Sapphire substrate factory in November offer has been loose

LED has gradually entered the off-season, downstream demand began to weaken the influence of the sapphire substrate, plant revealed that in November the price has become loose, part of the 2 wire manufacturers offer has fallen below $8 per piece (NT $232) mark, even see $7.5. Legal person said, sapphire substrate manufacturers including Zhaoyuan (4944), diamond (4969) and Xin Jing Mei (4990) fourth quarter profit increased difficulty.

The sapphire substrate factory said, because the cost is also on the decline, even if the price fell, the product gross margin is still force to keep positive, but the second half of the original set profit targets, vendors admitted that opportunity is not high, but I hope you can better than the first half.

Product gross margin

Xin jingzuan spokesman Li Jizhen said, by the backlight and LED (Light Emitting Diode, a light emitting diode) lighting into the off-season, downstream customers have more strength to pull goods slowed down, affected the sapphire substrate prices also loosen. Xin Crystal in the first half of this year net loss of 46 million yuan, the second half is to reduce the loss of the target.

Legal person said that the current LED mainly or in the amount of backlight, although the backlight demand is relatively good, but the LED backlight LCD TV price continued to decline, the grain factory, the decline in the cost of pressure becomes bigger, so the sapphire substrate has been shrinking hand strength bargain.

In addition, LED grain mill canyuan (3061) days before and Chinese LED grain factory three leading strategic alliance, and three for the sapphire substrate is menacing, three chairman Lin Xiucheng said, at present the company annual production capacity of approximately 12 million pieces of sapphire substrate, the conversion of single month there were about 1 million scale, has surpassed the main domestic manufacturers. Legal person said, Chinese manufacturers continue to expand production, with the technology upgrade, Taiwan will be a single crystal grain factory to the Chinese manufacturers, and thus affect the order of the Taiwan base plate plant, is still to be seen.

Only non LED applications

Taiwan substrate plant develops non LED applications, including intelligent mobile phone lens protection glass, even the larger size of the mobile phone screen glass, but currently only apple iPhone 5 lens protection glass with sapphire substrate, non Apple camp has not yet been adopted.