion average estimate of nine analysts polled by Capital IQ.

Revenue rose to NT$1.075 trillion from NT$1.066 trillion a year earlier.

Foxconn completed its $3.8 billion acquisition of Sharp in August after years of tumultuous negotiations and last-minute hitches that almost derailed the deal. Sharp’s advanced flat-screen panel business fits into Foxconn’s strategy to expand into high-end components—a more lucrative business than electronics assembly.