Under the nest, do you have an egg? The LED lighting industry has long been suffering from unfavorable conditions such as low barriers to entry, product homogeneity, price wars, and continued low gross profit margins. The European debt crisis has spread to the global economic downturn and is bound to have a very negative impact on China's LED product exports. .
However, Guangdong Golden Wright Electric Co., Ltd. (hereinafter referred to as “Gold Wrightâ€), whose export revenue accounts for more than 80% of its total operating income, intends to continue to expand its LED lighting capacity. The company’s single product structure is destined to have weak anti-risk capability and will continue to be profitable in the future. The ability is really worrying.
Investors can't help but ask, can such a company go public? Is there "Qian Jing" after listing?
According to the Golden Wright prospectus (the draft), the company intends to apply for the public offering of 23.35 million RMB ordinary shares (A shares) to the public, and after issuing the fundraising deduction fee, it will invest in three projects: 1. Rechargeable standby LED lamp expansion project 2, rechargeable AC and DC fan expansion project; 3, research and development center project.
The total investment of the three projects is 272 million yuan, of which the investment of "rechargeable standby LED lamps expansion project" is 175 million yuan. It mainly produces rechargeable standby LED lamps. After the production, the annual average production capacity is 9.48 million units, and the output value exceeds 3.68. 100 million yuan.
Recently, LED lighting companies have set off a wave of listings. According to the annual report data disclosed by listed companies in 2011, LED lighting companies have shown overcapacity as a whole. Due to the lack of upstream core technology, China's LED companies are currently in the middle and low-end areas of packaging and applications. The problem of product homogeneity is serious, while the purchasing power of the European and American markets has declined. Except for some high-end products, orders have generally declined.
In addition, LED listed companies Sunshine Lighting (600261), Lehman Optoelectronics (300162), Sanan Optoelectronics (600703), Qinshang Optoelectronics (002638), and Ganzhao Optoelectronics (300102) inventories in 2011 were 783 million yuan and 100 million yuan respectively. 918 million yuan, 164 million yuan and 127 million yuan, an increase of 70.55%, 73.31%, 195.88%, 61.58% and 219.16%.
Downstream of the LED industry are mainly display, backlight, automotive lighting and general lighting. As the LED industry chain gradually decreases from upstream to downstream, the number of SMEs downstream of LEDs is numerous and the pattern is chaotic. According to statistics, there are more than 3,000 semiconductor lighting manufacturers in China, 70% of which are concentrated in the downstream of the industry. The homogenization of enterprises is serious, lacking core technology, and relying on price wars for low-level competition.
As a result, inventory pressures in the industry have become more and more serious, and Jin Laite is launching LED lighting projects at this time, and the future prospects are worrying.
Product's single ability to withstand risks is weak
According to the prospectus (the draft), Jin Laite was established on November 29, 2007, and all the registered capital was subscribed in March 2008. It is engaged in research and development, production and sales of rechargeable standby lighting products and rechargeable AC/DC fans. .
From the perspective of product structure, there are only two products of Kinglite: rechargeable standby lighting products and rechargeable AC and DC fans. In 2009-2011, the operating revenue of rechargeable standby lighting products accounted for 84.23% of the total operating revenue. , 79.33%, 66.87%; rechargeable AC and DC dual-use fans accounted for 14.65%, 20.13%, 32.61% of the total operating revenue.
In other words, the product structure of Kinglite is too singular. If the industry policies or industry standards of rechargeable outdoor lighting products in China or overseas change, it will inevitably affect the performance of Golden Wright.
From the perspective of Jin Laite's product segmentation, rechargeable rechargeable lighting products are divided into three types: rechargeable flashlights, rechargeable indoor and outdoor standby lighting fixtures, and fire emergency lights; rechargeable AC and DC fans are divided into two types: Rechargeable AC and DC dual-use desk fan, rechargeable AC and DC dual-use floor fan.
In other words, Jinlaite's main product segmentation is only these five categories. The unit price of the product ranges from 20 yuan to 140 yuan. The added value of the product is small, and the entry threshold is low. It must be mass-produced and sold to obtain profits.
As we all know, China's large, medium and small enterprises producing flashlights, lighting fixtures and electric fans are everywhere, and similar alternative products are extremely common. Jinlaite's main products have no competitive advantage. Due to the large number of manufacturers, if the company's products encounter quality The problem, its market share will inevitably be replaced by other companies, thus affecting the performance of Golden Wright. Due to the large base of product sales, the probability of product quality and safety issues cannot be ignored.
