Taiwan LED output decline in capital expenditures significantly reduced

LED industry downturn, the first half of 2016 Taiwan LED factory capital expenditure over the same period last year decreased by 30%, the photoelectric Association pointed out that this will not be conducive to the long-term development of the operation of LED plant.

In addition, LED industry is through the cut, and the whole plant, and adjust the product line, as well as the development of high brightness products four yuan, not visible UV/IR, vehicle niche application strategy, will reduce revenue decline and loss rate, through the transformation process.

LED market situation worsened two years ago, the situation is still grim. To judge from the operating conditions in the first half of this year, Taiwan LED EPI wafer grain, and encapsulation, module production decline is inevitable, and one of the long-term development of indicators of capital expenditures in 2016 compared to the first half of 2015 decreased by 30%, shows the entire industries are still in the doldrums.

The first half of this year only EPISTAR, Everlight, Lite, Lunda, rongchuang and other manufacturers have made new energy technology and equipment and other capital expenditure investment, most of the rest of the industry was shrinking sharply.

According to statistics Taiwan Optoelectronics Association, the first half of this year, Taiwan LED EPI wafer industry in the grain output of about 17 billion 200 million yuan (NT below), and the 12% recession, encapsulation, module output decline of 6%, amounting to 41 billion yuan.

2016 first half of the ten largest LED Lei chip, crystal manufacturers revenue decline of 12%, the loss expanded from $4 billion 287 million to NT $47 million, while the capital expenditure has been significantly reduced by 26%, only NT $1 billion 650 million. Leading plant through the reduction of crystal electricity, the integration and adjustment of product portfolio, etc., the cumulative decline in revenue decline has slowed down signs of the month, but in the first half of 2016 is still a loss of $3 billion 540 million. Only four yuan is the main products of the guanlei and Ding Yuan in profit performance.

But in the first half of 2016 before the ten LED package, module manufacturers top ten total revenue decline 5%, profit from NT $1 billion 80 million to cut 540 million dollars, capital spending sharply decreased by 31%, up to 1 billion 360 million dollars. Leading billion revenue flat light, net profit growth of 4%, the best performance.

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