Connect with us

Technology

Sanmina Reports Fourth Quarter and Fiscal 2024 Financial Results

Published

2 days ago

on

SAN JOSE, Calif., Nov. 4, 2024 /PRNewswire/ — Sanmina Corporation (“Sanmina” or the “Company”) (NASDAQ: SANM), a leading integrated manufacturing solutions company, today reported financial results for the fourth quarter and fiscal year ended September 28, 2024 and outlook for its fiscal first quarter ending December 28, 2024.

Fourth Quarter Fiscal 2024 Financial Highlights

•    Revenue: $2.02 billion

•    GAAP operating margin: 4.4%

•    GAAP diluted EPS: $1.09

•    Non-GAAP(1) operating margin: 5.3%

•    Non-GAAP(1) diluted EPS: $1.43

Fiscal Year 2024 Financial Highlights

•    Revenue: $7.57 billion

•    GAAP operating margin: 4.4%

•    GAAP diluted EPS: $3.91

•    Non-GAAP(1) operating margin: 5.4%

•    Non-GAAP(1) diluted EPS: $5.28

Additional Highlights

•    Cash flow from operations: Q4 $52 million and FY’24 $340 million

•    Free cash flow(2): $29 million in Q4 and $231 million in FY’24

•    Share repurchases: 0.9 million shares for $65 million in Q4 and approximately 4.0 million shares for $227 million in FY’24 

•    Q4 ending cash and cash equivalents: $626 million

(1)

See Schedule 1 below for information regarding the items excluded from and our use of non-GAAP financial measures. A reconciliation of the non-GAAP financial information contained in this release to their most directly comparable GAAP measures is included in the financial statements furnished with this release.

(2)

See Condensed Consolidated Cash Flow Statement included in the financial statements furnished with this release.

“We finished the year with solid momentum. Our fourth quarter revenue was up 9.6 percent sequentially, and non-GAAP diluted earnings per share was up 14.3 percent over the prior quarter and exceeded our outlook. We saw growth in the majority of our end-markets, primarily with strength from the communications networks and cloud infrastructure,” stated Jure Sola, Chairman and Chief Executive Officer of Sanmina Corporation.

“Our fiscal year 2024 results were in line with our expectations as we managed a challenging first half with improvements in the second half of the year. While our revenue was impacted for the year, we delivered another solid year of cash flow from operations. Furthermore, we demonstrated our commitment to return value to our shareholders by repurchasing 4 million shares for $227 million in fiscal 2024.” 

“The team has done an excellent job navigating the market dynamics and the Company continues to demonstrate resilience. Based on the forecasts from our customers and currently healthy demand levels, we expect fiscal 2025 to be a growth year,” concluded Sola.

First Quarter Fiscal 2025 Outlook
The following outlook is for the fiscal first quarter ending December 28, 2024. These statements are forward-looking and actual results may differ materially. 

Revenue between $1.925 billion to $2.025 billionGAAP diluted earnings per share between $1.03 to $1.13Non-GAAP diluted earnings per share between $1.30 to $1.40

Safe Harbor Statement
The statements above including our financial outlook for the first quarter fiscal 2025 and expectations for growth in fiscal 2025 generally, constitute forward-looking statements within the meaning of the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934. Actual results could differ materially from those projected in these statements as a result of a number of factors, including adverse changes to the key markets we target; significant uncertainties that can cause our future sales and net income to be variable; reliance on a small number of customers for a substantial portion of our sales; risks arising from our international operations; geopolitical uncertainty, including from the war in Ukraine and conflict in the Middle East; and the other risk factors set forth in the Company’s annual and quarterly reports filed with the Securities Exchange Commission.

The Company is under no obligation to (and expressly disclaims any such obligation to) update or alter any of the forward-looking statements made in this earnings release, the conference call or the Investor Relations section of our website whether as a result of new information, future events or otherwise, unless otherwise required by law.

