The owner of The Premium Audio Products Company VOXX International Corporation, have revealed another slump in sales for the third quarter ending November 30 2023. The delayed results announced on the day that CES 2024 kicked off, which is when most tech industry and audio journalists are chasing down new products.

The Company who are facing proiblems on multiple fronts and are blaming macroeconomic conditions reported that its third-quarter sales declined 5.4% and net income dropped 74.3%.

In comparison arch rival Masimo consumer the former Sound United, is reporting a fall in audio sales from a predicted 2023 range of US$769 to $774 to $700.

CEO Pat Lavelle, at an analyst conference call admitted that 2023 was “A very challenging year.” for the struggling audio Company.

During CES where the Company was showing off new Klipsch products, the market responded by driving the stock down close to 10%.

In Australia the Companies Premium Audio Products Division that has seen a massive exedos of staff and a move to appoint Westan as their distributor Vs a local subsidary operation the Company was a contributor to an improvement in their sales operation.

Globally Vox CE audio sales were up 5.9% with the business reporting nett sales of $100.0 million, an increase of $5.9 million or 6.2% compared to net sales of $94.1 million in the same quarter last year.

Premium Audio products led the way by delivering $79.9 million in the quarter, an increase of $6.4 million or 8.7% over the sales in the same segment last year.

The company claims that the increase in the Premium Audio segment was primarily due to increased sales of “premium home theater speakers and wireless speakers domestically and internationally.”

What is fast becoming a problem for PAP is their Onkyo and Pioneer product offering due in part to the fact that they are having to fund manufacturing in partnership with Sharp with the cost of borrowed money rising.

Nowhere in its formal press release, nor in the analyst conference call does the company provide specific sales figures for the Onkyo and Pioneer business however ChannelNews was told by PAP managementy at CES that sales are down “significantly” and that new management have been hired for the division.

In the Companies formal SEC 10-Q filing a fall in sales of US$11.6 million was revealed compared to the previous comparable fiscal period.

During previous conferenc e calls CEO Pat Lavelle has predicted growth from their investment in manufacturing the Onkyo and Pioneer products.

At CES it was clear that brands such as Vox are coming under pressure in the automotive market with brands such as LG Electronics now offering EV automotive manufacturers display screens and full entertainment and navigation based on Web OS and Android, also hurting VOX are Chinese brands who are choosing systems other than Vox Internation for their incar entertainment needs.

In their latest results VOX Automotive Electronics sales in the Fiscal 2024 third quarter were $35.9 million as compared to $48.6 million in the comparable year-ago period, a decrease of $12.6 million or 26.0%.

Quoting NPD data from November, Lavelle says industry-wide speaker sales in the USA are down 17% and that sales of AVRs in the industry were down 15%.