LED: cake tempting enterprise survival training

Although very lively, but the spring has not yet come, and now the LED industry is still at the end of winter. Guan Xudong, general manager of Guangzhou Audi Lighting Co., Ltd., just returned from the Frankfurt lighting show, talking about the status quo of China's LED industry, he told reporters so assert.

To do more than 20 years of architectural lighting, said Guan Xudong, Frankfurt Lighting Exhibition on the 90% products have been using LED light source, LED lighting is an attractive big cake, but the challenge is also great.

"LED lighting industry in recent years is very confusing, in government procurement, industrial policy driven, many enterprises are able to earn money squeeze, but not much, many enterprises frustrated, which people want to blaze a new trail. "

Painful reality

In the European debt crisis, the U.S. economic recovery is weak and other factors, since the second half of last year, LED's export orders fell sharply. Information from the 111st Canton Fair this year, the domestic LED companies in Europe and the United States orders generally fell by three to 50%.

While the domestic lighting market scale will take some time to start. Due to the lack of core technology, most of the LED chips are dependent on foreign companies, the domestic LED lighting is difficult to come down on the cost of the slow development of the civil market.

"The LED market is big, but it's really messy. Guangzhou Hongli Au Optronics Co deputy general manager CMO LED said, Ding Feng, a number of enterprises, there is no standard, we have to fight the price, "truly forward-looking products, is the need to invest".

Guangdong Lighting Appliance Association chairman Jian Jian noted that in the domestic market, a little better than the LED bulb 50~60 yuan, some of the better 100 yuan, a difference of only $3.5.

Investment overheating, overcapacity and forced the price of LED lighting diving". Quan Jian said that in 2011 China invested more than 180 billion yuan in the upper reaches of the LED, how to digest capacity? This year we must cut prices. "

According to statistics Guangdong Lighting Research Institute released the first quarter of this year, 12 listed companies from last year's 2011 annual performance report shows that only KingSun (002638.SZ) and the joint construction of photovoltaic (300269.SZ) maintained a growth rate increased slightly, the other 10 companies have different degrees of decline rate.

Which in 2010 operating income to maintain a 234% growth rate of rectangular lighting (300301.SZ) in 2011 operating income growth of only $57%. Million run Technology (002654.SZ) performance even zero growth.

In the first quarter of this year, a number of negative growth in the performance of listed companies LED. Honglitronic (300219.SZ) in the first quarter of this year revenue fell 8%, net profit fell nearly 21%. Chau Ming Technology (300232.SZ) in the first quarter of this year, revenue fell by nearly 17%, net profit fell by 80%, mainly due to the impact of the European debt crisis, and was involved in the domestic LED applications increased competition.

Survival technique

How to survive the winter, in the spring before the "survive", is the subject of each LED companies need to face.

Last year China released out incandescent roadmap, decided from October 1, 2012 onwards, to prohibit the sale and import of 100 watts and above ordinary incandescent lighting; by October 1, 2016, banning the sale and import of 15 watts and above ordinary incandescent lighting. This means that incandescent light from this year will gradually withdraw from the stage of history, LED lighting curtain will be officially opened.

Guangzhou International Lighting Exhibition founder Pan Wenbo projections, China's stock of incandescent lamps around 15 billion, annual production and sales of about 3 billion 850 million and only 1 billion 70 million. Instead of incandescent lamps, LED lighting and energy-saving lamp industry will form a long-term positive, only to replace the existing incandescent light formed by the market will reach hundreds of billions of dollars".

This year, the Chinese government will spend 40 billion yuan for the purchase of LED street lamp, LED street users to provide financial subsidies of 30%. Guangdong province since March this year, all public works lighting can only use LED, the birth of several hundred billion market.

Pan Wenbo is expected in the next 8~10 years, 80% of the traditional lighting will be replaced by LED, LED light source revolution will bring the spring of the LED industry, the benefit of indoor and outdoor lighting LED light source and related accessories enterprises.

Export to domestic sales is one of the paths. Guan Xudong told this newspaper, Audi general lighting export business accounted for 70% of the original, and now in turn, the domestic business accounted for about 70%.

In addition, the feasible approach also includes listing. Yesterday (May 2nd), Shenzhen Jiawei solar lighting Limited by Share Ltd (300317.SZ) held a pre IPO roadshow. Jiawei shares chairman Ding Kongxian said, the company mainly to the North American sales of solar lawn lamp and other products. With the promotion of investment projects, the company will enter the future of LED general lighting, LED street lighting and other smaller seasonal areas.

Rough statistics, in the first quarter of this year, has been listed and will be ready for the LED companies have 8, more than last year's total number of listed companies LED enterprises, which, in March and there will be listed in the past 6.

The lighting research analysts believe that the listing tide is actually in the enterprise to prepare for the future, it is likely to be potential buyers to swallow.

The industry's temporary trough provides the opportunity to reshuffle, international giants and domestic companies listed on the market to become the dominant reshuffle LED. Pan Wenbo think, from last year until now, until next year, is the shuffle period. ".