LED industry in the next three years or eliminated more than half of the company?

LED market is flooded with low quality products such as fraud, bankruptcy, etc.

The day before the reported that the baby looks at "Yuba" bath for two months is very likely the blind, arch-criminal emitted blue light, the LED industry once again become the focus of attention. More alarming is that the lighting industry experts yesterday told reporters that the high-end variety LED is replacing the traditional incandescent lamp is easy because of Jerry and hide many Blu ray, which will serve as the provinces of the strategic emerging industry -- LED industry pushed in the teeth of the storm. Newspaper reporter survey, a large number of investment expansion so that the lack of core technology LED industry fraud, bankruptcy and other chaos. With the intensification of competition, the domestic LED industry is expected to be eliminated at least 50% in the next three years.

LED industry status

LED ferocious momentum of the industry, and even become the focus of venture capital, but it also derived a lot of chaos. In the case of constant state subsidies, quite a lot of LED company is not good.

Status: a large number of companies to reduce profit margins

Some LED listed companies or wearing ST hat, some companies even delisting. Flush statistics show that in the year to November 10th, listed the 7 LED companies, stock prices fell sharply decline in all, ranging from 20%~65%, not only is the market environment has fell, from the results, 7 companies have four performance decline, the lowest decline of 18%, the highest decline in 94%. The display flush statistics, 20 listed companies, 13 companies in the three quarter net profit fell, Jiawei shares, Silan, Elec-Tech, South photoelectric decline were as high as 92%, 88%, 57% and 52%, while only 7 listed companies earnings growth in three, leading an electric light operating income, net profit growth of only 23% and 13% respectively, the two indexes of KingSun also increased by only 5% and 20%, while the two companies in 2011 2010, the performance increase is generally maintained at about 50% and 100%. The number of LED listed companies in three quarter profits are very meager, such as Jiawei shares three quarter net profit of only 3 million 420 thousand yuan, Silan and Chau Ming technology is only 15 million yuan and 18 million yuan of profit.

Following the 2011 junduoli company, bright optoelectronics company, this year's vision photoelectric company shut down, recently invested over 100 million yuan LED display enterprises Shenzhen hibo photoelectricity because suppliers owed huge amounts of money and staff wages and commissions also struggle in management predicament.

However, at this time, there are many home appliance giant is entering the lighting market. This Shanghai teyoushi lighting co founder Yin Kang said not optimistic. Vice chairman of Chinese Lighting Association and Secretary General Chen Yansheng said: "selling light bulbs and sell TV is different, want to use the appliance giant home appliance channel selling lamps,. "

The emerging LED industry began to mix, there are no lack of low-quality enterprises strategy, some LED products into junk.

Most companies do not have core technology

Chen Yansheng told reporters that the Japanese lighting market has more than 50% of the production of lamps in china. China's lighting industry in the world has a certain position, but not strong enough. This has about 200000000000 yuan market capacity of the industry, why so many companies struggling?

2011, only the size of the output value of Guangdong LED industry has reached 151 billion 500 million yuan, two consecutive years to achieve double growth. In 2012 1~9 months, the impact of the international financial crisis, the downward pressure on economic and other unfavorable situation, contrarian growth of Guangdong LED industry, the total output value of 125 billion yuan, an increase of 17.2%; this year is expected to total output value will exceed 200 billion yuan output value, and continue to scale ranked first in the country. From Guangdong science and Technology Department of Guangdong province LED data show that listed companies amounted to more than and 20, KingSun, honglitronic other companies have landed capital markets, the total market value of more than 20 billion yuan.

But according to the statistical data card Hang Seng consulting firm, the PRD enterprises involved in upstream materials and chip listed companies, only Elec-Tech nationstar and Neoneon nationstar, larger scale in the middle of the packaging industry, the majority of Listed Companies in the downstream business or lighting and applications, operating income reached 1 billion yuan scale the enterprise is very rare.

National subsidies to increase the number of enterprises to expand

For the implementation of energy-saving emission reduction plan in 12th Five-Year, since 2009 the country's LED lighting industry subsidies unabated. May 2012, the Guangdong Provincial People's government, within 3 years of the province's public lighting in the field of comprehensive popularization of LED lighting products, driven by the LED industry in 2015 to achieve annual output value of more than 500 billion yuan target. From the Guangdong science and Technology Department data show that since 2010, Guangdong financial investment of 1 billion 350 million yuan of special funds to guide enterprises and social investment funds of nearly $6 billion. A new round of promotion of the use of LED lighting products are booming.

Guangdong provincial science and technology department director Li Xinghua said in a public speech, strong financial support for the LED industry innovation breakthroughs in key areas. State subsidies for new energy to bring a new round of investment, the industry has this kind of LED investment is known as herd effect, follow blindly follow the trend, LED investment becomes more difficult to predict returns. Secondly, large enterprises to obtain state subsidies, crazy investment in LED projects, the establishment of industrial bases, but its profits have been relying on government subsidies, its sustainability is controversial. As a listed company in the three quarter of an optoelectronic profit of 667 million yuan, up to 328 million yuan of subsidies, accounted for more than half. Coincidentally, the mid year net profit of 120 million yuan, the government subsidy is as high as 150 million yuan, nationstar