Company Conference Call Information
Sanmina will hold a conference call to review its financial results for the fourth quarter and fiscal year 2024 and outlook for the first quarter of fiscal 2025 on Monday, November 4, 2024 at 4:30 p.m. ET (1:30 p.m. PT). The access numbers are: domestic 800-836-8184 and international 646-357-8785. The conference will also be webcast live over the Internet. You can log on to the live webcast at Q4’24 Earnings. Additional information in the form of a slide presentation is available on Sanmina’s website at www.sanmina.com. A replay of the conference call will be available for 48-hours. The access numbers are: domestic 888-660-6345 and international 646-517-4150, access code is 88946#.

About Sanmina
Sanmina Corporation, a Fortune 500 company, is a leading integrated manufacturing solutions provider serving the fastest growing segments of the global Electronics Manufacturing Services (EMS) market. Recognized as a technology leader, Sanmina provides end-to-end manufacturing solutions, delivering superior quality and support to Original Equipment Manufacturers (OEMs) primarily in the industrial, medical, defense and aerospace, automotive, communications networks and cloud infrastructure markets. Sanmina has facilities strategically located in key regions throughout the world. More information about the Company is available at www.sanmina.com.

Sanmina Contact
Paige Melching
SVP, Investor Communications
408-964-3610

 

Sanmina Corporation

Condensed Consolidated Balance Sheets

(in thousands)

(GAAP)

(Unaudited)

September 28,
2024

September 30,
2023

ASSETS

Current assets:

Cash and cash equivalents

$          625,860

$          667,570

Accounts receivable, net

1,337,562

1,230,771

Contract assets

384,077

445,757

Inventories

1,335,744

1,477,223

Prepaid expenses and other current assets

79,301

58,249

Total current assets

3,762,544

3,879,570

Property, plant and equipment, net

616,067

632,836

Deferred tax assets

160,703

177,597

Other

175,646

183,965

Total assets

$       4,714,960

$       4,873,968

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current liabilities:

Accounts payable

$       1,485,484

$       1,612,833

Accrued liabilities

196,681

267,148

Accrued payroll and related benefits

133,129

127,406

Short-term debt, including current portion of long-term debt

17,500

25,945

Total current liabilities

1,832,794

2,033,332

Long-term liabilities:

Long-term debt

299,823

312,327

Other

220,835

209,684

Total long-term liabilities

520,658

522,011

Stockholders’ equity

2,361,508

2,318,625

Total liabilities and stockholders’ equity

$       4,714,960

$       4,873,968

 

Sanmina Corporation

Condensed Consolidated Statements of Income

(in thousands, except per share amounts)

(GAAP)

(Unaudited)

Three Months Ended

Twelve Months Ended

September 28,
2024

September 30,
2023

September 28,
2024

September 30,
2023

Net sales

$     2,017,505

$     2,052,019

$     7,568,328

$     8,935,048

Cost of sales

1,846,212

1,878,591

6,927,899

8,191,837

Gross profit

171,293

173,428

640,429

743,211

Operating expenses:

Selling, general and administrative

70,490

62,124

266,194

255,072

Research and development

8,243

7,715

28,514

26,427

Restructuring

2,970

4,323

10,227

6,054

Total operating expenses

81,703

74,162

304,935

287,553

Operating income

89,590

99,266

335,494

455,658

Interest income

2,799

3,910

12,440

13,595

Interest expense

(5,047)

(8,257)

(29,183)

(36,290)

Other expense

(564)

(8,168)

(1,216)

(20,156)

Interest and other, net

(2,812)

(12,515)

(17,959)

(42,851)

Income before income taxes

86,778

86,751

317,535

412,807

Provision for income taxes

19,438

21,396

79,784

85,294

Net income before noncontrolling interest

67,340

65,355

237,751

327,513

     Less: Net income attributable to noncontrolling interest

5,959

3,514

15,215

17,543

Net income attributable to common shareholders

$          61,381

$          61,841

$        222,536

$        309,970

Net income attributable to common shareholders per share:

Basic

$               1.12

$               1.08

$               4.00

$               5.36

Diluted

$               1.09

$               1.04

$               3.91

$               5.18

Weighted-average shares used in computing per share amounts:

Basic

54,783

57,406

55,592

57,847

Diluted

56,235

59,178

56,970

59,815

 

Sanmina Corporation

Reconciliation of GAAP to Non-GAAP Measures

(in thousands, except per share amounts)

