On July 15, TCL technology released a performance forecast for the first half of the year, with a significant increase in revenue and a year-on-year increase in net profit of more than 750%. Coincidentally, BOE has also released a notice one day ahead of others, and its net profit attributable to its parent company increased by more than 1000% in the first half of the year. As expected in the industry, the performance of domestic panel giants in the first half of the year will usher in a bumper harvest, but I still didn't expect the profit growth to be so exaggerated. Obviously, its own growth is much higher than the price increase and other factors.
According to the analysis of the editor, TCL Huaxing currently has full sales and production of T1, T2 and T6 production lines, the capacity of T7 is climbing, and the shipment area of large-size products has increased greatly. Moreover, with the improvement of supply and demand pattern and industry concentration, the prices of large-scale products continue to rise. These two points are the basis for TCL to greatly increase its profits. The key is that while the revenue of large-scale products has increased significantly, with the ramp up of epitaxial M & A and self built capacity, TCL has also optimized the production line, product and business structure, increased the volume of medium and high-end displays and commercial display products, and made the year-on-year growth rate of large-scale net profit far exceed the revenue, reaching a sharp increase of more than ten times. Obviously, this is naturally the most critical factor for the overall profit of the company.
?
In addition, TCL's small and medium-sized business structure and efficiency are also constantly optimized. Its T3 production line actively expands emerging businesses such as high-end notebook, tablet and vehicle; T4's flexible AMOLED production line is also expanded as planned; The T9 project with medium size and high added value has also been officially put into construction.
Friends and merchants of Beijing Oriental have passed more than ever. In the first half of the year, its mature production line remained full production and full sales, and high-end products and profitability were also dynamically improved, while the performance was stronger, with the return net profit more than twice as much as TCL. If the median value is 12.6 billion yuan, the first half of the year is like "lying on the bed" for about 70million yuan. In fact, the editor also noted that in the first half of this year, Beijing Oriental further promoted the construction of "1+4+n", and continuously extended to the semiconductor display industry chain and Internet of things and other fields. The volume of shipments in five display fields, such as mobile phone, tablet, notebook, display and TV, ranked first in the world, and the market share of flexible screen became the second domestic one in the world.
Of course, the performance of domestic panel Shuangxiong is upward, in addition to the internal factors such as expanding production acquisition and optimizing products, it is mainly due to the high landscape of the overall environment of the industry. In general, the panel industry is in short supply due to the strong demand and the shortage of raw materials such as IC, and the price rise of various products continues. According to the editor, the price of LCD TV products rose without falling back during the previous 618 period, and the average price of color TV online rose by about 1000 yuan year on year; In the recent month, LCD screens of all sizes have kept rising at about 1 percent.
Although Samsung and LGD delayed the plan to stop production of LCD panels, in just a few years, most of the LCD panel resources have been transferred to domestic manufacturers, and large manufacturers such as BOE and TCL have almost eaten up this wave of market dividends. It is undeniable that with the concentration of market share and resources, BOE and TCL have become increasingly stable in the industry. However, the panel industry has always been a cyclical industry, with repeated cycles of high and low prices, the net profit of enterprises mostly presents a "V-shaped" trend, and the stock price has also fluctuated periodically over the years. Can the domestic giants get rid of the cyclical "dead end" of the panel industry? This is a new topic.
Obviously, this requires manufacturers to expand new businesses and applications in addition to the panel, and continuously diffract and diverge the originally accumulated technical advantages. BOE has also started to do some things now. It hopes to deeply integrate display technology with AI and big data, and is also accelerating the innovation of animal networking. In contrast, TCL has been advocating two core industries: semiconductor display, semiconductor photovoltaic and semiconductor business. Including the establishment of TCL microchip technology, looking for investment layout opportunities around the semiconductor business. The revenue and net profit of the newly added central semiconductor also increased significantly, overfulfilled the "performance doubling" plan in the first half of the year, and the expansion of the new track began to show results.