Rapid growth of LED display packaging industry

The LED display packaging industry has grown rapidly. The supply of LED lamp beads, the core component of LED display screens, has been in short supply since last year. Several major reasons have caused the tight supply. , The demand for LCD backlights for TVs and mobile phones is also increasing sharply, resulting in difficulties in chip supply. In the LED display market, Zhaochi Co., Ltd. has continuously improved product quality, which has been highly recognized by first-line brands at home and abroad, and has become the main source of the company's business growth. Domestic core customers include Foshan Display, Sunshine Display, Sanxiong Aurora, and Yimei Display Screen, Shelter, etc. Based on the LED packaging industry, Zhaochi Co., Ltd. is engaged in the R&D, production and sales of LED devices and components. The products are mainly used in the two core areas of LED backlight and LED display screen.

Relying on the solid foundation laid in LED display product development, internal use, market development, etc., the company has become one of the main suppliers of medium and large size LED backlight in the field of LED display and mobile phone backlight. On April 21, Zhaochi Co., Ltd. (002429) released its 2016 performance report. The company achieved an operating income of 7.477 billion yuan, an increase of 22.66% over the same period last year; a total profit of 428 million yuan, an increase of 6.69% over the same period last year; The net profit of shareholders of listed companies was 374 million yuan, an increase of 8.31% over the same period last year. In the field of LED display screen backlighting, Zhaochi's core customers include Skyworth, Gaochuang (Suzhou) Electronics Co., Ltd., Konka, etc., and actively develop the international market, opening up Taiwan TPV, South Korea's first-line brand customers, etc.; winning in the field of mobile phone backlighting TCL, Helitai, Lianchuang and other important customers of all ages.

In addition, in 2016, the recovery of the global economy was slow, and the domestic economy continued to show a trend of slowing down. The country insisted on comprehensively deepening reforms, insisted on innovation-driven development, accelerated the transformation of economic development mode and economic structural adjustment, and maintained economic operation within a reasonable range. The good start of the "13th Five-Year Plan" period has been achieved, but the economic risks and pressures of LED displays are still at a relatively high level. In accordance with the established development goals and strategic planning, Zhaochi Co., Ltd. further improves production efficiency on the basis of giving full play to the company's advantages in intelligent manufacturing and industrialization through LED display industry transformation, optimization of resource allocation, cost reduction and efficiency enhancement; At the same time, actively implement the strategic industrial layout, improve the industrial chain of the company's major business segments, while consolidating and expanding the core business of home audio-visual products, continue to promote the steady growth of LED products and accessories, and accelerate the development of LED display screens on the Internet The strategic transformation of the joint operation business has enabled the rapid growth of the Internet operation platform business in the new field, and the revenue from Internet smart terminals and services has increased significantly. 2016 is the first year of Zhaochi's strategic transformation to the joint operation of the Internet LED display screen business. The company has joined hands with leading companies in the industry to launch an integrated terminal, content and platform with Fengxing LED display screen and Fengxing.com as the core carrier. Internet LED display screen products and Internet video services.

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