The LED display market continues to grow, and overseas markets are key. Chinese LED companies such as Unilumin Technology and Absen have a high share of overseas markets and are growing rapidly, realizing high-quality overseas strategies. MicroLED technology leads the future, Chinese companies are increasing investment, seizing the technological commanding heights, and the prospects for overseas market expansion are broad.
Since the end of August, the semi-annual reports of listed companies in the LED industry have been released one after another. Against the backdrop of a sluggish global macro-economy and a continued decline in the lighting LED market, the LED display market has achieved sustained growth. In particular, the growth of overseas markets has become the key to the "upward step" of Chinese companies. The overseas market accounts for more than 50% of the turnover, and is becoming a symbol of the industry's leading companies.
Unilumin Technology, which ranks first in the global LED screen market in terms of shipment area and sales in 2023, achieved operating income of 3.406 billion yuan in the first half of the year, an increase of 3.26%; of which overseas market revenue was 2.171 billion yuan, a year-on-year increase of 19.34%, accounting for 63.75% of total revenue. The overseas market not only accounts for two-thirds, but also maintains rapid growth, successfully making up for the plight of insufficient demand and falling unit prices under the sluggish domestic macro-economy.
According to Absen's 2024 semi-annual report, in the first half of the year, it achieved operating income of 1.798 billion yuan, a year-on-year increase of 12.96%. Among them, the overseas market performed well, achieving operating income of about 1.4 billion yuan, an increase of about 24% over the same period in 2023, and the overseas market revenue accounted for as high as 78%.
In the first half of 2024, Aoto Electronics achieved operating income of 333 million yuan, a year-on-year increase of 3.59%, of which the overseas market operating income was 167 million yuan. The overseas market revenue accounted for 50%. Leman Optoelectronics' international business revenue reached a record high in the first half of the year, achieving operating income of 510 million yuan, a year-on-year increase of 34.8%, accounting for 78% of the company's total revenue. Lianjian Optoelectronics' overseas revenue in the first half of the year was 174 million yuan, accounting for 59.31%.
LED large-screen display control company Nova Nebula achieved operating income of 1.563 billion yuan in the first half of 2024, a year-on-year increase of 17.56%. Its overseas market achieved operating income of 289 million yuan, an increase of 41.78% over the same period last year. Although local enterprises in the display control market started late and the overseas market accounted for a low proportion (18.5%), its huge increase also shows its great potential in the future.
In the first half of 2024, the LED movie screens provided by Aoto Electronics ranked first in the world in the global LED movie screen new installation market, highlighting the role of pioneers in this new market.
Even in the traditional OEM export market, the status of Chinese enterprises is no longer the "traditional low-cost" advantage. For example, the full-caliber market share of Zhaochi COB products reached 50% of the world. COB products are recognized as high-end products in the LED display industry, with the characteristics of high quality and high price. Recently, there have even been reports that some of Samsung's LED products will also be outsourced to Zhaochi. In the COB OEM market, Zhaochi is known as the "TSMC of LED screens", highlighting its technological advantages.
If you look at future technologies, you will find the huge advantages of Chinese companies. For example, Leman Optoelectronics and Vogel Optoelectronics jointly launched the world's first PM-driven glass-based Micro LED product; Zhouming Technology created the world's first sound-transparent LED movie screen; and many companies' MIP-packaged Micro LED 0404 products were the first in the world to achieve large-scale mass production... Incomplete data in the industry show that from glass-based to Micro, and then to MIP and other advanced next-generation LED products, my country's industry chain R&D and production capacity investment has accounted for nearly 80% of the world's total.