On December 7th, after Skyworth Group announced its gratifying results in the first half of 2009, how to maintain its growth momentum has been concerned by the outside world. On the afternoon of the 7th, at the Skyworth National Managers' Meeting, Skyworth CEO Zhang Xuebin revealed in an interview that the company basically completed the conversion from CRT to the LCD TV industry, and is currently constructing the second phase of the production base and the flow base. He also said that the company is optimistic about the development of the LED industry and will focus on the development of the LED industry next year. Regarding whether to participate in two 8.5-generation LCD panel lines in Guangdong, Zhang Xuebin said that the company has received relevant invitations and is considering it.
“Chuangwei has basically completed the transition to the LCD industry,†said Zhang Xuebin. Regarding the satisfaction of Skyworth’s performance in the first half of the year, Skyworth is grasping the opportunity of the industry’s transition to LCD TV to achieve good performance in the first half of the year. He believes that the LCD TV market is not the same as the CRT market. It is a capital and technology-intensive market. The LCD TV market has a large release of investment capacity and prices are changing rapidly. This requires traditional TV manufacturers to adapt to the LCD TV market to transform. He introduced that in the past three years, Skyworth has been preparing for the transformation of liquid crystals. The company has accelerated the process speed from research and development to production. The company has carried out logistics reforms and integrated branches in more than 300 logistics warehouses around the country into three logistics centers. Transport and add three new production bases. In addition, Skyworth has invested in LGD's module factory in Guangzhou to enhance cooperation with upstream manufacturers.
“Three years spent a total of more than 1 billion yuan for transformation,†he said. In the future, the company will increase its investment in LCD TVs. The second phase of the company’s LCD module will be launched, with a planned production of 10 million units. The second phase of the company's three logistics centers will also start construction.
"The LED industry is only a small part, but the market space is bigger than the panel," said Zhang Xuebin. Optimistic about the LED industry, the company has set up a special team to operate the LED industry. At present, Skyworth has entered the LED module manufacturing, "LED Terminal applications and chips have potential." He admits that the LED industry chain is long, Skyworth is looking for a path to enter, and may enter the LED chip manufacturing or application field in the future.
He introduced that Skyworth's set-top box grew rapidly this year, and its overseas market expansion shifted from the retail market to the operator's procurement. With the full conversion of domestic digital TV, the market space for set-top boxes expanded.
Last week, Skyworth Digital Holdings Co., Ltd. announced the company's 2009 fiscal year mid-year report (interim results report for the six months from April 1 to September 30, 2009). According to the report, Skyworth Digital's turnover in the first half of the year reached HK$10.13 billion, a year-on-year increase of 35.7%. Net profit surged to HK$609 million, an increase of 429.6%. The company's basic earnings per share increased by 523.9%.
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