As a strategically important business with a focus on development, Aoyang Shunchang LED business performed well with a gross margin of over 39%. Sales revenue and profit contribution have increased significantly. The LED business realized operating income of 74.1 million yuan, contributing a net profit of 19.3666 million yuan attributable to shareholders of listed companies, accounting for nearly 30% of the net profit of listed companies.
Overall, in the first half of 2014, the company's traditional main business continued to develop steadily, and the LED business that started from last year has grown rapidly, and the dual main business development strategy has begun to show results.
LED business contributed to the performance "In the first half of 2014, the company completed the non-public offering of shares, and 400 million yuan raised funds into the LED project, which accelerated the construction of the company's LED project." Company Secretary Lin Wenhua said that as of now, the company has There are 20 MOCVD mass productions. It is expected that there will be 10 MOCVD arrivals in the third quarter. By the fourth quarter, 30 units will be put into production. The company will have an annual output of 1.8 million pieces and blue and green chips of 11.5 billion.
At present, Aoyang Shunchang is planning the construction of the second phase of the project, when the production capacity will more than double. According to the company's announcement on June 19, Huainan Optoelectronics Co., Ltd. plans to invest 1 billion yuan to build a second phase of LED epitaxial wafer and chip industrialization. After completion, it will add about 2.4 million new annual production capacity of blue-green chips for lighting, and its production capacity will increase by one. More than double.
In view of the LED epitaxy and the technology-intensive features of the chip industry, while continuously expanding the scale of production capacity, the company increased its investment in technology and R&D, actively carried out future technology reserves, and gradually built its core technology and established a patent protection system. It is reported that the company has filed a number of patent applications, and currently has 1 invention patent, 19 utility models, and 8 designs. According to the high-tech enterprise identification work network, Huaian Anyang Shunchang, a subsidiary of the company engaged in LED business, has been included in the list of the first batch of high-tech enterprises to be identified in Jiangsu Province in 2014. If it is finally passed, its tax incentives will make the LED profit contribution more prominent.
Dong Mi Lin Wenhua pointed out that the low LED project investment cost, advanced and mature technology and the industry-leading core equipment and the company's excellent management philosophy are the main reasons for the excellent cost control and profitability of the company's LED business. According to the mid-year report, the gross profit margin of the company's LED business in the first half of 2014 was 39.23%, which was in line with the gross profit margin of the industry leader Sanan Optoelectronics in the first quarter.
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