(Unaudited)

Three Months Ended

Twelve Months Ended

September 28,
2024

June 29,
2024

September 30,
2023

September 28,
2024

September 30,
2023

GAAP Operating income

$           89,590

$           82,367

$          99,266

$         335,494

$         455,658

GAAP Operating margin

4.4 %

4.5 %

4.8 %

4.4 %

5.1 %

Adjustments:

Stock compensation expense (1)

15,489

14,682

12,942

57,407

50,402

Amortization of intangible assets

—

—

1,342

—

2,493

Distressed customer charges (recoveries)
(2)

—

(2,500)

—

1,799

—

Legal and other (3)

(720)

500

—

1,130

5,170

Restructuring

2,970

1,793

4,323

10,227

6,054

Non-GAAP Operating income

$         107,329

$           96,842

$        117,873

$        406,057

$        519,777

Non-GAAP Operating margin

5.3 %

5.3 %

5.7 %

5.4 %

5.8 %

GAAP Net income attributable to common
shareholders

$           61,381

$           51,602

$          61,841

$         222,536

$         309,970

Adjustments:

Operating income adjustments (see above)

17,739

14,475

18,607

70,563

64,119

Legal and other (3)

—

—

—

(4,967)

(3,630)

Adjustments for taxes (4)

1,175

4,751

3,526

12,736

3,771

Non-GAAP Net income attributable to
common shareholders

$           80,295

$           70,828

$          83,974

$        300,868

$        374,230

GAAP Net income attributable to common
shareholders per share:

Basic

$               1.12

$               0.93

$               1.08

$               4.00

$               5.36

Diluted

$               1.09

$               0.91

$               1.04

$               3.91

$               5.18

Non-GAAP Net income attributable
to common shareholders per share:

Basic

$               1.47

$               1.28

$               1.46

$               5.41

$               6.47

Diluted

$               1.43

$               1.25

$               1.42

$               5.28

$               6.26

Weighted-average shares used in
computing per share amounts:

Basic

54,783

55,466

57,406

55,592

57,847

Diluted

56,235

56,711

59,178

56,970

59,815

(1)

Stock compensation expense

Cost of sales

$             4,700

$             4,327

$            3,978

$           17,493

$           16,763

Selling, general and administrative

10,461

10,082

8,747

38,867

32,781

Research and development

328

273

217

1,047

858

Total

$           15,489

$           14,682

$          12,942

$          57,407

$          50,402

(2)

Relates to accounts receivable and inventory write-downs (recoveries) associated with distressed
customers.

(3)

Represents expenses, charges and recoveries associated with certain legal and other matters.

(4)

GAAP provision for income taxes

$           19,438

$           19,900

$          21,396

$           79,784

$           85,294

Adjustments:

Tax impact of operating income adjustments

1,550

1,303

2,645

7,415

7,736

Discrete tax items

2,925

1,462

1,210

3,425

12,930

Deferred tax adjustments

(5,650)

(7,516)

(7,381)

(23,576)

(24,437)

Subtotal – adjustments for taxes

(1,175)

(4,751)

(3,526)

(12,736)

(3,771)

Non-GAAP provision for income taxes

$           18,263

$           15,149

$          17,870

$          67,048

$          81,523

 

Q1 FY25 Earnings Per Share Outlook*:

Q1 FY25 EPS Range

Low

High

GAAP diluted earnings per share

$                  1.03

$                  1.13

Stock compensation expense

$                  0.27

$                  0.27

Non-GAAP diluted earnings per share

$                  1.30

$                  1.40

* Due to uncertainty regarding the timing of recognition of restructuring charges, impairment charges and other unusual or infrequent items, if any, that could be incurred during the first quarter of FY25, an estimate of such items is not included in the outlook for Q1 FY25 GAAP EPS.

