LED industry's traditional low season backlight display helps crystal power to reduce burden

Taiwan's leading LED manufacturer Jingdian entered the off-season in the fourth quarter, and its revenue in December was relatively flat. Although the industry maintained a profitable pattern, due to the burden of reinvesting in Guang gallium, Jingdian admitted that it was not easy to turn losses into profit in the fourth quarter.

In November, Jingdian's revenue of 1.365 billion yuan (TWD, the same below) is the lowest since February this year. Due to entering the traditional off-season, in addition to TV, backlight orders from mobile phones and NB have declined, which has become a drag on operations.

Jingdian said that according to the industrial cycle, the fourth quarter to the first quarter of next year is the off-season of LED. At present, Jingdian is actively transforming Guang gallium, and it is progressing smoothly. The gross profit margin of Guang gallium has risen by more than 10%.

In the third quarter, Jingdian benefited from the increase in LED TV orders. The single-quarter operating net profit reached 109 million yuan, and the net profit after tax was 129 million yuan.

The chairman of Jingdian Li Bingjie pointed out recently that the fourth quarter of the previous year was a traditional low season, and the revenue season was reduced by about 20%. However, because the visibility of backlight orders is better than expected, it shows that customers have seen demand for the stocking of the Lunar New Year next year. The quarterly decline will converge from previous years.

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