Judging from the investment project of Golden Wright, the company is still continuing to expand its two major categories of main products, and the product's single ability to resist risks has not been alleviated.
However, Guangdong Golden Wright Electric Co., Ltd. (hereinafter referred to as “Gold Wrightâ€), whose export revenue accounts for more than 80% of its total operating income, intends to continue to expand its LED lighting capacity. The company’s single product structure is destined to have weak anti-risk capability and will continue to be profitable in the future. The ability is really worrying.
Investors can't help but ask, can such a company go public? Is there "Qian Jing" after listing?
According to the Golden Wright prospectus (the draft), the company intends to apply for the public offering of 23.35 million RMB ordinary shares (A shares) to the public, and after issuing the fundraising deduction fee, it will invest in three projects: 1. Rechargeable standby LED lamp expansion project 2, rechargeable AC and DC fan expansion project; 3, research and development center project.
The total investment of the three projects is 272 million yuan, of which the investment of "rechargeable standby LED lamps expansion project" is 175 million yuan. It mainly produces rechargeable standby LED lamps. After the production, the annual average production capacity is 9.48 million units, and the output value exceeds 3.68. 100 million yuan.
Recently, LED lighting companies have set off a wave of listings. According to the annual report data disclosed by listed companies in 2011, LED lighting companies have shown overcapacity as a whole. Due to the lack of upstream core technology, China's LED companies are currently in the middle and low-end areas of packaging and applications. The problem of product homogeneity is serious, while the purchasing power of the European and American markets has declined. Except for some high-end products, orders have generally declined.
In addition, LED listed companies Sunshine Lighting (600261), Lehman Optoelectronics (300162), Sanan Optoelectronics (600703), Qinshang Optoelectronics (002638), and Ganzhao Optoelectronics (300102) inventories in 2011 were 783 million yuan and 100 million yuan respectively. 918 million yuan, 164 million yuan and 127 million yuan, an increase of 70.55%, 73.31%, 195.88%, 61.58% and 219.16%.
Downstream of the LED industry are mainly display, backlight, automotive lighting and general lighting. As the LED industry chain gradually decreases from upstream to downstream, the number of SMEs downstream of LEDs is numerous and the pattern is chaotic. According to statistics, there are more than 3,000 semiconductor lighting manufacturers in China, 70% of which are concentrated in the downstream of the industry. The homogenization of enterprises is serious, lacking core technology, and relying on price wars for low-level competition.
As a result, inventory pressures in the industry have become more and more serious, and Jin Laite is launching LED lighting projects at this time, and the future prospects are worrying.
Product's single ability to withstand risks is weak
According to the prospectus (the draft), Jin Laite was established on November 29, 2007, and all the registered capital was subscribed in March 2008. It is engaged in research and development, production and sales of rechargeable standby lighting products and rechargeable AC/DC fans. .
From the perspective of product structure, there are only two products of Kinglite: rechargeable standby lighting products and rechargeable AC and DC fans. In 2009-2011, the operating revenue of rechargeable standby lighting products accounted for 84.23% of the total operating revenue. , 79.33%, 66.87%; rechargeable AC and DC dual-use fans accounted for 14.65%, 20.13%, 32.61% of the total operating revenue.
In other words, the product structure of Kinglite is too singular. If the industry policies or industry standards of rechargeable outdoor lighting products in China or overseas change, it will inevitably affect the performance of Golden Wright.
From the perspective of Jin Laite's product segmentation, rechargeable rechargeable lighting products are divided into three types: rechargeable flashlights, rechargeable indoor and outdoor standby lighting fixtures, and fire emergency lights; rechargeable AC and DC fans are divided into two types: Rechargeable AC and DC dual-use desk fan, rechargeable AC and DC dual-use floor fan.
In other words, Jinlaite's main product segmentation is only these five categories. The unit price of the product ranges from 20 yuan to 140 yuan. The added value of the product is small, and the entry threshold is low. It must be mass-produced and sold to obtain profits.
As we all know, China's large, medium and small enterprises producing flashlights, lighting fixtures and electric fans are everywhere, and similar alternative products are extremely common. Jinlaite's main products have no competitive advantage. Due to the large number of manufacturers, if the company's products encounter quality The problem, its market share will inevitably be replaced by other companies, thus affecting the performance of Golden Wright. Due to the large base of product sales, the probability of product quality and safety issues cannot be ignored.
Judging from the investment project of Golden Wright, the company is still continuing to expand its two major categories of main products, and the product's single ability to resist risks has not been alleviated.
Jinhu Weibao Trading Co., Ltd , https://www.weibaoe-cigarette.com