Altron restructures for growth

Altron, a prominent technology company, has recently restructured its operations under the leadership of CEO Werner Kapp. Kapp sat down with CNBC Africa's Godfrey Mutizwa to discuss the company's recent financial results and the strategic moves that have been made to drive growth and innovation within the organization. Over the past 13 months, Altron has undergone significant changes to stabilize and revamp various business units. The CEO highlighted the successful containment of losses in the ADS and Nexus divisions, paving the way for a renewed focus on growth initiatives. Kapp emphasized the company's bold growth strategy, leveraging its strong customer base and financial standing to implement profit improvement strategies across key business segments. One of the standout performers in Altron's recent financials was Netstar, which saw a remarkable 26% increase in sales. Kapp attributed this success to a back-to-basics approach, including customer-centric initiatives and investments in expanding fitment centers. By prioritizing customer satisfaction and operational efficiency, Netstar achieved significant improvements in key performance metrics, showcasing the effectiveness of strategic leadership and operational discipline. Another notable development in Altron's transformation journey was the divestment of the ATM business. The company's strategic focus on becoming a leading platform and IT services provider led to the decision to sell non-core assets that did not align with the long-term vision. The successful sale of the ATM business generated over R200 million in cash proceeds, further bolstering Altron's strategic positioning in the evolving technology ecosystem. Market response to Altron's restructuring efforts has been positive, with the company's stock price reflecting a 9% increase following the recent announcements. Kapp elaborated on the vision to consolidate system integration, Carabiner, and digital business segments into a unified digital business entity, termed Project Unity. This merger of equals aims to enhance customer experience, streamline operations, and drive growth by offering integrated solutions to clients seeking simplified tech partnerships. Looking ahead, Altron is targeting a transformative shift towards its digital business model, with a planned go-live date of March 1st next year. The company envisions a future where seamless integration, innovation, and customer-centricity drive sustainable growth and competitive advantage. Despite economic uncertainties and challenges on the horizon, Kapp expressed confidence in Altron's ability to leverage its expertise and resources to support customers in achieving business objectives and navigating the evolving tech landscape. In conclusion, Altron's strategic repositioning under Werner Kapp's leadership signals a new chapter of growth and innovation for the technology powerhouse. By prioritizing customer satisfaction, operational efficiency, and strategic alignment with core business objectives, Altron is poised to emerge stronger and more competitive in the dynamic tech market landscape.