Home > Latest News > Ambertech Profits Fall As Audio Market Softens + Network 10 Project Put On Hold, Shares Crash 28%

Ambertech Profits Fall As Audio Market Softens + Network 10 Project Put On Hold, Shares Crash 28%

Sydney based distributor Ambertech is claiming that reduced demand for audio products in Australia and delays of a Network 10 project is impacting the business and that marketplace conditions have “softened” despite the Company delivering increased revenues due in part to recent acquisition of Companies such as Convoy International, their shares have fallen 28% this week on the latest financial filings.

In a brief to the ASX the Company reported that revenues for the 2024 financial year will be between $92.5 million to $95.0 million Vs $84.2 million in 2023.

Net Profit After Tax is set to fall to between $1.25 million to $1.5 million Vs $1.9 million in FY 23.

The Company claims that a full year dividend remains under consideration by the Board.

A spokesperson for the Company said “Despite early signs being positive in second half trading, we have since experienced a slowdown across multiple markets as the period has progressed. The Company‚Äôs updated guidance is primarily driven by reduced demand for Hi-Fi products during the period as consumers manage the burden of high costs of living and a sustained increase in interest rates”.

They have also reported that delays in a project for the struggling Network 10 whose parent Company is up for sale, is impacting the business due to required technology updates by their vendor partners.

They have also reported that delays and cancellation of other projects that the company had a high expectation of completing in the current financial year is a problem for the NSW based business going forward.

They claim that “A review of market activity has provided comfort that we have maintained market share and that we continue to be a preferred supplier of solutions to the markets in which we operate.

The Ambertech Board claim that the reduced demand “is temporary” and that project revenues for 2024 are expected to be delivered in the first half of FY25.



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