 

Sanmina Corporation

Condensed Consolidated Cash Flow

(in thousands)

(GAAP)

(Unaudited)

Three Month Periods

Twelve Month Periods

Q4’24

Q3’24

Q2’24

Q1’24

Q4’23

FY24

FY23

Net income before noncontrolling interest

$    67,340

$    54,738

$    55,309

$    60,364

$    65,355

$  237,751

$  327,513

Depreciation and amortization

31,654

29,764

30,274

30,726

30,521

122,418

118,237

Other, net

30,110

19,708

18,634

18,185

21,947

86,637

80,923

Net change in net working capital

(77,229)

(14,211)

(31,900)

16,750

(40,966)

(106,590)

(291,505)

Cash provided by operating activities

51,875

89,999

72,317

126,025

76,857

340,216

235,168

Purchases of long-term investments

(3,300)

(600)

(700)

(600)

(500)

(5,200)

(2,500)

Net purchases of property & equipment

(22,597)

(22,772)

(29,611)

(34,216)

(37,803)

(109,196)

(189,958)

Cash used in investing activities

(25,897)

(23,372)

(30,311)

(34,816)

(38,303)

(114,396)

(192,458)

Holdback paid in connection with previous
business combination

—

—

—

—

—

—

(8,558)

Net share repurchases

(60,412)

(54,629)

(17,477)

(115,619)

(30,397)

(248,137)

(103,681)

Net borrowing activities

—

(4,375)

(4,375)

(12,820)

4,070

(21,570)

(9,055)

Proceeds from sale of non-controlling
interest

—

—

—

—

—

—

215,799

Cash used for financing activities

(60,412)

(59,004)

(21,852)

(128,439)

(26,327)

(269,707)

94,505

Effect of exchange rate changes

2,585

(772)

(886)

1,250

(1,245)

2,177

498

Net change in cash & cash equivalents

$  (31,849)

$      6,851

$    19,268

$  (35,980)

$    10,982

$  (41,710)

$  137,713

Free cash flow:

Cash provided by operating activities

$    51,875

$    89,999

$    72,317

$  126,025

$    76,857

$  340,216

$  235,168

Net purchases of property & equipment

(22,597)

(22,772)

(29,611)

(34,216)

(37,803)

(109,196)

(189,958)

$    29,278

$    67,227

$    42,706

$    91,809

$    39,054

$  231,020

$    45,210

Schedule 1

The statements above and financial information provided in this earnings release include non-GAAP measures of operating income, operating margin, net income and earnings per share. Management excludes from these measures stock-based compensation, restructuring, acquisition and integration expenses, impairment charges, amortization charges and other unusual or infrequent items, as adjusted for taxes, as more fully described below.

Management excludes these items principally because such charges or benefits are not directly related to the Company’s ongoing core business operations. We use such non-GAAP measures in order to (1) make more meaningful period-to-period comparisons of the Company’s operations, both internally and externally, (2) guide management in assessing the performance of the business, internally allocating resources and making decisions in furtherance of Company’s strategic plan, (3) provide investors with a better understanding of how management plans and measures the business and (4) provide investors with a better understanding of our ongoing, core business. The material limitations to management’s approach include the fact that the charges, benefits and expenses excluded are nonetheless charges, benefits and expenses required to be recognized under GAAP and, in some cases, consume cash which reduces the Company’s liquidity. Management compensates for these limitations primarily by reviewing GAAP results to obtain a complete picture of the Company’s performance and by including a reconciliation of non-GAAP results to GAAP results in its earnings releases.

Additional information regarding the economic substance of each exclusion, management’s use of the resultant non-GAAP measures, the material limitations of management’s approach and management’s methods for compensating for such limitations is provided below.

Stock-based Compensation Expense, which consists of non-cash charges for the estimated fair value of equity awards granted to employees and directors, is excluded in order to permit more meaningful period-to-period comparisons of the Company’s results since the Company grants different amounts and value of equity awards each quarter. In addition, given the fact that competitors grant different amounts and types of equity awards and may use different valuation assumptions, excluding stock-based compensation permits more accurate comparisons of the Company’s core results with those of its competitors.

