MAXTONE ELECTRONICS: Growing and expanding reach

The company is one of the few distributors who have a share in the SOHO
market and are still growing in the segment with a noticeable share of 5.50
percent from banking and financial services industries

Remaning at the same position as it was in last year's DQ Channels Silver
Club, Maxtone Electronics posted a healthy 27 percent growth in FY 2005-06 with
revenues reaching Rs 220 crore from Rs154 crore.

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MD: Champakraj Gurjan
Highlights Posted a healthy 43 percent growth Increasing the number of branches by more than half Very minimal business coming from eastern region Strong channel network of 500 active partners

New additions to its portfolio include distributorship of Lenovo and sub
distributorship of Seagate products. The company is also now an Intel
distribution associate.

More than half of the revenue comes from the western region. The western
region contributes to around 55 percent of its revenue. It is also going strong
in the northern region with 22 percent revenue coming from there. Lagging behind
relatively is the southern region with 14 percent and eastern with only seven
percent.

It is one of the few distributors who have a share in the SOHO market and
still growing in the segment with noticeable share of 5.50 percent from banking
and financial services industries. Of course a major chunk of its business comes
from traditional resources like system integrators and reseller business.

Expanding its reach by increasing the number of branches by more than half
with numbers surging to 13 from eight. Employee strength also saw a considerable
increase in headcount. With the number of branches surging, the number of
channel partners has also increased considerably. They also boast of having a
strong channel network of 500 active partners.

Maxtone has its own brand (HIS & MAXFORCE) in the market for products
like PC's, motherboards, graphic cards, add-on cards etc, which has created a
niche in the IT business all over the Asia Pacific. Maxtone is distributors for
Compaq Presario desktop and portable, Compaq spares and upgrades, Compaq
ecarepaqs for the western region. Apart from the own branded motherboard HIS
& MAXFORCE, Maxtone is also distributors for DFI brand of products in India.