Primax Electronics (TWSE: 4915) today held an earnings call for the first quarter ended March 31, 2024.
For 1Q24 revenue breakdown, information products accounted for 53% of total revenue, followed by smart lifestyle products (21%) and Auto/ AIoT related products (26%). Primax has been optimizing its product mix as Auto/AIoT products is steadily increasing year by year, serving as important growth drivers for the company.
YY Hsiao, General Manager and CFO of Primax, stated that “In 1Q24, Primax achieved solid operational performance which demonstrated in gross margin, operation margin and net margin improvement despite of slow seasonality. Furthermore, 1Q24 EPS posted a quarterly record high. 1Q24 result performed better-than-expected thanks to PC/ gaming rush orders coupled with AIoT products contribution. However, demand for audio related products remains weak in the first half of 2024. Primax will continue to increase high premium products to strength profitability.
Looking ahead to 2Q24, Primax 3 senses in one (visual, audio, interface) integration capability will benefit from GenAI-enabled applications. Riding on the edge computing trend, Primax is actively embracing AI and investing in new technologies and product development for smarter AIoT devices. Moreover, Primax offers cutting-edge solutions, including public safety, AIoT (B2B) visual solutions, and automotive applications, which will further strengthen the company's profitability. Primax aims to forefront of market trends, enhance competitiveness, and adopt a proactive long-term strategy while maintaining solid operational performance.