Silan interim revenue of 942 million LED business accounted for nearly 20%

[LED] Chinese Vtion Silan 17 evening semi annual report released in 2015. The first half of 2015, the company's total operating income was 942 million yuan, compared with 2014 growth of 8.17% over the same period; the company operating profit of 43 million 640 thousand yuan, compared to the same period in 2014 reduced 12.08%; the total profit was 70 million 450 thousand yuan, compared to the same period in 2014 reduced 2.21%; attributable to shareholders of the parent company net profit of 64 million 420 thousand yuan, an increase of 4.67% over the same period in 2014.

The LED business point of view, the first half of 2015, Silan LED chip operating income over the same period last year decreased by 28.88%, LED finished products operating income over the same period last year growth of 44.41%. Reasons for the decrease of LED chip revenue is: the domestic LED chip market after experiencing rapid growth last year, due to the domestic LED chip production capacity is too large, the two quarter of this year to start LED chip prices there was a substantial decline. In this regard, the subsidiary company has adjusted Silan azure capacity plan and accelerate the introduction of new products. The first half of 2015, the company subsidiary Meika Music Company by reducing costs, making the product gross margin has been further improved, the lead in the high-end color pixel device market. Overall, Silan LED business revenue 172 million yuan, accounting for the proportion of total revenue 18.47%, including LED chip to achieve revenues of 86 million 324 thousand and 700 yuan, LED devices to achieve revenues of 85 million 637 thousand and 900 yuan.

Silan said about LED in the construction project, a total investment of 75 million yuan for the "Silan azure LED manufacturing plant expansion project, as of the end of June 2015, has completed the project schedule 52%. The second half of 2015 will complete the remaining part of the investment; a total investment of 80 million yuan for the "Silan azure LED chip after the road expansion project", at the end of June 2015, has completed the project 34%, the second half of 2015 will complete the remaining part of the investment, to further enhance the LED chip production line capacity, improve efficiency.

In addition, the first half of 2015, operating income Silan ic growth of 19.80% over last year. The main factor driving the growth of integrated circuit revenue is a substantial increase in LED lighting drive circuit shipments. At the same time, the company AC-DC drive circuit, IPM (intelligent power module), MCU circuit, digital audio and video circuit, MEMS sensor products also show the overall growth trend. The second half of 2015 is expected to further enhance the company's integrated circuit shipments.

In the first half of 2015, the company's discrete device chip operating income decreased by 0.31% over the same period last year, operating income of power device products increased by more than the same period last year, 6.58%. By speeding up the adjustment of product structure, the company's operating income of discrete devices has slowed down the momentum in the future with the gradual increase in the amount of IGBT and other products, the company's operating income of discrete devices will also enhance. During the Spring Festival because the production maintenance and other reasons, the first half of 2015 the company subsidiary Silan integrated company cumulative output chip 810 thousand, 5.81% less than the same period last year; by increasing technological input, Silan integrated the further expansion of the integrated circuit chip production capacity. In June 2015, the company is a subsidiary of Chengdu Silan workshop module has been put into production, which will help to accelerate the "Chengdu Silan project".

In the first half of 2015, the company's 8 inch integrated circuit chip production line project is progressing smoothly, the production plant and other infrastructure construction has been fully started, the procurement of 8 inch line production equipment has also been launched. The implementation of the 8 inch integrated circuit chip production line project, the future will greatly enhance the level of the manufacturing process of the company, further narrowing with the international semiconductor industry the same type of gap; help to strengthen the company's profitability, enhance the comprehensive competitiveness of the company.

Silan expects the second half of 2015 can be achieved operating income of 1 billion 158 million yuan, is expected in 2014 to achieve annual sales income of 2 billion 100 million yuan (about 12% higher than in 2014).

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