The new army to improve the industrial chain LCD panel industry every Jedi?

Day ago, the domestic LCD industry zhouxinjun Everfount -- Ancai hi tech intends to invest 2 billion 200 million construction of TFT-LCD glass substrate, at the same time, since the second quarter of this year, demand for LCD market continued to enlarge, resulting in 17 inch display panel demand, the average price increase of $5 in May, rose to about $165.

"The new army meant to join the industry is promising, but has been hovering in the low price panel prices slightly back to temperature, also seems to be the sign of the dawn." Huaxia Securities analyst Cai Xiao evaluation.

New army to improve the LCD industry chain

Recently, Ancai hi tech intends to invest in the construction of TFT-LCD glass substrate production line project. The significance of this new army is different from that in the past, because up to now, there is no one of the upstream materials, the glass substrate production line, which is matched with the LCD terminal monitor. In other words, in the end Ancai hi tech industry, the domestic LCD panel upstream products have been dependent on imports.

In this way, not only to improve the domestic LCD panel industry chain, the upstream material glass substrate manufacturing and transportation costs will come down. Based on this, the BOE, SVA and other future upstream will save a lot of material cost, so as to enhance the profitability of the industry downturn." Insiders said.

Nowadays, flat-panel display industry in China has made considerable progress in the low-end products, the BOE and SVA -NEC fifth generation thin film transistor liquid crystal display (TFT-LCD) in the production line is under construction.

"If the new project that Ancai high tech can be implemented and the implementation of this, the average annual profit will reach 463 million, the total investment profit rate reaches 21.22%." Cai Xiao told reporters, it is not difficult to see that China's TFT-LCD display production team is growing, the construction of TFT-LCD glass substrate production line is ripe.

If there are more companies to join the LCD industry chain and fill gaps in the domestic LCD industry will have a lot of room for improvement." To predict the popularity of the industry insiders recently busy.

Market prices rebounded slightly

It is not only the domestic panel industry "," large recent market prices also makes a weak panel industry to add a little hope.

According to statistics, since the second quarter, the LCD display market demand continues to enlarge, resulting in a shortage of 17 inches display panel, in May the average price of $5, up to $165. Although the 15 inch LCD market continued to shrink, but by the panel manufacturers to reduce the impact, in May the price is still up, an increase of $2 to $122.

"However, with the new capacity of the panel continued to open, the price is still possible." Wei Xingyun, an analyst at Guotai Junan research judge the current price of sustainability, said.

Listed companies worry more than hi

Experts combined with foreign market analysts believe that the domestic listed companies, the rise in the first half of this year, the space seems to be difficult to open.

The representative of the company since 2004 July -- the BOE is one of the leading product TFT-LCD global prices plummeted, making the company to profitability in the second half fell sharply. Annual main business income of 12 billion 442 million yuan, an increase of 11.28% over the same period last year. Net profit of 206 million yuan, representing a decrease of 42.96% over the same period last year.

Compared with the first half can be found, although the scale of income is basically the same, but the second half of the profit was -3.15 million. Among them, TFT-LCD business gross margin decreased from 28.08% in the first half of the year to 8.71%, becoming an important factor affecting the company's overall business changes." Experts observed, the first quarter of 2005, the price of the product is still low, the company's business is still not improved, to achieve the main business income of 2 billion 81 million yuan, down 43.64% over the same period last year, to achieve the main business profit of -2.17 billion yuan, down 140.68% over the same period last year; net profit of -4.50 billion yuan, down 269.81% over the same period last year. It seems that the company is difficult to turn over the whole year.

For Tsinghua Tongfang, the company is the current situation of the four equity division of the pilot company only way to fund the company, although the static price earnings ratio consideration, the current shareholders may be premium. "However, if the dynamic price earnings ratio is calculated, there is still a risk of discount in the case of limited growth." Wei Xingyun evaluation.

Huaxia Securities Cai Xiao forecast, the 3 quarter of this year after the LCD panel prices may be due to the loss of recovery, and depressed for too long, plus digital TV and IPTV popularization and promotion in China, believe that the large-size panel demand will change in the price adjustment, the large panel Market and sales may be opened gradually in the re allocation of the production line after.