The LED value of high growth to benefit from the subject leader Sanan Optoelectronics

As the LED industry leader will fully benefit from the rapid growth of the industry

In 2013, China's LED industry output value reached 257 billion 600 million yuan, is expected in 2014 and 2015 respectively year-on-year growth of 40%, 25%, the output value reached 3606, 450 billion yuan, the company has formed from the sapphire substrate, epitaxial wafer, chip packaging and application of LED whole industry chain layout. As of 2014, the company has a total of LED epitaxial wafer core equipment MOCVD170 units, the company LED chip production capacity ranks first in the country, leading position, the future will fully benefit from the rapid growth of the industry.

The company continues to expand 200 MOCVD devices

The Xiamen project is orderly, the future will add 200 MOCVD (54 to 2 inches for the base conversion) equipment, 100 units will be in the first 2014-2015 years with batch arrival, this batch of equipment has been put into operation in 2015-2016, will continue the rapid growth of sales of LED business. Since 2013, the company signed a cooperation agreement with a number of companies over the next 5 years the amount of cooperation over $3 billion. With the cooperation of enterprises are listed companies, including Siu Chi shares, Jufei, nationstar, honglitronic etc., to show the company's leading position in the affirmative, also makes the cooperation agreement the execution of the company's future performance continued to grow stronger, more secure.

Steady improvement in profitability, dependence on government subsidies gradually declined

The company's gross margin has continued to rise for four consecutive quarters, 2014Q3 has reached 44.38%. At the same time, the proportion of non recurring gains and losses attributable to net profit decreased from 43.42% in 2012 to $21.17%. As of the end of 2014Q3 company has MOCVD equipment subsidy of about 900 million yuan, Xiamen project in the next two years will add $500 million subsidy equipment. Expected in the coming year will be about 200 million yuan of MOCVD equipment subsidies deferred income included in the current profit and loss.

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