Alpine reported higher OEM sales in the U.S. while aftermarket sales were flat or “sluggish” for the recent year ended in March. Although the company said it hopes to improve U.S. sales this year through its new TuneIt receivers and Perfect FIT radios with larger screens.
Alpine divides its sales into two categories: Audio (single DIN CD receivers, speakers, amps and processors) and then Information (video, navigation and driver safety products like cameras, parking sensors).
For the audio category, Alpine said its OEM sales increased while aftermarket sales were level with last year for a total 6 percent increase in sales in this segment to the equivalent of $575 million (59.1 billion yen).
For information (video, navigation and driver safety), Alpine aftermarket sales in the U.S and Europe were “sluggish due to a sales decline in hybrid products, resulting from intensifying price competition, as well as the later-than-planned introduction of new products.” OEM sales of these products increased in the U.S. and Europe so that overall sales in this category grew by 10.9 percent to the equivalent of $1.59 billion (163.2 billion yen).
Alpine hopes to improve aftermarket sales this year with the launch of its TuneIt- ready receivers that work with an app to tune the car audio system and to alert the driver to incoming Facebook activity. Alpine is also strengthening its lineup with “Perfect Fit” systems… which have caught on in Japan,” it said.
The company plans to achieve an 8.9 percent increase in net sales for fiscal 2014 to $4.13 billion (424 billion yen) and a 71.7 percent increase in net income to $29 million (3 billion yen).
For this fiscal 2013, Alpine reported overall (all divisions) a sales gain of 9.6 percent compared to the year earlier with sales of $2.16 billion (222.3 billion yen). But net income fell by 61.8 percent to $16.54 million (1.7 billion yen) due to increased competition and a softer Japanese market.
Source: Alpine Electronics