Dehao Runda: LED business profitability to strengthen gross margin 38%

Dehao Runda released its 2011 financial report. The company achieved operating income of 3.07 billion yuan, up 18.12% over the previous year; realized operating profit of 146 million yuan, a substantial increase of 2633.23% over the previous year; net profit attributable to shareholders of listed companies was 390 million yuan. , a substantial increase of 100.44% over the previous year. Basic earnings per share were 0.81 yuan, an increase of 44.64% over the same period of the previous year.

In 2011, the company's LED business market development made significant progress: the MOCVD machine of the Wuhu epitaxial wafer base was mass-produced, and the production capacity of the Dalian chip base was partially released, which enabled the company's chip business to be sold from scratch, and has achieved small-scale external sales; LED lighting The products, especially the street lamp products, continue to increase in volume, and the new product line of general lighting products has been finalized, and has begun to build domestic and international sales channels.

With the accelerated business transformation of the company and the gradual release of the production capacity of non-public offering of shares, the company's LED business achieved operating income of 910 million yuan during the reporting period, a significant increase of 151.06% over the same period of the previous year, and the comprehensive gross profit margin reached 38.40%. Last year, the increase was 8.82 percentage points. The main reason for the increase was the significant increase in LED application products with higher gross profit margin, especially LED street light products during the reporting period.

During the reporting period, the company completed the domestic and overseas market layout of five product series of LED chips, devices, lighting, display and power supply; the system designed the LED internal and export sales system and improved the LED domestic sales ability; the company's competitive strategic planning work was carried out smoothly. The LED industry chain development model has taken shape. In this regard, the directional problems of the LED industry, the problem of base construction, and the construction of the production and sales system have basically been solved.

Dehao Runda's business scope includes development, production and sales of household appliances, motors, electronics, light industrial products, electric appliances, automatic massage equipment, kitchen appliances, modern office supplies, communication equipment and spare parts; LED epitaxial wafers, LED chips , LED modules, LED lighting products, LED display series, etc.

In addition, the Board of Directors resolved that the 2011 profit distribution plan is based on the company's total share capital of 5,832,000 shares after the non-public offering of shares in March 2012, and a cash dividend of 1 yuan (including tax) for every 10 shares, and the conversion of capital reserve to share capital. 10 shares for every 10 shares. A total of 583.2 million yuan of capital reserve will be used to increase the share capital. After the increase, the total share capital of the company will increase to 1166.4 million shares.

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