Japan’s Mitsui shares hold 15% of the second quarter

LED epitaxial / grain giants Yuanyuan Optoelectronics (3061) announced its 2010 financial report, the first quarter of last year's single-quarter revenue reached 1.1 billion yuan, a quarterly decrease of 23%, single-quarter gross profit margin fell to 21%, single-season operating profit 100 million yuan, the quarter reduced by 81%, plus a single quarter industry foreign exchange losses of more than 80 million yuan, resulting in a single quarter after-tax net profit to a small loss of about 1 million yuan. However, due to the round, it is estimated that the first quarter of this year's revenue should be stable at 1.1 billion yuan, plus the first quarter sapphire substrate prices fell slightly, the exchange rate is generally stable, the second season will gradually enter the LED traditional shipping season. In addition, it is expected to cooperate with Japan's Mitsui Strategy in a gradual development. It is expected that the company will operate in the first half of this year and it is expected to improve quarter by quarter.

In the whole year, the total annual revenue of Haoyuan in 2010 reached 4.633 billion yuan, an annual increase of 121%. The annual gross profit margin still reached 39%, an increase of 12 percentage points over 2009. The annual operating profit was 1.296 billion yuan. Increased by 4 times, the annual net profit after tax of 1.075 billion yuan, an annual increase of more than 380%, the annual after-tax earnings per share is still 2.9 yuan.

Looking forward to the second quarter, Yuanyuan expects that due to the gradual increase in the demand for backlights, and the continued growth of lighting applications, Yangzhou Yangyang Optoelectronics Co., Ltd. will also be mass-produced in the second quarter of this year. The assembly of lighting LEDs with Assembly has also started, which will help the second quarter's performance rebound.

On the other hand, Yuyuan and the Mitsui & Co., Ltd., one of Japan's largest integrated trading companies, are strategically cooperating and are expected to gradually demonstrate benefits in the second quarter of this year. The main shipping pipeline will include Mitsui's channel business, as well as Mitsui's investment in displays (supply backlights) or lighting (supply LED bulbs or modules). At present, Mitsui holds approximately 15% of the equity of Yuyuan, and it is expected that Mitsui will obtain two directors in the next round of reorganization of the board of directors.

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