AoFrio reports 10.5% revenue drop in 2023

AoFrio has reported a 10.5% decrease in revenue for the 2023 financial year, amounting to $66.6 million.

The company's audited results, released today, attributed this decline to challenging macroeconomic conditions and customers holding excess inventory purchased in the previous year.

However, AoFrio saw a significant improvement in its second-half results compared to the first half, as the excess inventory was gradually worked down.

Despite the lower volumes shipped, the company was able to maintain its market share in the internet of things (IoT) sector and secure new market share wins.

AoFrio's gross margin also improved from 27.7% to 30.0%.

Looking ahead to the 2024 financial year, the company expects a modest recovery in its base business and anticipates revenue in the range of $70m to $80m, a 13% increase over 2023.

The investor briefing to discuss new initiatives contributing to revenue growth is scheduled for March 4 2024.