Restructuring, Acquisition and Integration Expenses, which consist of employee severance, lease termination costs, exit costs, environmental investigation, remediation and related employee costs and other charges primarily related to closing and consolidating manufacturing facilities and those associated with the acquisition and integration of acquired businesses, are excluded because such charges (1) can be driven by the timing of acquisitions and exit activities which are difficult to predict, (2) are not directly related to ongoing business results and (3) generally do not reflect expected future operating expenses. In addition, given the fact that the Company’s competitors complete acquisitions and adopt restructuring plans at different times and in different amounts than the Company, excluding these charges or benefits permits more accurate comparisons of the Company’s core results with those of its competitors. Items excluded by the Company may be different from those excluded by the Company’s competitors and restructuring and integration expenses include both cash and non-cash expenses. Cash expenses reduce the Company’s liquidity. Therefore, management also reviews GAAP results including these amounts.

Impairment Charges for Goodwill and Other Assets, which consist of non-cash charges, are excluded because such charges are non-recurring and do not reduce the Company’s liquidity. In addition, given the fact that the Company’s competitors may record impairment charges at different times, excluding these charges permits more accurate comparisons of the Company’s core results with those of its competitors.

Amortization Charges, which consist of non-cash charges impacted by the timing and magnitude of acquisitions of businesses or assets, are also excluded because such charges do not reduce the Company’s liquidity. In addition, such charges can be driven by the timing of acquisitions, which is difficult to predict. Excluding these charges permits more accurate comparisons of the Company’s core results with those of its competitors because the Company’s competitors complete acquisitions at different times and for different amounts than the Company.

Other Unusual or Infrequent Items, such as charges or benefits associated with distressed customers, expenses, charges and recoveries relating to certain legal matters, and gains and losses on sales of assets, are excluded because such items are typically non-recurring, difficult to predict or not directly related to the Company’s ongoing or core operations and are therefore not considered by management in assessing the current operating performance of the Company and forecasting earnings trends. However, items excluded by the Company may be different from those excluded by the Company’s competitors. In addition, these items include both cash and non-cash expenses. Cash expenses reduce the Company’s liquidity. Management compensates for these limitations by reviewing GAAP results including these amounts.

Adjustments for Taxes, which consist of the tax effects of the various adjustments that we exclude from our non-GAAP measures, and adjustments related to deferred tax and discrete tax items. Including these adjustments permits more accurate comparisons of the Company’s core results with those of its competitors. We determine the tax adjustments based upon the various applicable effective tax rates. In those jurisdictions in which we do not expect to realize a tax cost or benefit (due to a history of operating losses or other factors), a reduced tax rate is applied.

Logo – https://mma.prnewswire.com/media/1992091/4833572/SANMINA_CORPORATION_LOGO_2024.jpg

View original content:https://www.prnewswire.com/news-releases/sanmina-reports-fourth-quarter-and-fiscal-2024-financial-results-302295715.html

SOURCE Sanmina Corporation

Related Topics:
Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Technology

Green Cubes Technology Unveils Revolutionary Swappable Power Platform for Mobile Workstations

Published

24 mins ago

on

November 7, 2024

By

Innovative Swappable Power Platform is designed for mobile medical and industrial workstations

KOKOMO, Ind., Nov. 6, 2024 /PRNewswire-PRWeb/ — Green Cubes Technology, a leader in providing cutting-edge power solutions, today announced the launch of its innovative Swappable Power Platform designed for mobile medical and industrial workstations. This breakthrough AC platform aims to streamline the power system design process for manufacturers, providing a cost-effective and time-saving solution for powering mobile workstations.

The Green Cubes swappable battery platform is configurable and can be easily integrated into a comprehensive platform to provide the power required,” said Joe Richards, Senior Vice President of Product Development at Green Cubes, “making the conversion to power as simple as design in and go.”

The Swappable Power Platform is a complete pre-engineered energy storage solution that includes three essential components:

1. Battery Assembly:

Utilizes LiFePO4 technologyOffers 290Whr at 19.2 volts nominalDelivers a continuous power output of up to 300WCompliant with IEC 62133 standards

2. Cart Power Module:

Supports one or two batteries with 300 Watt continuous power outputAvailable models with 120VAC @ 60 Hz and 230VAC @ 50 Hz outputFeatures universal input from 100VAC to 230VAC @ 50Hz to 60 HzIncludes 2 minutes of integrated battery backup for hot swap operationCharges both internal integrated and external swap batteriesMeets IEC 60601 standardsOptional remote LCD display available

3. Charger:

Capable of charging two or four batteries simultaneouslyUniversal input from 100VAC to 230VAC @ 50Hz to 60 HzCompliant with IEC 60601 standardsOptional remote LCD display available

“Designed with the OEM in mind, the Green Cubes swappable battery platform is configurable and can be easily integrated into a comprehensive platform to provide the power required,” said Joe Richards, Senior Vice President of Product Development at Green Cubes. “This makes the conversion to power as simple as design in and go.”

