An optoelectronic conference call to respond to media rumors

Today (13) afternoon, Sanan optoelectronics held a management conference call, former chairman Lin Xiucheng, chairman Lin Zhiqiang and deputy general manager Li Xuetan attended, a series of questions to answer. The minutes of the meeting are as follows, to readers.

Q: what is the amount and the amount of unconfirmed items for the street light project? Previously reported more than 70% of the Maori dispute, can you give us a description?

A: street light products have been confirmed 6 hundred million in Wuhu. Now some of the street lights in Fujian, Pingtan and the national network, 14 years began more than 20 million, the contract is about 4000000000 of the total order. The gross profit margin of the street lamp is more than 60%, and the gross profit of the whole market is 30-40%. We are slightly higher, but our warranty period is relatively long.

About Wuhu investment, has a comprehensive announcement, we believe that support for an optoelectronic three. Yesterday's news in 2011 in Wuhu, investment subsidies are within the package, the past few years has been fully implemented in 2013, some people questioned, but recently it has been proposed to explain the original, all have been described, hope not to repeat the question.

Q: there's a new chairman on the board. What are the new arrangements and goals for the company's strategy? The original chairman also wants to develop any new business, with three how to do? The new chairman was also deputy director. What changes have taken place in management after taking office? Lin Zhidong became deputy general manager, the future division of labor will be how to go?

A: old chairman: the business of the whole group is quite large, and a series of actions are being done after the introduction of the national fund. At present, the takeover environment is not too friendly, very difficult, more important energy in the daily affairs of the group, as well as security fund matters. I will not participate in the entire listing plan.

Lin Zhiqiang: Future Ltd strategic arrangements for development will not change much. The first step to LED old business to do, achieve the original market share, is now 12% in the world, to fight for the future do more than 30% above; the second is the development of the integrated circuit business, mainly around the gallium arsenide and gallium nitride, from the current point of view, there have been some achievements, GaAs has begun shipping, the future will be to speed up the process. The second half of the construction of gallium nitride is completed and will begin to increase next year. Planning for the next 3-5 years has been done and will come out at the end of this year, and the detailed indicators will be shared in the next meeting.

The reason the Lin Zhidong administration into the listed company is the integrated circuit he ran in the domestic and foreign market business, this part, whether domestic or international customers are relatively concentrated, the importance is relatively high, in order to make the exchange more convenient, high level management personnel please Lin Zhidong as a listed company, this part of the business promotion.

Q: GaAs, the company's overall order and revenue forecast. What is expected of product yield and process improvement?

A: GaAs orders are currently more than 1 billion, the production process, product specifications and verification time is long, is expected to start in the second half peatlands, gradually supply, new things are still approached. In an actively explore the international and domestic market, some slower than expected, but the results can also be.

Our layout of integrated circuits is different from that of other enterprises, ranging from the base material to the chip. Chip yield is still good, is doing epitaxial basic materials research, business will increase significantly next year.

Q: from the current progress, what will be the development of the business next year?

A: there will be a substantial increase in this business next year. But how much elasticity depends on how fast the second half is verified.

Q:LED business supply and demand pattern is tight, will continue to when?

A: an old traditional business is a very good point of the economy over the next few years, rapid intervention still new areas of demand, three business visibility is very high in the next two years, the foreign market has further cooperation with several international companies, which brings good results pathway for future production, from the price system see, the next 1-2 years will be relatively stable.

Q: a report and market rumors, along with some of its fall, whether the government will support as in the past? ESOP will be reduced in the future, what will the future plan be like?

A: as the state of the semiconductor, the support of LED, the national uniform standards, the policy is a national, public, three in this part of the business to enjoy preferential policies and subsidies, the pursuit of fairness, the superiority of the Sanan technology area, can maintain very good competition results.

Employee stock ownership plan: duration of 36 months. Allocation of 1:2. As soon as the contract expires, there is no way to continue. Early product design is like this. Need to sell, but also loans, forced to part of this solution.

Q: a quarterly performance is better, half a year, looking forward to how profitable?

A: results from the company point of view, the situation is better, the first quarter operating results is very good, long time in the future, the company maintained good momentum, the total price system is relatively stable, the next period of time, the release of production capacity, will be part of the increase of revenue.

Q: compound semiconductor side of the second half of this year, profitability and growth

A: this piece of revenue contribution will not be great, the performance of this part of the contribution will not have. The future can go forward better. Next year, the year after next will be relatively great progress, revenue, performance will have a certain contribution.

Q: growth in number of machines in the first half. In August, a portion of growth was followed