Men Fangfang, General Manager of Guanshi Technology: The OLED industry still has a growth period of 5-10 years

Core Tip: Regarding the development trend of the OLED industry, General Manager Men Fangfang said that OLED still has a growth period of 5-10 years. risk capability.
On May 16, Crown Stone Technology (605588, SH) held the 2021 Annual General Meeting of Shareholders.

At the meeting, the company's secretary Wang Shunli said in response to a reporter's question from the "Daily Economic News" that the company currently has 10 polarizer processing production lines, with an annual production capacity of 35 million pieces. Statistics on its total area.

Regarding the development trend of the OLED industry, general manager Men Fangfang said that OLED still has a growth period of 5-10 years. In the future, the company will expand and extend the upstream raw materials and other aspects to lengthen the entire product chain, thereby improving the ability to resist risks.

The overall gross profit margin decreased due to the increase in the proportion of polarizer sales

According to the 2021 annual report, Crown Stone achieved a revenue of 1.397 billion yuan, a year-on-year increase of 26.34%, and the net profit attributable to the parent was 98.6561 million yuan, an increase of 8.71% year-on-year; the first quarterly report of 2022 showed that the company achieved revenue of 389 million yuan, a year-on-year increase. 4.49%, the net profit attributable to the parent was 22.2 million yuan, a year-on-year decrease of 3.27%.

On May 12, 2021, Crown Stone Technology was listed on the main board of the Shanghai Stock Exchange. At that time, the first prospectus listed Hengmingda (002947.SZ), Anjie Technology (002635.SZ), and Zhipower (300686.SZ) as listed Comparable companies in the same industry. The 2021 annual report shows that the net profit attributable to the parent company of Hengmingda, Anjie Technology, and Zhili Power has all declined significantly; the first quarterly report of 2022 shows that the net profit attributable to the parent of Hengmingda and Anjie Technology has increased significantly. increase.

Compared with the ups and downs of comparable companies' performance, Crown Stone's net profit attributable to the parent company has always been relatively stable. In this regard, Men Fangfang said that due to the different customer structure and product structure of each enterprise, Crown Stone Technology has a variety of products such as polarizers and functional devices, and the industry chain is long, so the anti-risk ability is relatively strong.

The "Daily Economic News" reporter noticed that in 2021, the overall gross profit margin of Crown Stone Technology will decline, the inventory of polarizers will increase by 106.21% year-on-year, and the production, sales and inventory of special adhesive materials will all decline year-on-year.

In this regard, Pan Xinyue, the chief financial officer, said that the company's semiconductor display device business includes a variety of products such as polarizers and functional devices. Among them, the gross profit rate of polarizers is low, but the overall sales ratio is rising, so the overall gross profit rate has increased. A certain decline; and the increase in the inventory of polarizers is because the order volume in the first quarter has increased significantly, so some stocking has been carried out in advance, and the raw materials are also relatively tight.

"Special adhesive materials are mainly used in automobiles and household appliances, and due to the lack of cores in 2021, the demand for special adhesive materials in downstream industries will also decline." Pan Xinyue explained.

The OLED industry still has a growth period of 5-10 years

According to Display Research and Zhiyan Consulting, my country's polarizer production capacity supply in 2020 is about 201 million square meters. Although it is still unable to fully meet the domestic polarizer demand, with the joint efforts of a large number of domestic manufacturers such as BOE and CSOT, it is estimated that by 2023 The annual production capacity of polarizers in my country will reach 447 million square meters, which can fully meet the domestic demand for polarizers.

At the shareholders' meeting, Secretary Wang Shunli said that the company currently has 10 polarizer processing production lines, with an annual production capacity of 35 million pieces. However, due to the different sizes of the company's polarizers, the total area has not been counted. In 2020, the company's products accounted for about 4.50% of the global market share of polarizers for LCD TVs, while sales in 2021 increased by 27.31% year-on-year. In the future, the production capacity will be rationally planned according to the actual needs of downstream customers for polarizer products.

Recently, a news that "Apple is developing a depolarizer OLED" has spread throughout the display industry. In addition, in November 2021, China Star Optoelectronics, a subsidiary of TCL, demonstrated the world's first 8.01-inch 60Hz non-polarizer AMOLED folding screen. According to industry reports, with the development of ultra-thin OLED panels, depolarizer technology is one of the ultimate solutions for ultra-thin development.

In this regard, Men Fangfang said that the company's polarizers are mainly used in LCDs, and have not yet set foot in OLEDs, but functional devices are mainly used in OLEDs. With the advancement of screen folding technology, the company's functional devices are also cooperating with related products. .

"For the industry, OLED still has a growth period of 5-10 years. In the future, the company will expand and extend the upstream raw materials, etc., and lengthen the entire product chain, so that the ability to resist risks can be stronger. "Men Fangfang said.