Gigabit Inc.

Gigabit Inc. IPO – Plain-English Investor Guide

Hey there! If you’re thinking about investing in Gigabit Inc.’s IPO but don’t want to drown in Wall Street jargon, here’s the plain-English breakdown. Let’s get into it:

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1. What does Gigabit Inc. actually do? 🛠️

Gigabit is like the "backbone" of the internet for businesses. They’ve been around since 2007 and specialize in internet hosting, data centers, and cybersecurity. They keep websites, apps, and cloud storage running smoothly for everyone from small businesses to big banks. They own 5,300 physical servers (as of 2024) and host over 63,000 domains in Malaysia alone – that’s 17% of the country’s market! They also offer 24/7 tech support and work with industries like telecom, oil/gas, and universities.

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2. How do they make money? (And are they actually growing?) 💸

They charge clients for:

• Hosting services (keeping websites/data online)
• Cybersecurity protection
• Cloud storage solutions

The numbers:

• Made $12.6 million in 2024 (up 5% from 2023)
• Profitable: $1.16 million in 2024 (down from $1.9M in 2023 – they’re earning less despite growing slightly)
• First half of 2025: $6.06 million revenue, $331k profit

Big catch: 58.5% of their money comes from Malaysia – if that market slows, it’ll hurt.

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3. What’s the IPO cash for? 🚀

They plan to:

• Expand data centers (they added 300 servers in 2024)
• Grow in Asia/Europe (they already have offices in Malaysia, Hong Kong, Taiwan, and Japan)
• Develop AI-driven tools (the company didn’t provide specifics about their AI plans in the filing)

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4. Biggest risks? Don’t skip this part. ⚠️

• Too reliant on Malaysia: Nearly 60% of revenue comes from one country.
• Profit squeeze: Profits dropped 40% between 2023-2024 despite higher sales.
• Competition: They’re ranked 5th in Malaysia’s internet infrastructure market – bigger players like Amazon Web Services (AWS) or Microsoft Azure could squeeze them.

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5. How do they stack up against competitors? 🥊

They’re a mid-sized player compared to giants like AWS or Azure, but cheaper and more localized. Their edge? 24/7 in-house support and servers spread across Asia. Think of them as a “boutique” option for businesses that want personalized help.

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6. Who’s in charge? 👩💼👨💼

• CEO Jamie Park: Former engineer who sold her last startup to Google. Runs “no-meeting Fridays.”
• CFO Raj Patel: Turned around a solar company before joining. Now faces the challenge of reversing Gigabit’s profit decline.

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7. Where can I buy shares? 📈

Planned to list on the NASDAQ under the ticker GBIT. Trading starts around June 25th.

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8. Price and shares? 🔢

• 10 million shares at $20–$25 each
• At the top price, they’d be valued at $2 billion – that’s 160 times their 2024 revenue (a very high price tag compared to most tech companies).

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The Bottom Line:

Gigabit keeps the internet lights on for businesses, but they’re a small fish in a big pond. Key things to weigh:

• The IPO price looks expensive for a company with slowing profit growth.
• Their heavy reliance on Malaysia adds risk.
• Expansion plans (like AI tools) lack concrete details.

If you’re bullish on their Asia-focused strategy or think their niche support model can compete, it might be worth a small position. But proceed carefully – this is a high-risk, high-reward play. Always do your own research or talk to a financial advisor!

Got questions? Drop ’em below! 👇

Note: Gigabit’s IPO filing included limited details about their AI and international expansion plans. This lack of clarity might be something to consider before investing.