Recently, the IPO application materials of small and medium-sized display panel manufacturer Suzhou Qingyue Photoelectric Technology Co., Ltd. (hereinafter referred to as “Qingyue technology”) were accepted by Shanghai Stock Exchange. Only three years and one month after Visionox Technology Inc(002387) was placed and the change of actual controller was completed, Qingyue technology rushed to the capital market.
The reporter of science and technology innovation board daily noted that the revenue of PMOLED business of Qingyue technology has been maintained at about 330 million yuan in recent three years, and the electronic paper mold group began to drive the performance in large quantities and maintain growth in 2020. However, the proportion of the sum of the company’s fixed assets and projects under construction in the total assets has gradually increased to about 40%, and depreciation and amortization may exert great pressure on the company’s future performance.
Nearly 20% of the revenue of is used for dividends
Qingyue technology’s main business focuses on PMOLED, actively expands new display technologies such as electronic paper mold group and silicon-based OLED, and tries to find new growth points. In particular, the electronic paper mold group business began to increase in 2020, which has become an important driving force for the company’s performance.
“Qingyue technology has been deeply engaged in the field of PMOLED, and its shipment volume ranks among the top in the world. However, PMOLED has developed relatively mature and has a high localization rate. It is not only vulnerable to fluctuations in the industrial cycle, but also has great limitations in its own development.” A senior person in the industry told the science and Innovation Board daily that the silicon-based OLED technology is relatively new and is an incremental market, which does not replace the original AMOLED and PMOLED.
According to the financial data of Qingyue technology, the revenue of PMOLED has been maintained at about 330 million yuan in recent three years; The electronic paper mold group began to increase its volume in 2020, reaching 96.34 million yuan by the first half of 2021, accounting for 34.07% of its revenue; Silicon based OLEDs began shipping in the first half of 2021, but the revenue was only 3100 yuan. The total revenue of TFT-LCD, CTP, CTP + OLED and other products accounted for 6.89%.
It is understood that Qingyue technology PMOLED can be used in medical and health, home applications, consumer electronics, on-board industrial control, wearable products and other fields. It was first widely used in MP3, flip function mobile phones and other fields. It has been applied to wearable products since 2014; At present, the electronic paper mold group products are mainly used in supermarket retail fields such as electronic price tags, and can be used in digital currency, intelligent transportation and so on in the future; Silicon based OLED has the characteristics of high resolution and small volume. It may be applied to VR in the future.
From the perspective of revenue industry distribution, the multi domain layout provides support for the performance of Qingyue technology. In 2020, the epidemic situation driven the demand for PMOLED for sphygmomanometers, health meters and other products. The company’s revenue from the medical and health field reached 129 million yuan, a year-on-year increase of 2.25 times; In the first half of 2021, the business revenue of electronic paper mold group accounted for 34.04%, an increase of 19.64 percentage points over the end of 2020.
display panel manufacturing belongs to an industry with heavy investment in assets. Problems such as large investment in fixed assets and long industry cycle are always difficult to avoid. During the reporting period, the sum of fixed assets and construction in progress of Qingyue technology accounted for 23.42%, 36.44%, 42.89% and 40.82% of the total assets respectively.
“The more mature the industry is, the more obvious the periodicity is. Once there is excess supply or demand decline, depreciation and amortization will have a great impact on the performance. In the downward cycle, some manufacturers have a large loss or close down and exit.” The above insiders frankly told the reporter of the science and Innovation Board daily that Samsung has withdrawn from the panel market. At present, the industry has entered the duopoly pattern of BOE and TCL.
it is noteworthy that Qingyue technology, which maintains a net profit margin of about 11.5%, has a high dividend. In 2019, 2020 and the first half of 2021, the company paid cash dividends of 177 million yuan, 62.8 million yuan and 25 million yuan respectively, accounting for 40.62%, 12.61% and 8.2% of the revenue respectively. In the past two and a half years, the company has accumulated dividends of 265 million yuan, accounting for 21.38% of its revenue.
share patent license with Visionox Technology Inc(002387)
Qingyue technology plans to issue no more than 90 million shares in this IPO, and plans to raise 400 million yuan. Among them, the silicon-based OLED display production line technical transformation project raised 150 million yuan, the construction project of cutting-edge ultra-low power display and Driving Technology Engineering Research Center 100 million yuan, and the supplementary working capital 150 million yuan.
Among them, the silicon-based OLED display production line mainly produces 0.39-inch, 0.61-inch white light and color silicon-based OLED display devices; The construction project of cutting-edge ultra-low power display and drive technology engineering research center is mainly used for technology R & D and upgrading iteration of electronic paper mold group technology, display device technology, new material technology, drive technology, etc.
however, in the above two main raised investment projects, the engineering construction cost accounts for 97.59% and 62.55% of the total investment respectively. After the implementation of the raised investment project, the scale of the company’s fixed assets and the depreciation amount of fixed assets will be further increased.
As of the disclosure date of the prospectus, Kunshan and Gao, Xinguan international, guanjing holdings, high tech venture capital and Hezhi co creation hold 47.39%, 24.32%, 10.78%, 6% and 5.52% respectively, and are the top five shareholders of the company.
Among them, Gao Yudi directly or indirectly controls 52.91% of the equity of the company through employee stock ownership platforms such as Kunshan and Gaohe Hezhi co creation, and is the actual controller of the company; Yidu (International Holdings) (code 00259), a Hong Kong listed company, holds a total of 35.1% of the equity of the company through Xinguan international and guanjing holdings, which is the second largest shareholder of the company.
The reporter of the science and Innovation Board daily noted that among the 7 seats on the board of directors, Kunshan and Gaohe Xinguan international nominated 4 and 3 respectively, and Gao Yudi served as chairman and general manager. Before October 2020, there was only one senior manager, Gao Yudi. After the completion of the share reform, mu xinju and Zhang Xiaobo were added.
It is noteworthy that Qingyue technology has a close relationship with Visionox Technology Inc(002387) in the past. It is reported that Qingyue technology, formerly known as Kunshan Visionox Technology Inc(002387) Technology Co., Ltd., is a grandson of the listed company Visionox Technology Inc(002387) , mainly focusing on PMOLED business. In August 2018, Visionox Technology Inc(002387) carried out asset restructuring and transferred 40.96% of Kunshan Visionox Technology Inc(002387) (the predecessor of the company) to Kunshan Hegao. After the reorganization, Visionox Technology Inc(002387) will focus on AMOLED business, and the actual controller of Kunshan Visionox Technology Inc(002387) will be changed to Gao Yudi.
“the transfer of Qingyue technology is mainly to focus on the main business and strengthen AMOLED resources while stripping.” An insider close to Visionox Technology Inc(002387) told the science and Innovation Board daily that AMOLED and PMOLED have significant differences in core technology routes, and AMOLED has a larger market application space and scale.
In addition to the historical relationship in equity, most of the core technicians of Qingyue technology also have Visionox Technology Inc(002387) experience. In March 2019, Qingyue technology signed the patent license agreement with Visionox Technology Inc(002387) , Guoxian optoelectronics, north science and technology, Tsinghua University and other parties. A total of 235 patents or patent application rights owned by the participants were granted the exclusive license right (including sublicense right) of Visionox Technology Inc(002387) , while Qingyue technology signed another cross use license agreement with Visionox Technology Inc(002387) .
With regard to the company’s historical equity and patent issues, chip supply guarantee, actual controller and the relationship between the two shareholders, the relevant person in charge of Qingyue technology told the reporter of science and Innovation Board daily that the company has submitted a self-examination report to the Shanghai Stock Exchange and is currently in a silent period.
(Financial Associated Press)
