Ruijie estimated shortfall of about 2-3 PSS into Q2 flat price to rise"

The patterned sapphire substrate (PSS) manufacturers Ruijie yesterday (25) day held investor conference, general manager Hong Wenqing said, because 4K2K TV and LED lighting brightness increased push grain demand, the current PSS supply gap, the supplier has full order but no goods can be delivered to the dilemma, manufacturers have been more than 2 times the capacity the running order, the customer may deduct the phenomenon of repeat orders, estimated at PSS supply gap of about 2-3, Ruijie new plant capacity will start production in May, the monthly increase in productivity. Ruijie is expected in this year to send for otc.

Ruijie product structure, patterned sapphire substrate accounted for 98% of revenue, 2% other MEMS products and energy products. In the patterned sapphire, 2 inches and 4 inches each accounted for the level of revenue of 5.

In the market distribution, the mainland and Taiwan Ruijie proportion was 3:7. Taiwan customers to crystal, crystal electric accounted for the proportion of revenues Ruijie has reached 5, other clients include canyuan, Taigu, Guangjia, new century; in the mainland, Tongfang, Huacan, lucidity, Yangzhou branch and Blu ray and other manufacturers.

In the production part, at present Taiwan Ruijie old factory 2 inch per month is 250 thousand piece, 4 inch of 65 thousand pieces, in order to solve the problem of shortage in the existing plant and this year Ruijie planning to rent a plant to expand production capacity, Hong Wenqing said that the new plant will be put into operation in May, gradually increase the monthly production capacity of 2-3 million (equivalent to 4 inch), build about 8 months to complete, when coupled with the old factory, Ruijie can watch 120-130 million per month (about 2 inches) sheet level.

In the price trend, Hong Wenqing said, sapphire flat second quarter can be said to be "set up", he analysis of LED applications and 3C (intelligent mobile phone lens cap or HOME key), supply and demand help sapphire sheets tend to balance, and plain film factory of unbearable loss, ready to price. The second quarter flat prices will rise slowly, and for the PSS manufacturers price, also with the upstream flat price adjustments.

Ruijie 2013 consolidated revenue of 1 billion 203 million yuan (NT, the same below), the annual growth of 41.87% last year, is the sapphire substrate industry a miserable situation, a few paid a high profit report card company. Why can maintain profit last year in the tough market conditions, Hong Wen Qing said, mainly due to profit Ruijie capacity and quality, cost control and market share advantage, price and product specifications can be dominant.

Ruijie board has passed will be allotted stock dividend of 5 yuan, will hold a shareholders meeting on March 25th, the surplus capital increase, capital investment will reach 445 million yuan.