Export-oriented LED display enterprises will develop rapidly
Time: 2017-02-15 Reads: 741 Edit: Admin
After the rapid expansion in 2010, the LED display industry has entered the integration phase. Most of the enterprises are in decline in gross margin, revenue growth stage, coupled with the overall industry competition confusion, concentration is low, the market generally believes that the value of small LED display industry no barriers to competition, homogenization of serious, investment. But through the further development of the industrial chain, we can find the factors of export-oriented enterprises to benefit from the advantages of cost, LED technology development and the vast overseas market space in three aspects, future growth is still good, investors may be concerned about the benefit related enterprises in the export business of rapid development.
LED display has advantages
1. cost advantage
From the LED display industry, domestic enterprises have a certain cost advantage compared with foreign companies. At present, the domestic LED display price of about 30%-50% of similar products abroad, but still maintain a better gross margin, mainly due to cheap domestic basic materials and value-added tax rebate policy. These two factors make domestic LED display cost about 30% of the cost of foreign LED display, low cost greatly improves the competitiveness of domestic products.
At the same time, the use of home-made lamps also greatly reduce the cost. From the domestic LED display cost structure, which accounted for the largest for the LED tube, the basic accounting for 39%. Domestic enterprises are using domestic LED display tube, or self packaging, LED lamp, and buck, and other foreign enterprises by Daktronics international manufacturers (Nichia, CREE) lamp. Data show that the domestic LED lamp prices about 1/3 of international manufacturers, and if other domestic and foreign costs are the same, then only because of domestic and international lamp spreads, the cost of the domestic display is about 44% lower than that of the international manufacturers.
In addition, the average wage abroad is about 7 times that of China. If the other costs are unchanged, only the labor cost will be one, and the overall cost of the domestic display will be 17% lower than that of the foreign countries. And empty box, steel frame, PCB boards and other products at home and abroad, the average price gap is larger, together with the overall design and other costs, considering the domestic product costs about 30%-50% of foreign products. Domestic LED display exports will enjoy a VAT rebate of 17%, and it is estimated that government support will further reduce costs
2., the domestic market is limited, the overseas market is broad
LED display industry has experienced explosive growth in 2010, the overall growth rate will be larger decline. According to LED Research Institute of high engineering estimates, in 2012 the domestic LED display industry market growth rate has dropped to about 10%, is expected to 2013-2015 years of domestic LED display industry growth will remain at 10%-20% low. By comparison, however, exports remained relatively high. From the data of each enterprise is not difficult to find, although the overall growth rate has slowed down, but the export situation is obviously better than the domestic situation. The Lehman photoelectric (300162, shares), alto Electronics (002587, shares), Riyadh (300296, shares) in 2012 three companies sales revenue growth rate is greater than 30%, while most of the domestic enterprise business sales growth remained at between -10% to 10%.
At present, the technical level of enterprises at home and abroad has basically been quite. From the terminal customers and downstream applications, Abison, photoelectric (300269, shares), Lehman photoelectric, Chau Ming Technology (300232, shares) were to undertake a large project more. From the exhibition to the sports center, and then to the bird‘s nest and World Expo display screen, it can be said that the domestic and foreign manufacturers LED display although there is a certain gap; but in addition to the ultra high-end products, the domestic LED lamp can reach the requirements of display.
3., according to "planning" introduced, by 2015, key equipment and important raw materials to achieve localization, major breakthroughs in technology. High end application products reach the international advanced level, and the energy saving effect is more obvious. LED lighting energy saving industry concentration gradually improved, the industrial agglomeration area basically established, a group of leading enterprises competitiveness has increased significantly. R & D platform and standards, testing and certification system to further improve.
By 2015, China‘s LED energy-saving lighting industry output value is expected to reach 450 billion yuan, while the key equipment and important raw materials localization policy guidance will benefit the relevant listed companies.
In addition, LED display about 60 billion yuan of export space is also enough to support the rapid development of enterprises. From the market size, the global LED display market in 2013 was 13 billion 700 million US dollars, about 3 times as much as that in the domestic market. In the future, domestic LED company will develop rapidly with its high cost performance. From the industry leader, at present, the leading enterprises in 2012 Dakota sales revenue of up to $500 million, equivalent to more than 3 billion yuan. The domestic related listed companies, the largest sales revenue of only 570 million yuan. Obviously, the whole industry has the potential to breed large companies, while the follow-up related domestic listed companies are expected to get more room for development, investors can pay due attention to the rapid development of export related enterprises.