Netgear Delivers 50% APAC Fall In Revenues Marketing Manager Promoted
US network Company Netgear who are sticking with overpriced network routers for the home has seen their sales slump over 24% in the fourth quarter compared to the prior year, the business also delivered another operating loss.
For the 12 months ending December 2023 Netgear saw their total revenues fall to US$740,840 from $932,472 at December 2022.
Net loss for the year was US$ 104.7M Vs US$68.9 at December 2022.
In Asia Pacific sales for the 12 months to December 2023 fell from $18.5M to $10M a fall of over 50%.
The networking business that is getting beaten up by Asian networking Companies could only manage fourth quarter 2023 net revenue of $188.7 million, a decrease of 24.3% from the comparable prior-year quarter.
Fourth quarter 2023 GAAP operating loss was $2.9 million.
Bryan Murray, Chief Financial Officer of Netgear claimed “I’m pleased with our fourth quarter results where Netgear delivered revenue and operating margin near the high end of our updated guidance”.
He admitted that the business was finally able to stabilise their B2B business and that a continued disciplined was bringing expense management under control.
The global marketing director of Netgear is Sydney based Heidi Cormack.
Local Marketing Director Sarah Dalli who left Samsung after a short stint has not explained the reason for continued slump in Netgear sales during her time at the Company. She joined Netgear in 2020 and despite the poor local results was promoted to Marketing Director APAC from Marketing Manager Australia.
Murray said “Although channel inventory compression constrained the topline across both our CHP and SMB businesses during the year, the strong contribution of our premium products powered us to equal our highest annual gross margin performance since 2007″.
Tipping more bad news he said “We expect the retail portion of our CHP business to experience a seasonal decline coming off the holiday period. Revenue from the service provider channel is expected to be approximately $25 million in the first quarter”.
He added “We will continue to work with our SMB channel partners to optimize their inventory carrying levels during the next few quarters. Accordingly, we expect first quarter net revenue to be in the range of $155 million to $170 million.