Exceeding the highest performance for equipment manufacturers, the Green Cubes swappable battery platform offers a highly accurate state-of-charge display with a five-stage LED indicator. Its advanced technology, featuring cell balancing, ensures maximum cycle life and runtime.

About Green Cubes Technology
Green Cubes Technology develops and manufactures safe and reliable electrification solutions that enable its OEM and enterprise customers to transition from Lead Acid and Internal Combustion Engine (ICE) power to Lithium-ion battery power. Green Cubes utilizes proven hardware and software platforms to build the most reliable Lithium power solutions in its industries. With over 300 employees across six countries, Green Cubes has been producing innovative, high-performance and high-quality power solutions since 1986. For more information about Green Cubes Technology and its innovative power solutions, please visit http://www.greencubes.com.

Media Contact

Hayley Luz, Green Cubes Technology, 425-918-2742, hluz@greencubes.com, www.greencubes.com

View original content to download multimedia:https://www.prweb.com/releases/green-cubes-technology-unveils-revolutionary-swappable-power-platform-for-mobile-workstations-302298109.html

SOURCE Green Cubes Technology

Continue Reading

Technology

Big wins await retailers that focus on the first and final hours of seasonal sales

Published

24 mins ago

on

November 7, 2024

By

Criteo research finds that online sales in the opening and closing hours of Singles Day capture over 300% increase in transaction volume across Southeast Asia

SINGAPORE, Nov. 7, 2024 /PRNewswire/ — Criteo (NASDAQ: CRTO), the commerce media company, today unveiled key insights from the 2023 Singles’ Day sales across Southeast Asia (SEA) and Greater China.

Singles’ Day (11/11) presents an enormous opportunity for retailers in these regions to connect with consumers at crucial decision-making moments, build brand loyalty and stand out from the competition. In 2023, online retail transactions in SEA surged 140% compared to the first week of October, and the average basket size increased by 16% compared to the same baseline. In Greater China, online retail transactions grew 237% while the average basket size saw a 6% uptick.

“As the year-end sales season draws near, it’s timely to glean past insights to better seize the opportunities that lie ahead,” said Taranjeet Singh, Managing Director, Venture Markets, APAC at Criteo. “One thing is clear: such e-commerce events hold tremendous potential and impact for brands and retailers to capitalise on the moment. In providing these datasets, we hope to empower our brand and retail partners to maximise sales opportunities and enhance customer experiences as Singles’ Day draws around once more.”

Key findings: 

1.    Singles’ Day is the largest seasonal sales opportunity for retailers

Across the board, all sales metrics perform higher on Singles’ Day – be it online retail transactions, unit sales, and average basket sizes. This marks consumers’ willingness to spend during this period, which is widely known for its festive deals, loyalty promotions, and immersive e-commerce experiences.

In Southeast Asia:

Online retail transactions surged by 140% compared to the first week of October 2023.In comparison, sales on Black Friday 2023 increased 101% from the first four weeks of October 2023.Unit sales, which denotes the number of individual items sold, skyrocketed by 178%, compared to 139% in 2022.During Cyber 6 (Black Friday to Cyber Wednesday 2023), sales increased 4% compared to the same period in 2022.The average basket size, which indicates the quantity of products purchased per transaction, also saw a notable uptick of 16%, compared to the first week of October 2023.The top-performing product categories, based on indexed transactions from the first week of October 2023, comprise Baby & Toddler (+407%), Health & Beauty (+352%) and Furniture (+277%). 

