LED display industry deep price war

Previously sold 200 square meters on the screen can get almost $10 million, now sell 500 square meters, the price fell too fast. The day before, retop BDO chairman Shi Yaozhong in light of the Expo site told Yangcheng Evening News reporter interview issued the feeling. Yangcheng Evening News reporter learned that, LED display industry continued price war in the industry down the gross margin, but also in the rapid elimination of smaller LED display business. The industry believes that the future of the remaining LED display industry companies will not exceed 35.

Prices fall by 20% per year

In recent years, LED concept fiery, lighting and display has become the most widely used in the field of LED two. Data show that the domestic LED display market capacity of 24 billion 100 million yuan. Although compared to LED lighting is limited, but due to the lower threshold, many companies get together. The weak market demand and excess capacity in the industry makes the LED display industry price war is very fierce.

LED display prices fell almost 20% to $30% per year. Shi Yaozhong told reporters. Prices continue to decline, which also led to the LED display industry profits are very low. Shi Yaozhong told reporters that the industry is currently only 20% gross margin, net profit of 5%.

LED display industry of listed companies also showed no increase in interest income, as one of the typical, LED display enterprises Chau Ming Technology in the semi annual report shows that revenues increased by 33%, but net profit fall by 30%; Lehman photoelectric revenue growth of 7%, but net profit fell 26%.

Listed companies do not have special advantages

In the process of rapid decline in prices, many small and medium LED display companies continue to collapse. From 2011 to Jun dolly, last year's vision and photoelectric hibo photoelectricity, Yangcheng Evening News reported earlier in several influential industry failures are leading LED display enterprises. LED industry has just gone through the spring and Autumn period, is still in the Five Dynasties and Ten Kingdoms era. Shi Yaozhong believes that the current concentration of LED industry is still not high.

At present, the LED industry is still in the process of intense reshuffle. Industry experts, to survive in the mighty wave crashing on a sandy shore enterprises must have two factors, namely, scale and technology. Shi Yaozhong believes that we have the whole Elec-Tech BDO industry chain integration advantages, also can use NVC channels, but also have the scale and financing ability, so in the competition and not lose in any one of the listed company. The director of the high LED Zhang Xiaofei has told Yangcheng Evening News reporter, said: the display industry listed companies in the next few years, the emergence of ST or delisting situation is not surprising. "

In the light of the fair, the world's first retop BDO 300 inch ultra high precision LED television and outdoor high precision LED display. It is reported that the cooperation with the domestic media giant Air Media, in the gas station to create high precision free outdoor TV platform, currently hundreds of high precision outdoor TV has completed the construction work.