Overview of LED display industry development in 2015

Before and after the 2008 Beijing Olympics, my country's LED display industry developed rapidly. A large number of related companies sprung up. The number of companies and employees in the industry increased significantly. With the further release of production capacity, the LED display industry has achieved unprecedented development.

From 2008 to 2015, the market size of the LED display industry has increased year by year. Although the growth rate has slowed down in recent years, the overall size is still rising steadily. Affected by the external macroeconomic downturn and internal industry price wars, overcapacity, disorderly competition and other factors, the LED display industry is currently entering a period of transformation.

According to statistics from the LED Display Application Industry Association, the national LED display application industry market size reached 30.2 billion yuan in 2014, an increase of 11.85% from 27 billion yuan in 2013. At present, the market size data of the LED display application industry in 2015 has yet to be calculated. If calculated based on a growth rate of 11%, the industry market size in 2015 will reach 33.5 billion yuan. However, the current LED display industry is not prosperous, and it is less likely to achieve this goal.

Market size of LED display application industry from 2000 to 2015 (unit: 100 million yuan)

Data source: China LED Display Application Industry Association

Table 1: The overall situation of the national LED display industry in the past 6 years (unit: 100 million yuan)

Data source: China LED Display Application Industry Association

It is not difficult to see from Table 1 that in 2014, LED display applications The statistics of the industry association are 18.1 billion, of which the export value of display products is 3.6 billion, and the sales of other LED display application products are 3 billion. The sales of display products account for 83% of all sales, and the sales of LED lighting and other LED display application products account for 17% of all sales. Among the total sales of LED display products, outdoor display sales account for about 60%, and indoor display sales account for about 40%.

If we estimate the situation in 2015 based on the proportion of each product in 2014, it is not difficult to come up with the relevant data in Table 1 (the relevant data in 2015 are forecast data and are for reference only).

LED display application products are widely used, and the application markets such as advertising media, conferences and exhibitions, and information release are increasing year by year. China has become a major manufacturing and application country of LED display application products and is moving towards a technological power. At the same time, China's LED display application industry has created a number of outstanding companies.

Data source: China LED Display Application Industry Association

The LED display application industry is relatively concentrated in East China and South China. The development of North China has been significantly improved in the past two years. According to statistics from the LED Display Application Industry Association, in 2014, the product sales of LED display application manufacturers in East China accounted for 33% of the country's total, South China accounted for 41%, North China accounted for 17%, Southwest, Northwest, and Central China accounted for 8%, while Northeast China accounted for less than 1%. The regional concentration of the industry is relatively obvious.

There are about 50 large-scale enterprises in the national LED display application industry with annual sales exceeding 100 million yuan. Among them, there are about 20 enterprises with annual sales of 200 million to 500 million yuan, about 10 enterprises with annual sales of 500 million to 1 billion yuan, and 3 enterprises with annual sales of 1 billion yuan. The sales of large-scale enterprises account for 50% to 60% of the entire industry. Major companies with sales of more than 500 million yuan in 2014 include: Shanghai Sansi Technology Development Co., Ltd., Nanjing Lopu Co., Ltd., Strait Cailiang (Zhangzhou) Optoelectronics Co., Ltd., Xiamen Qianli Jucai Optoelectronics Technology Co., Ltd., Leyard Optoelectronics Co., Ltd., Shenzhen Lianjian Optoelectronics Co., Ltd., Shenzhen Zhouming Technology Co., Ltd., Shenzhen Absen Optoelectronics Co., Ltd., etc.

Table 2: Key financial data of listed LED display companies in the first three quarters of 2015

At the end of October 2015, the third quarter financial reports of six listed companies in the LED display industry were released. It is not difficult to see from Table 2 that the operating income and net profit of three companies, including Unilumin Technology, Lianjian Optoelectronics, and Leyard, have increased significantly; Lehman's operating income increased by -18.39%, but its net profit increased by 15.19% year-on-year. All in all, the LED display industry is improving overall.

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