GLII estimates that Silan Mingxin’s revenue this year will be 1.7-1.9 billion and will pick up next year.

Research points:

The High-Tech LED Industry Research Institute (GLII) believes that the business income of Shilan Mingxin has declined in the past two years. The main reasons for the decline in market share are as follows: industry competition is fierce, the company adopts a conservative strategy; LED chip prices continue to decline, the company The product has no price advantage; the company's MOCVD equipment has a long debugging time, and the production capacity has not been released in a timely manner; this year, the LED chip market is mainly based on lighting chips, and the company's products in the field of lighting chips have not yet formed scale; some businesses compete with downstream customers. The impact of the relationship, etc.

Although Silan Mingxin is in an unfavorable position in the market competition in the past two years, the company's LED business is still steadily advancing. It is expected that the company's performance this year has bottomed out and its future performance will steadily increase. The main reasons are: the market competition pattern is stabilizing, product price declines are slowing, production capacity is expanded, and product gross margin will rise steadily.

Silan Mingxin still has some unique advantages in the development of LED chips in its main business: the background and technical support of the design and manufacture of the parent company Silan Micro-Semiconductor; although the company expands its lighting chip business, it still regards LED color-screen chips as the most Important products, color screen packaging factory Mikale products have been recognized by international LED display giants Daktronics, Baku, pending future market volume; consider the future development, layout of the west, and timely expansion of their own production scale or through mergers and reorganization Ways to prepare for market expansion.


Compared with other domestic LED chip companies, Silan Mingxin has 24 units in terms of the number of MOCVDs, ranking 9th among the major LED chip companies in China. GLII expects that the annual operating income of Silan Mingxin will be between 1.7-190 million, which is the lowest among the four listed companies in the LED chip business, and the largest decline year-on-year; and in terms of product gross margin, Silan Mingxin is currently at the lowest level and is expected to gradually pick up next year.

risk warning:


Risk of further decline in product prices and gross profit margin Risk of receivables recovery

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