At the bottom of the industry cycle, where did TCL technology go two years ago?

In the first half of 2022, the epidemic was superimposed with the international situation, the consumer electronics market was sluggish, the semiconductor display industry was at the bottom of the industry cycle, and TCL technology operating income achieved double -digit growth. TCL Central is becoming the second growth curve of TCL technology. Operating, industrial chain and ecological chain are the third -level transition of TCL technology strategy. Can it help the TCL technology crossing cycle and move towards the future?

Recently, TCL Technology released the semi -annual performance trailer for 2022. Although the international situation and epidemic situation have repeatedly influenced, the operating income of T CL technology has still achieved double -digit growth.

Among them, the high -speed growth of new energy photovoltaic and semiconductor materials business has undergone the performance pressure brought by the semiconductor display business to TCL technology, ensuring the overall business growth.

TCL Central has become a new growth engine of TCL technology.

Not long ago, in 2022, "Fortune" China's top 500 rankings released, TCL science and technology ranked 85th, a 60 -name time from last year. Considering the bottom of the industry cycle of semiconductor display, this ranking is not easy. The strategic layout of TCL technology is playing a role.

Analyzing the layout of TCL technology in recent years, Lu Yan Finance summarizes the third -order transition of operations, industrial chains, and ecological chains: first -order, internal improvement of operating efficiency and efficiency; second -order, invest in mergers and acquisitions integrated industrial chain, layout of the layout, layout New business; third -order, investment layout ecological chain.

In 2022, the semiconductor display industry enters the bottom of the cycle. In this round of adjustment, can the third -order transition help TCL technology to become the leader of the industry?

The overall revenue increases slightly

According to the semi -annual performance trailer disclosed by TCL technology, and the TCL Central's preview data, in the first half of 20022, the operation of T CL technology can be summarized as: overall slight growth, profit decline year -on -year, and rapid new track growth.

The first is the overall growth.

In the first half of 2022, TCL Technology is expected to operate 84 billion yuan to 85.5 billion yuan, an increase of 13%-15%over the same period last year. In the context of repeated epidemic and increasing uncertainty in the international situation, this number is still over.

Profit is reduced year -on -year.

In the first half of 2022, TCL Technology was expected to make a profit of 1.85 billion yuan to 20.05 billion yuan, a decline in the same period last year. In addition, the net profit attributable to shareholders of listed companies and deducting non -recurring gains and losses after deducting non -recurring gains and losses also reduced the net profit attributable to shareholders of listed companies.

According to the reasons for the preview, because under the background of the unstable international situation and the new crown epidemic, the consumer terminal demand was weak, and the prices of the main products showed that the prices of the main products were significantly lower than the same period last year. According to the data of Qunzhi Consultation, whether it is the LCD TV panel, or the MNT panel, and NB panels, they are facing huge pressure. Although the panel factory adjusts the supply scale, it is still difficult to fight against the sharp declined panel procurement needs. The price competition for panels is very fierce, the price has fallen, and the cost of manufacturers is under pressure.

The new track has grown rapidly.

The new track refers to the business of TCL Central, which mainly includes the business of new energy photovoltaic and semiconductor materials. In the semi-year 2022, these two businesses are expected to revenue from 31.9 billion yuan to 33 billion yuan, an increase of about 85%year-on-year. It is expected that the net profit attributable to shareholders of listed companies is 2.85 billion yuan to 30.05 billion yuan, an increase of about 100%year-on-year.

Compared with the number in the first quarter of 2022, in the previous quarter, TCL Central revenue was 13.37 billion yuan, an increase of 79.1%year -on -year, and net profit was 1.46 billion yuan, an increase of 96.2%year -on -year.

It can be seen that the business revenue of the new track continues to increase by more than 80%, and the net profit growth rate is close to 100%, which is very stable. The rapid growth of new track revenue and net profit has driven the overall revenue of TCL technology.

The business of the new track is relatively dazzling. The reason behind is the optimization of product structure and the improvement of technical processes, as well as product differentiation and cost advantages, and supply chain cooperation.

On the whole, TCL Technology's semi-annual performance forecast in 2022, the performance of revenue and net profit is halfway. Considering the domestic and international environmental background, domestic consumer electronics markets such as domestic mobile phones continue to increase, and operating income has an increase of 13%-15%. It is rare.

The cycle low, the double faucet pattern accelerates formation

The downturn of the TV panel has lasted for nearly a year.

Since August last year, TV panel products have entered a downward channel. The current price bottoms to bottom and fall to the industry's cost line.

According to Qunzhi Consultation, in the third quarter of 2022, the LCD TV panel fell into an in -depth destocking cycle. Although LGD, Samsung, and Taiwanese businessmen are all implementing production, and domestic panel factories are also passively reduced production, in the short term, it is still a situation that is greater than needed. Qunzhi Consulting predicts that the price of LCD TV panels has maintained a decline in the price of panels in June-July. Among them, large-size panels still maintain a significant decline, and small-size panel prices are expected to narrow.

In May of this year, at the 2021 performance media communication meeting, TCL technology management analyzed the reasons for the growth of performance, and mentioned four reasons. In addition to changes and transformation and globalization, the other two reasons were the M & A and reorganization of the main business. For the new track, Lu Yan Finance believes that here should refer to the M & A Group in July 2020; the other point is to optimize the business structure, develop from popular products to mid -to -high -end products, and develop from product assembly to core technology. At that time, in order to cope with the cycle, TCL technology mentioned a few measures, which specifically mentioned the adjustment of the product structure, and said that new applications such as IT, car, and Shangxian have grown rapidly. TCL Technology will further adjust the product structure. The non -mobile phone business will be further increased.

This is also the next market dividend.

