Alpha : Targeting New Asian Markets for This Year’s Growth

Alpha Networks Targeting New Asian Markets for This Year's Growth

Leading network communications vendor Alpha Networks Inc. (3380) hosted today (5/31) its 2024 general shareholders' meeting today. 2023 consolidated revenue was NT$28.272 million, consolidated gross profit margin was 17.4%, consolidated operating margin was NT$829 million, and net profits attributable to the owner of the parent company amounted to NT$548 million. The issue of NT$1.01 per share was also approved during the meeting.

Economic recovery has been slower than expected as the overall economy still faced challenges such as high interest rates in global markets, conflict and war. Optimizing our planning and integration of resources and personnel as well as improvements in the product portfolio resulted in 1.7% improvement in 2024 Q1 grass profit margins compared to the same period last year. Nevertheless, continued customer adjustments to their inventory as well as slowdown in market demand resulted in weaker revenue and profits compared to the same period last year.

At the same time, we merged our Dongguan and Changshu factories in China and optimized the production capacity due to strategic considerations such as future development and global manufacturing presence. Alpha Networks planned to put our subsidiary D-LINK Asia Investment Pte Ltd. and its 100% share in Alpha Networks (Dongguan) Co., Ltd. up for sale at the end of 2023. The non-operating income is expected to give a boost to profits in 2024 Q2.

Alpha Networks Chairman Huang Wen-fang stated that the Company will continue to focus on "New Asian Markets" and "New Product Development" in 2024 to strengthen its long-term competitiveness. New Asian markets will provide the main source of growth this year. As for new product development, development efforts will focus on FWA, 5G VPN, DOCSIS 4.0 and Wi-Fi 7 products. This will be complemented by a strategy of enlarger product lines and regional balance, as well as continued development of low-earth-orbit (LEO) satellite products. The backing of Group resources as well as synergies from the integration of Alpha Networks and Hitron means we are cautiously optimistic about business development this year.

Alpha Networks strives to become an inclusive and environmentally friendly sustainable enterprise. In 2023, we were recognized with the "Sustainability Comprehensive Performance Award - Top 100 Taiwanese Sustainable Corporates Award" and "Corporate Sustainability Reports - Gold Award" at the 16th Taiwan Corporate Sustainability Awards (TCSA), and the "TSAA - Effective Plastic and Waste Reduction through Environmentally Friendly Packaging - Silver Award" at the 2023 Taiwan Sustainability Action Awards.

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《Alpha Networks Inc.》
Alpha Networks Inc. was founded in 2003 and is one of the largest professional network equipment manufacturers in Taiwan. With years of experience in product development and design, Alpha Networks has been a major provider of network product design, R&D, and manufacturing for renowned global brands. The Company's product lines cover Local and Metropolitan Area Networks (LAN/MAN), wireless broadband networks, digital multimedia, and enterprise mobile solutions. Alpha Networks Inc. is headquartered in Hsinchu Science Park, Taiwan, and the Company owns 3 major R&D centers worldwide, as well as subsidiaries in North America, Japan, China, and Vietnam. For more information on Alpha Networks Inc., please refer to the company's website (www.alphanetworks.com).

《News Contact》
Claire Chen
Tel: [phone] ext. 6562
E-mail: [e-mail]

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