- In the face of postponed customer orders from snowstorms in China, Aztech’s 1Q24 earnings of S$15.9m (+19% y-o-y) are still largely in line with our forecast, forming 15% of our 2024 estimate. IoT devices remain the key revenue contributor, making up 99% of revenue.
1Q24 earnings largely in line with expectation despite detriment of heavy snowstorms in China.
- - Read this at SGinvestors.io -
- 1Q traditionally accounts for 18% of full-year earnings. This mainly stems from a 20% y-o-y fall in 1Q24 revenue, as a result of deferred customer orders due to heavy snowstorms in China.
- - Read this at SGinvestors.io -
Robust orderbook with new customer acquisitions.
- Aztech’s current orderbook stands at S$456m as at 23 Apr 24 vs S$334m as at 22 Feb 24, with the majority scheduled for completion in 2Q24 as order lead-time has normalised to two to three months post-pandemic.
- Aztech remains focused on fulfilling the rescheduled 1Q24 orders of about S$20m, as well as delivering orders for IoT products from its newly secured customers. We remain optimistic on its outlook with its strong orderbook indicating revenue growth.
Cautiously optimistic on 2024 business outlook.
- Read more at SGinvestors.io.