In Greater China:

Online retail transactions surged by 237% compared to the first week of October.In comparison, sales on Black Friday 2023 rose 58% from the first four weeks of October 2023.Unit sales saw a 257% increase, compared to 248% in 2022.Sales during Cyber 6 (Black Friday to Cyber Wednesday 2023) increase 2% compared to the same period in 2022.The average basket size saw an uptick of 6%, compared to the first week of October.The top-performing product categories, based on indexed transactions from the first week of October 2023, comprise: Health & Beauty (417%), Home & Garden (326%), Luggage & Bags (311%) and Toys & Games (311%).Online transactions saw a 9% Year-on-Year growth on Singles’ Day.Interestingly, average order values showed an increase of 14%, with the average unit price going up by 7%.

2.     Shoppers are prepared to spend the most during the first and last hours of Singles’ Day

Shopper activity tends to spike in the first (12AM – 1AM) and last hours (11PM – 12AM) of the day. Early bird shoppers are a segment of shoppers who tend to prepare their shopping baskets ahead of time in anticipation of discounts and offers. These early bird shoppers represent a crucial segment for brands to capitalise on by offering flash discounts or loyalty promotions. Meanwhile, last-minute shoppers tend to seize deals available at the day’s final hours – marking a final opportunity to convert buyers who hold out until the very end for a good deal. Savvy retailers that take note of this pattern will leverage their retail media platforms to drive and serve ads in the lead-up to and prior to the closing of these sales events.

The first hour of Singles’ Day (12AM – 1AM) sees the greatest spike in SEA online transactions (+325%) and unit sales (+370%), compared to baseline sales at the start of October.This trend is reversed in Greater China, with online transactions (+345%) and unit sales (363%) spiking in the final hour of Singles’ Day (11PM – 12AM).

3.      ‘Tis the season to convert new buyers: conversion rates are exceptionally high during Singles’ Day

In the past few years, Singles’ Day has consistently recorded substantial spikes in new purchases by new buyers. While the number of new buyers fell in 2023, there is still a clear opportunity to convert new customers and establish lasting customer relationships during this period. Retailers who can build on this momentum of first-time buyers during Singles’ Day will also see the chance to ensure continued patronage as the holiday season progresses.

Singles’ Day 2023 saw a whopping 63% increase in new shoppers in SEA compared to the month of October.

Taking action:

Sales events such as Singles’ Day are becoming more important for consumers today and represent a growing opportunity for retailers and brands. To realise the true potential of such events, retailers and brands should follow these key learnings for sales season:

1.     Starting Early Matters: with sales events recording much higher-than-average transaction figures, ensuring the relevant media collateral and sales logistics are ready in advance will be helpful to signpost and facilitate consumer purchases. Shoppers tend to plan their purchases in advance, and 47% of consumers globally[1] tend to start their search at retailers rather than search engines, when they know the general type of item they want to buy. As retail media continues to grow with new formats such as offsite and in-store, using retail media allows brands and retailers to engage shoppers further up the funnel, to aid product discovery and boost brand awareness.  Kicking off new campaigns early also ensures campaigns are optimised as shoppers start researching. Brands can also gain a sales boost by expanding their retailer sets to small or medium-size retailers.

2.     Go Full-Funnel: Retail media can help drive positive outcomes during sales events and build lasting customer relationships. Layering sponsored products and offsite campaigns push the needle in capturing new and returning customers during such events and keeping the brand or retail platform top of mind. Keeping in mind that shoppers tend to view several brands before deciding, these tactics also build brand appeal and create a strong impression with shoppers in each stage of their shopping journey.

3.     Be Diligent with Speed: There is increased shopper activity in the first and final hours of these sales events. Savvy retailers and brands drive additional sales by leveraging the data to plan budget accordingly and positioning key advertisements in front of these shoppers in those critical moments.

Methodology

Criteo captures organic data from 20 countries, 600 product categories and over 19,000 advertiser clients. Indexed sales are monitored on retailers who partner with Criteo Marketing Solutions and Criteo Retail Media. Criteo data includes only product categories represented by at least 5 retailers at the most granular level. Organic data means that all events from our clients, including those not attributed to Criteo, are leveraged. This allows us to produce insights regarding the market rather than Criteo campaigns.

