BOE glass-based MiniLCD backlight and direct display products will be mass-produced in the second half of this year
On the same day when TCL Technology (4.760, -0.07, -1.45%) announced that 'MLED Starlight's product mass production is undetermined, the specific time needs to be combined with the terminal manufacturer's planThe company's glass-based MiniLCD backlight and direct display products will be mass-produced in the second half of this year.
'MiniLED products can greatly improve the LCD display effect, while being very competitive in cost. The company's glass-based Mini-LCD backlight and direct display products will be mass-produced in the second half of this year.' BOE Secretary-General Liu Hongfeng believes that MiniLED products and BOE's existing BDCell products will be able to provide customers with more high-end display product solutions, and enhance the company's products' competitiveness in the high-end display field.
In 2019, the semiconductor display industry has fallen into a low development. According to relevant data, this year is also the year with the deepest ups and downs in history. The global economic downturn and domestic related production capacity have been opened one after another, and overcapacity has permeated the entire industry.
Annual report data shows that in 2019, BOE achieved revenue of approximately 11.606 billion yuan, an increase of 19.51% year-on-year, and the net profit attributable to shareholders of listed companies was 1.919 billion yuan, a year-on-year decline of 44.15%.
This year, BOE received government-related subsidies of 2.6 billion yuan. This also means that BOE’s net profit deduction in 2019 is a loss of 1.167 billion yuan.
The annual report shows that in 2019, BOE’s display device shipment area increased by 19% year-on-year, and shipment volume increased by 16% year-on-year.
According to Gaogong’s new display, BOE currently has more than 5 LCD production lines, including two 10.5-generation TFT-LCD production lines and two 8.5-generation TFT-LCD production lines.
In 2019, BOE Hefei's 10.5th generation TFT-LCD production line achieved full production, and Wuhan's 10.5th generation TFT-LCD production line achieved mass production.
However, affected by the bottoming of LCD prices, BOE’s LCD business has been hovering near the cost line. How to improve the profitability of the LCD business has become the key.
Mini-LED backlight has been placed high hopes by BOE.
Liu Hongfeng previously stated on the interactive Yi platform that Mini backlight is the key product of BOE this year.
According to the data of the LED Research Institute of Advanced Industry Research (GGII), the global MiniLED market will reach 6.04 billion yuan in 2021. From direct display to backlight, the market space is broad.
However, currently, due to cost and acceptance issues in the downstream consumer market, the development of Mini backlight is significantly slower than Mini’s direct display.
BOE’s announcement of mass production in the second half of the year undoubtedly injected a boost from the Mini backlight field.
Before, BOE has launched a 75-inch 8K MiniLED backlight display product, which can achieve HDR partitions with a fineness of more than 10,000, with 1500nit ultra-high brightness and a dynamic contrast ratio of more than 1 million.
Gao Gong’s new display obtains information from the market, and there are already Mini packaging companies supplying small quantities of backlight devices for BOE.
Liu Hongfeng also said that the industry downturn has brought opportunities for industry integration, and the concentration of leading manufacturers may further increase in the future. 'The company takes an active and open attitude towards industry integration, and will comprehensively consider factors such as production capacity, technical level, and profitability to continue to consolidate the company's industry leadership.'
For the market in the second half of the year, Liu Hongfeng believes that As the epidemic is under control, the demand side is expected to gradually recover; the supply side, catalyzed by the epidemic, is accelerating the withdrawal of some production capacity, and the industry competition pattern is expected to greatly improve.
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