BOE A (000725.SZ) released its investor relations record on Feb 22th. BOE responded to questions on panel prices, AMOLED business progress and on-board displays, according to the minutes. BOE believes that at present, the overall dynamic rate of the industry is still at a low level, but the panel price demand is strong, so LCD products will have the opportunity to usher in volume and price rise.
BOE A (000725.SZ) issued the Investor Relations Record form on February 22, 2023.
Question 1: How does the company see LCD panel prices coming up?
Answer 1: In 2022, Global economic growth is sluggish, consumption continues to be weak, and consumer electronics terminal brand customers are particularly affected. The semiconductor display industry continued the downward trend of the second half of 2021, and the industry performance continued to decline throughout the year.
According to the third party consulting agency data, in the first quarter of 2023, the price of LCDTV mainstream size products remained relatively stable. The decline of IT products continues to shrink, and some product prices have stopped falling. At present, the overall dynamic rate of the industry is still at a low level, superimposed on the current low inventory situation, but demand for price increases is strong, LCD products will have the opportunity to usher in volume and price rise.
In addition, according to the consulting agency forecast, 2023, large LCD product demand area will return to growth, especially the TV market will continue to large size. The semiconductor display industry will return to normal off-season volatility.
Question 2: What is the development trend of flexible AMOLED industry in 2022?
Answer 2: In 2022, the overall industry shipment of flexible AMOLED maintained a growth trend, its penetration rate in the smartphone field continued to increase, and it emerged in new application fields such as notebook computers and vehicle. However, affected by the weak terminal consumption, the overall industry shipment growth rate was lower than expected. At the same time, there is obvious low-price competition among some customers’ entry-level products, and the price of entry-level flexible AMOLED products has dropped significantly.
Question 3: How is the flexible AMOLED business progressing?
Answer 3: In the face of many adverse effects of the market, the company basically achieved the annual shipment target of flexible AMOLED in 2022, and continued to maintain an increase of more than 30% compared to last year. The proportion of high-end products increased particularly significantly, and the mass production breakthrough was achieved in new application fields such as vehicle and laptop.
However, the company’s flexible AMOLED business remains under pressure due to depreciation pressure and a sharp decline in profitability from Android customers.
In 2023, as the company’s flexible AMOLED business continues to grow, and the share of client continues to increase. It is expected that the company’s flexible AMOLED product shipments are expected to maintain substantial growth. At the same time, the company will continue to improve the shipment proportion of high-end products, improve the profitability of the product portfolio, promote the accelerated growth of LTPO, folding, vehicle, IT and other new technologies and new segments, and strive to improve the performance of flexible AMOELD business.
Question 4: What are the company’s competitive advantages in the field of in-vehicle display?
BOE has been deeply engaged in the field of on-board display for many years. BOE Fine Electronics is the company’s only on-board display module and system business platform.
In terms of display technology, the company has launched products applying flexible AMOLED, MiniLED, BDCELL and other high-end display technologies, which are widely used in the new generation of intelligent connected automobile terminal brands. In terms of capacity resources, relying on the company’s a-Si, LTPS, Oxide technology resources, the company’s on-board display business layout continues to improve, and scale and product structure continues to improve. According to third-party consulting agency data, since the first half of 2022 BOE vehicle display shipment market share for the first time achieved the world’s first, the third quarter continued to maintain the global market share of the first, the market share of over 16%.
In addition, BOE Fine Electronics Chengdu on-board Display Base has been put into operation in 2022. This module base has an annual output of about 15 million on-board displays, which can cover LCD on-board display modules ranging from 5 inches to 35 inches, helping to continuously expand the competitive advantage of related businesses.
Post time: Feb-28-2023