About Criteo 

Criteo (NASDAQ: CRTO) is the global commerce media company that enables marketers and media owners to drive better commerce outcomes. Its industry leading Commerce Media Platform connects thousands of marketers and media owners to deliver richer consumer experiences from product discovery to purchase. By powering trusted and impactful advertising, Criteo supports an open internet that encourages discovery, innovation, and choice. For more information, please visit www.criteo.com.

[1] Criteo shopper survey, Q3 2024, Global (N=7120)

Criteo 2023 Holiday Shopping Season Country-Specific Findings 

In Singapore:

Singles’ Day remains the largest seasonal sales opportunity for retailers in Singapore, with online sales skyrocketing +159% on 11/11 compared to the first four weeks of October.In comparison, sales on Black Friday 2023 surged 104%, compared to the first four weeks of October 2023.

In Indonesia

Singles’ Day remains the largest seasonal sales opportunity for retailers in Indonesia, with online sales skyrocketing +194% on 11/11 compared to the first four weeks of October.In comparison, sales on Black Friday 2023 surged 56%, compared to the first four weeks of October 2023.

 

View original content:https://www.prnewswire.com/apac/news-releases/big-wins-await-retailers-that-focus-on-the-first-and-final-hours-of-seasonal-sales-302298185.html

SOURCE Criteo

Continue Reading

Technology

CapBridge is an Authorised Distribution Partner of UBS’s First Tokenised Money Market Fund, uMINT

Published

24 mins ago

on

November 7, 2024

By

SINGAPORE, Nov. 7, 2024 /PRNewswire/ — On November 1st, UBS Asset Management announced the launch of its first tokenised investment, UBS USD Money Market Investment Fund Token (uMINT).  CapBridge, a digital investment platform and a member of FOMO Group, has been selected as an authorised distribution partner of uMINT, offering this innovative investment product to its corporate and institutional clients.

Built on the Ethereum blockchain, the launch of uMINT forms part of the broader expansion of UBS’s tokenisation services through UBS Tokenize. Tokenholders can now access UBS Asset Management’s institutional grade cash management solutions underpinned by high quality money market instruments based on a conservative, risk-managed framework. UBS’s tokenisation services seek to address growing investor demand for tokenised financial assets across asset classes.

Johnson Chen, Founder and CEO of CapBridge, said, “At CapBridge, we are always committed to bridging the gap between digital and traditional assets. The launch of UBS’s first tokenised money market fund highlights the synergy between traditional banking and digital asset innovation. CapBridge is delighted to be an authorised distribution partner of uMINT, contributing to the greater mission of making digital finance products more accessible to a wider range of investors and moving towards the seamless integration of traditional and digital finance.”

Earlier in May this year, CapBridge was also selected to be the international partner for Hong Kong’s virtual asset ETFs, namely spot virtual asset ETF products issued by Bosera Asset Management, China Asset Management, and Harvest Global Investment listed on the Hong Kong Stock Exchange.

Looking ahead, CapBridge remains dedicated to serving as a one-stop platform for investors looking to invest in both traditional and digital asset funds.  

About CapBridge
CapBridge, a member of FOMO Group, is a leading digital investment platform headquartered in Singapore. As a Capital Markets Services licensee, CapBridge is regulated by the Monetary Authority of Singapore (MAS) to deal in capital markets products, including securities and collective investment schemes, and to provide custodial services. It is also an exempt financial adviser licensed to issue or promulgate analyses and reports on investment products.

CapBridge enables HNWIs and institutional clients to invest in traditional and digital assets via its one-stop digital investment platform, providing highly curated, top-quality, and institutional-grade opportunities to meet clients’ diverse asset allocation needs. Through CapBridge’s associated company, FOMO Pay Pte Ltd, a regulated MAS Payment Services Act (PSA) Digital Payment Token (DPT) entity, qualified clients can also invest into CapBridge curated products using DPTs, providing a seamless bridge between Traditional Finance (TradFi) and Web3 Finance.

For more information, please visit www.capbridge.sg. For media inquiries, please contact media@capbridge.sg. 

View original content to download multimedia:https://www.prnewswire.com/apac/news-releases/capbridge-is-an-authorised-distribution-partner-of-ubss-first-tokenised-money-market-fund-umint-302297594.html

SOURCE Capbridge

Continue Reading

Trending