Ovi Cloud.com predicts that by 2024, the size of the Chinese commercial market will reach 110.6 billion yuan, of which the growth rate of market segments represented by interactive whiteboards, splicing screens, and signs advertising machines will accelerate significantly. TCL Huaxing has accumulated resources in the TV business, and has achieved a good market response to the emerging growing businesses such as merchants, MNT and NB. Get the world's first and second achievements in the fields of e -sports MNT, LTPS lattime tablets. In terms of car customers, the existing T3 production lines have accumulated international domestic and domestic brand customers such as BYD, SAIC, and Audi, and the scale and market share have increased rapidly. According to the information provided by TCL technology, TCL Huaxing will continue to improve the layout of large and medium -sized full -size business in the future.

In addition to structural adjustments, the M & A and investment of Samsung Suzhou factory in 2020 is a more critical step.

In August of that year, TCL Huaxing acquired 60%of the equity of Suzhou Samsung Electronic LCD Technology Co., Ltd. and 100%of Suzhou Samsung Display Co., Ltd. This M & A investment has played the effect of optimizing the industrial layout, optimizing product structure, and rapid low -cost expansion. It also plays a key role in TCL's cyclical crossing capabilities.

Operating efficiency and efficiency are the traditional advantages of TCL Huaxing, and have always maintained the industry's leading position in the industry. Because of seeing the high profitability of IT products, Huaxing quickly adjusted the product structure. According to the information disclosed by TCL technology, with the improvement of the capacity of Huaxing T9 and T5, the comprehensive layout of the medium -sized business will also make up for management efficiency.

This periodic adjustment is also an opportunity for inefficient capacity to clear. In large -scale markets, TCL Huaxing and BOE both leading pattern will accelerate.

Huatai Securities believes that as the industry enters the traditional peak season and the ratings of the World Cup and other major sports events, the price of panel should bottom out in the third quarter of 2022.

Photovoltaic and semiconductor, the second growth curve?

In July 2020, the M & A Central Group included new energy photovoltaic and semiconductor materials business into the territory. Today, the layout of TCL technology has begun to appear.

According to the 2022 semi -annual report, TCL Technology's new energy photovoltaic and semiconductor business revenue and profit continuously stabilized, and they are becoming the second growth curve of TCL technology.

In the first half of 2022, TCL technology revenue was 84 billion yuan-85.5 billion yuan, and its profit was 1.85 billion yuan to 20.05 billion yuan. Among them, the revenue of TCL Central is 31 billion yuan to 33 billion yuan, the proportion continues to increase, especially in terms of net profit.

When TCL Technology disclosed in the semi -annual report of 2021, it has clearly clarified the pan -semiconductor strategy focusing on display and new energy sources, and choosing semiconductors.

New energy photovoltaic and semiconductor business, with carbon neutral policy dividends, is a sustainable long -term business.

Single crystal silicon is the development trend of the market. TCL Central has invested earlier in single crystal silicon and has become one of the leading companies in the field. According to the data of the Toubao Research Institute, as of 2020, the production capacity of TCL Central and Longji shares accounting for about 66%of the total market capacity. The scale advantage of TCL Central ensures its own industry status and barriers. The Head Leopard Research Institute predicts that in the next 1-3 years, TCL Central and Longji shares will continue to maintain the industry's leading position.

According to the information provided by TCL technology, TCL Central has played on the advantages of G12 large silicon wafers, high -efficiency stacked tile components, and industrial 4.0 flexible manufacturing. As of the end of 2021, the global market share of photovoltaic silicon wafers is 25%. The world's first. The market share of semiconductor materials has also increased significantly, and the area of ​​6-12-inch shipments accounted for half of the country.

TCL Technology will join forces to invest in silicon materials to lay out the upstream core materials of photovoltaic silicon wafers and semiconductor silicon wafers. At the same time, the capital increase of Xinxin semiconductor and further do the business of large semiconductor materials. The semiconductor business will also follow the model of group shelves and cluster development.

Can I eat two dividends in the third -level transition?

Structure, scale, industrial chain and ecological layout are a deep innovation path from TCL technology.

As mentioned earlier, in the field of semiconductor display, TCL Technology has soligorated the impact of the industry cycle by improving the large, medium -sized panel layout to a certain extent. At the same time, by adjusting the priority of product structure efficiency and operating efficiency, it is flexibly cope with the market. After the layout is improved, it continues to exert efficiency advantages by improving operational efficiency.

Through the acquisition of Central Group and cut into new energy photovoltaic and semiconductor materials business, the business has achieved sustainable growth.

At the same time, TCL technology has increased investment in research and development, and pays attention to investment in the industrial chain. According to the information disclosed by TCL Technology in 2021, the company's 2021 annual R & D investment was 8.77 billion, a year -on -year increase of 34.1%; the cumulative application of PCT patents throughout the year was 14,051, which was at the forefront of Chinese companies; two.

In terms of ecological layout, since last year, TCL plans to conduct ecological investment layouts in cutting -edge fields such as semiconductor power devices, semiconductor chip design, new materials, and intelligent manufacturing, and is committed to creating a TCL ecology. In November of the same year, at the 2021 TCL Huaxing Global Show Ecological Conference, Jin Yanzhi, senior vice president of TCL Technology and CEO of TCL Huaxing, said that in the next 5 years, TCL Huaxing will invest more than 10 billion yuan in the core of the industry chain.

As mentioned at the beginning, improving operational efficiency and efficiency; mergers and acquisitions of the industrial chain and expanding new businesses; and the investment layout ecosystem is the third -order transition of TCL. This round of low valleys help TCL technology crossing cycle. However, with the emergence of IT dividends and carbon neutralization, whether the strategy of third -level transition can keep TCL technology to maintain its industry status and steadily grasp the two dividends, we will wait and see.

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