With annual revenue of nearly 3 billion, Amazon suppliers are making a fortune

According to the first quarter report of 2021, Aokai Technology's revenue increased by 86.58% year-on-year to 853 million yuan, of which the net profit attributable to shareholders of the listed company reached 83.192 million yuan, a year-on-year increase of 74.27%. According to Aokai Technology, this is mainly due to the increase in both price and volume of the company's products.

Chargers account for 94.59% of Aokai Technology's total revenue

Aohai Technology was founded in 2004. It is mainly engaged in the design, research and development, manufacturing and sales of smart terminal products such as chargers. It has its own brands "AOHl" and "MOVE SPEED". The company's products are mainly used in the field of smart 3C smart products and are supplied to well-known international brands such as Xiaomi, Huawei, Amazon, Google, and Best Buy.

Financial report data shows that in 2020, Aohai Technology's revenue reached 2.945 billion yuan, an increase of 27.1% compared with 2.316 billion yuan in 2019. The net profit attributable to shareholders of the listed company was 329 million yuan, a year-on-year increase of 48.53%. It has to be said that as the force behind the 3C sales, its strength should not be underestimated.

Charger products accounted for a large proportion of Aokai Technology's revenue, accounting for 94.59%, reaching 2.786 billion yuan, an increase of 32.88% compared with 2019, becoming a highlight of revenue growth. Mobile power supplies and others only accounted for 5.41%, which may coincide with Aokai Technology's cross-development strategy.

It is reported that in addition to its commitment to the development and marketing of high-power chargers and power supply products , Aohai Technology has expanded its products to the fields of power energy, network energy, etc. At the same time, the company has actively invested resources to develop its own brand of consumer electronics products "AOHI" and extend to the downstream .

The secret of Aohai Technology's success

With the rise of the global IoT market such as smart wearable devices, smart homes, and artificial intelligence devices in recent years, Aokai Technology's strength has gradually increased. According to Aokai Technology, the main reasons for the company's rapid growth in operating income during the reporting period are as follows ↓

The stickiness of leading customers has increased, and the market share has steadily increased . As the competition in the global mobile phone market becomes increasingly fierce, the main models supplied by Aokai Technology to customers have also changed from small and medium power to medium and large power. The leading mobile phone corporate customers it serves, such as Xiaomi, Huawei, vivo, OPPO, LG, Transsion, etc., have gradually become high-quality and stable, and there is a lot of room for growth in the future.

Optimize product structure and increase R&D investment. Aohai Technology has increased the company's technical reserve strength, continued to increase R&D investment, expanded and enriched product categories, and the main products supplied to customers are also constantly updated, gradually changing from small and medium power to medium and large power, while continuously improving product added value, to obtain a higher market share and profit margin.

Reduce costs and increase efficiency, respond quickly, and deliver on time . In 2020, the shortage of upstream raw materials , foreign exchange fluctuations , and changes in overseas markets caused by the epidemic brought severe challenges to the company. Through a series of speculations such as scientific forecasting and price stabilization , the company ensured the cost and safety of its products , effectively reducing the adverse effects of rising raw material prices on the company.

As a major supplier, Aokai Technology continues to expand its market share while meeting customer needs, which may be one of the reasons for its success.

3C

Suppliers sell well

Aohai Technology