The distribution business remained the key pillar driving growth momentum of the Group. The product portfolio of this business segment comprises tyre, wheel, energy solution, utility vehicle and industrial products. In addition to representing a wide range of establishedĀ lobal brands, we also develop and market our own proprietary brands such as Advanti Racing wheels, Neuton Power batteries and Neuton Power electric buggies. Among these, the distribution of tyres continued to be the main revenue contributor. We have built up an extensive portfolio of tyres ranging from passenger cars to commercial and off-the-road vehicles covering a wide spectrum of market segments.
In FY2023, revenue from the distribution business reached $297.7 million, a decrease of 8.0% compared to $323.7 million in FY2022. The lower revenue was due to lower trading volume and sales margins, reflecting the difficult global trading environment due to lower demand across all markets prevailing during the year. This business segment continued to contribute the biggest share of Group revenue in the financial year under consideration, accounting for 79.0%, higher than the 75.1% in the previous year.
The tyre segment continued to be the mainstay of the Groupās distribution business,Ā accounting for 49.3% of distribution revenue. We represent and distribute many international tyre brands which include Yokohama, Nankang, Pirelli and Toyo Tires among others. The energy solutions and industrial products segment comprising batteries, lubricants, solar panels, chargers, buggies, utility vehicles, inverters and UPS achieved revenue of $113.5 million in FY2023 declining 9.0% compared to $124.7 million in FY2022 due to lower demand.
The distribution business across all our geographic markets saw decline in volume sales and revenues. The Oceania market comprising Australia and New Zealand was the biggest revenue contributor to the distribution business in FY2023. However, this market experienced a 4.9% decline in revenue reaching $137.0 million during the financial year
under consideration, compared to $144.0 million in the prior year. This could be attributed to the fact that consumers were more cautious on consumption of discretionary items
such as wheels during uncertain times. Nonetheless, our efforts in the past to strengthen the Groupās distribution networks and marketing infrastructure have been able to strengthen our resilience against the demand slowdown.
In line with the challenging global trading environment, the ASEAN distribution business recorded a 13.2% decline in revenue to $120.1 million. Northeast Asia also experienced
a drop in distribution revenue of 3.8% to $18.3 million due to poor business sentiments and higher interest rates.