Taiwan IPC Weekly News 23 Jan, 2025

APLEX Aims for Higher Revenue This Year, Profit Expected to Grow by Double Digits

Source: 《電週邊》維田今年營收追高 獲利看增雙位數

Original News Issued Date: 16 January 2025

What to learn from this article:

• “The industrial computer industry is gaining momentum, driven by trends in sectors such as heavy electrical equipment, robotics, and AI."
• "APLEX’s current utilization rate stands at 80-90%, fueled by recovering market momentum in the U.S. and Europe, along with successful expansions in Asia."
• "APLEX is strategically focused on expanding its presence in Southeast Asia, with the goal of doubling its revenue share in the region."

The TAIEX (Taiwan Stock Exchange Capitalization Weighted Stock Index) surged nearly 500 points as industry sectors related to heavy electrical equipment, robotics, and AI gained momentum in the market, driving growth in the industrial computer field. Companies such as ADLINK, IBASESOLUTION, and APLEX maintained steady stock prices above NT$50.00 (US$1.53).

APLEX has benefited from recovering market momentum in the U.S. and Europe, along with successful expansions in Asia. Its current utilization rate stands at 80-90%, with order momentum expected to strengthen gradually starting at the end of the first quarter. Looking ahead to 2025, market analysts estimate that APLEX will surpass its historical record high from 2022, achieving double-digit annual growth in both revenue and profit.

APLEX's consolidated revenue for December 2024 reached NT$75 million (US$2.29 million), reflecting a 12.75% month-over-month increase and a 14.73% year-over-year growth, achieving a single-month high for the second half of the year. Despite the impact of year-end holidays for customers in Europe and the U.S., some shipments have already resumed. APLEX will continue to closely monitor its book-to-bill (B/B) ratio.

For the fourth quarter of 2024, APLEX's revenue amounted to NT$210 million (US$6.42 million), representing a 0.66% year-over-year decrease and a 0.62% quarterly decline. Full-year revenue totaled NT$888 million (US$27.14 million), reflecting a 5.83% year-over-year decrease.

Chuan-Te, Li (李傳德), Chairman of APLEX, acknowledged that 2024 was a less-than-satisfactory year due to challenging market conditions for the second consecutive year. However, with the launch of new products, enhanced marketing strategies, and expanded distribution channels, the company anticipates a stronger performance in 2025.

APLEX General Manager and Spokesperson Tse-Ying, Liu (劉則瑩) noted that the resurgence of smart manufacturing is fueling strong recovery momentum, with smart transportation and smart healthcare also demonstrating promising potential. APLEX’s revenue is projected to be evenly distributed between the first and second halves of this year. The gross profit margin, which reached a record high of 42.2% in the third quarter of last year, is expected to remain within the 35-40% range this year.

In APLEX’s business sectors, edge AI is expected to gradually expand, although it currently constitutes about 80% of the company's focus on smart manufacturing. In smart transportation, projects such as charging stations and infrastructure show strong potential, with sample deliveries scheduled for the first half of this year and shipments in the second half, contributing to performance in the following year. In robotics, APLEX continues its collaboration with ACE PILLAR.

Acqutek specializes in supporting our customers with industrial-grade computers from Taiwanese manufacturers.

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Acqutek specializes in supporting our customers with industrial-grade computers from Taiwanese manufacturers.