On March 8, Sanan Optoelectronics Co.Ltd(600703) ( Sanan Optoelectronics Co.Ltd(600703) . SH) announced that since the beginning of 2022, the company has continuously received purchase orders for mini LED chips from a single major international customer, with an amount of more than 170 million yuan. At the same time, the company’s filter products have been certified by international important customers’ smart phones.
The reporter of the daily economic news noted that last year, the miniled industry ushered in the tuyere period of the industry, and the downstream demand broke out. As a related stock, Sanan Optoelectronics Co.Ltd(600703) ‘s share price has been rising all the way. Since this year, Sanan Optoelectronics Co.Ltd(600703) share price has been falling endlessly, and its market value has shrunk by more than 50 billion yuan.
received over 170 million orders from international customers
Sanan Optoelectronics Co.Ltd(600703) said that since the beginning of 2022, the company has continuously received purchase orders for mini LED chips from a single major international customer, with an amount of more than 170 million yuan. The delivery amount of about 100 million yuan has been completed from January to February this year, and the remaining amount will be delivered to customers in March.
At the same time, Sanan Optoelectronics Co.Ltd(600703) disclosed that the company’s filter products have been certified by international important customers’ smart phones, and purchased the company’s filter products through China ODM factory. “The development of this business marks that the company’s filter products have officially entered the smart phone supply chain, laying a solid foundation for future product market development”.
However, Sanan Optoelectronics Co.Ltd(600703) did not disclose which smartphone manufacturer is a single major international customer or an important international customer, while Samsung and apple are the two manufacturers most speculated by investors.
For the cooperation between Samsung and Sanan Optoelectronics Co.Ltd(600703) in November last year, Sanan Optoelectronics Co.Ltd(600703) revealed on the investor interaction platform that the company’s Mini LED chips have been supplied in batches, and Samsung has become its primary supplier and signed a supply agreement.
Earlier, in February 2018, Sanan Optoelectronics Co.Ltd(600703) disclosed that when the company signed the advance payment agreement with Samsung Electronics on the supply of LED chips, it discussed the strategic cooperation of micro led. When Xiamen Sanan Optoelectronics Co.Ltd(600703) Co., Ltd. (hereinafter referred to as Xiamen San’an) reaches large-scale mass production capacity, Samsung Electronics will consider Xiamen San’an as the primary supplier.
the news that Sanan Optoelectronics Co.Ltd(600703) has passed the certification of Apple’s supply chain Mini led supplier has been reported by the media as early as a few days ago Sanan Optoelectronics Co.Ltd(600703) did not respond positively to this matter on the investor interaction platform, only indicating that the company’s Mini LED chips have been supplied to customers in batches.
last year, the downstream demand of mini LED industry exploded
Mini / micro LED is regarded by the industry as the development trend of LED technology, and it is also the reason why Sanan Optoelectronics Co.Ltd(600703) is concerned by the market at present, because Sanan Optoelectronics Co.Ltd(600703) is a rare enterprise in the world that can realize the mass production and large-scale shipment of mini LED backlight chips.
Last year, the mini LED industry ushered in a tuyere period of the industry. Huawei, apple and Samsung launched Mini LED products one after another, and the market demand was released. Industry analysts believe that the products of apple, Huawei and Samsung alone in 2021 are expected to drive the upstream shipments of 110000 Mini LED chips per month, with a corresponding market size of more than 3 billion yuan. 2021 is also known as the first year of mini led.
The Sanan Optoelectronics Co.Ltd(600703) is dormant for many years, and the harvest period is ushered in only after the layout is made in advance.
As an enterprise deeply engaged in the LED industry for many years, Sanan Optoelectronics Co.Ltd(600703) was keenly aware of the changes in the industry around 2017. The profit space of traditional LED lighting business is being compressed, and new application fields are about to rise.
In the 2017 annual report, Sanan Optoelectronics Co.Ltd(600703) first mentioned the mini / micro LED industry, believing that it will be an important embodiment of new applications in the LED industry. In 2018, Sanan Optoelectronics Co.Ltd(600703) began to vigorously layout the mini / micro LED industry project.
According to the disclosure in the reply to the regulatory work letter of Sanan Optoelectronics Co.Ltd(600703) last year’s third quarter, in terms of production capacity and R & D projects of mini / micro LED chips, the company invested 13.8 billion yuan in the first phase of Semiconductor R & D and industrialization project of Quanzhou San’an Semiconductor Technology Co., Ltd., and 12 billion yuan in the mini / micro display industrialization project of Hubei Sanan Optoelectronics Co.Ltd(600703) Co., Ltd.
It is worth mentioning that, as a related stock of mini led, Sanan Optoelectronics Co.Ltd(600703) last year’s share price rose all the way. Since this year, Sanan Optoelectronics Co.Ltd(600703) has not performed well in the secondary market. The share price has shrunk by more than 50 billion yuan from the highest price of 38.36 yuan per share at the beginning of the year to 25.38 yuan per share today (8th).
