Vtech 2012 Annual Report Download - page 21

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Revenue in Asia Pacific declined
4.2% as compared with the
financial year 2011 to US$94.1
million. This market accounted for 5.3% of
Group revenue.
Revenue from TEL products decreased by
16.4% to US$29.6 million. The decline was
partly due to the weakness in the Japanese
market following the earthquake in March
2011. In Australia, we gained market
share despite lower sales, as the country’s
residential phone market is mature. There
were areas of growth, however. In the
fourth quarter of the financial year 2012,
we began selling AT&T branded 2.4GHz
cordless phones in China, through a
number of local distributors. We have also
started shipping hotel branded phones to
major hotel chains in Asia since the second
half of the financial year 2012.
Revenue from ELPs in Asia Pacific grew by
10.1% to US$17.5 million in the financial
year 2012. Sales in China grew strongly,
Other regions include Latin
America, the Middle East and
Africa. Revenue in the financial
year 2012 was US$67.6 million, down by
6.2% compared with the last financial year.
These regions accounted for 3.8% of Group
revenue.
Asia Pacific
Other Regions
albeit from a low base. This growth was
driven primarily by standalone products.
Shipment to Australia, our biggest market
in this region, declined moderately.
Nevertheless, we did witness a partial
recovery in the second half, following a
re-alignment of our retail channels that had
affected sales in the first half.
CMS revenue in Asia Pacific increased
by 0.2% to US$47.0 million. We achieved
higher sales of medical and wireless
products. This was, however, offset by
significantly lower orders for LED light
bulbs, as our Japanese customer faced very
keen competition.
During the financial year, we gained a
new Japanese customer in marine radio,
who was attracted by VTech’s reputation
in telecommunication products. The
customer has been manufacturing these
products in-house, but will transfer most of
the production to our plant in phases.
The decrease in revenue was mainly due
to the sales decline in TEL products, as
customers delayed orders. Revenue from
TEL products fell by 14.0% to US$46.0
million, while revenue from ELPs and CMS
rose by 16.2% and 14.3% to US$20.8 million
and US$0.8 million respectively.
Handheld
Radiation Detector
A pocket sized dosimeter designed and
produced by CMS for a medical and
health customer in Japan.
Revenue in Other Regions in Last
5 Years
100
80
60
40
20
0
US$ million
Revenue in Asia Pacific in Last
5 Years
100
80
60
40
20
0
US$ million
08 09 10 11 12
56.1 55.2
81.5
98.2 94.1
37.7
49.7 49.3
72.1
67.6
08 09 10 11 12
19
VTech Holdings Ltd Annual Report 2012