Industry resources accelerate the concentration of M&A trends irreversible

[Text / high-tech LED Yue Mengdi] mergers and acquisitions has become the most direct and effective means of expanding the scale and increasing revenue of many listed companies.

According to the statistics of the High-tech Research Institute LED Research Institute (GGII), the amount of domestic LED mergers and acquisitions reached 42 billion yuan in 2015, a year-on-year increase of 600%. In 2014, this figure was only 6 billion yuan.

Liard (300296.SZ) and Hongli Optoelectronics (300219.SZ) released the 2015 performance forecast before the New Year's Day. Liard expects net profit for 2015 to be 315 million yuan to 330 million yuan, an increase of 95% over the same period of the previous year. % - 105%. Hongli Optoelectronics expects to achieve a net profit of 127 million yuan - 145 million yuan in 2015, an increase of 40% -60%.

One is the leading LED display company in China, and the other is the domestic LED packaging giant. In the case that the overall economic environment is not ideal in 2015, for LED listed companies, the acquisition has become the most direct revenue contribution channel.

Liard insisted on focusing on the LED field. In recent years, the frequent actions in the capital market have brought sustained high returns to the company's performance. Gaogong LED learned that Liard's operating income has increased nearly five times in the past five years. The average annual growth of net profit reached 50%.

Interconnected Yida, Jin Lixiang and Lifeng Culture have begun to contribute profits to Liard. In the international market, Liard acquired 100% equity of PLANAR, and took the first step of overseas acquisition. According to Li Jun, Chairman of Liard, the layout of cultural tourism performances and the local government's collaborative development of cultural tourism PPP business is the company's next new profit growth point.

LED small-pitch TV, LED intelligent lighting, LED display, LED culture education media "four-wheel drive", "main business + investment M & A + PPP mode" three-pronged layout is very obvious, Liard will use this To achieve rapid growth of the main business; on the other hand, it is to expand the domestic and international mergers and acquisitions to achieve expansion.

Hongli Optoelectronics is also an enterprise that fully exerts its capital role in the LED industry. In recent years, Hongli Optoelectronics has invested in Liangyou Hardware, Zhongyinggongyuan, Smide, etc. to reinforce LED related business; acquired NetLibao and entered Internet finance; acquired Foda Lighting, participated in Dina Technology and Zhuhang Airlines Cut into the car networking industry. While ensuring the continued healthy development of the main business of LED packaging, Hongli Optoelectronics is also actively expanding the extension industry and vehicle networking, with a view to establishing an ecological platform for LED main business + Internet finance + vehicle networking.

Hongli Optoelectronics reported in the third quarter of 2015 that a large part of the company's profit growth was due to the fact that the subsidiaries acquired in 2014 contributed some of the results, which led to a significant increase in the company's operating income and net profit. In the first half of 2015, Smect has contributed a net profit of 10.9 million to the parent company as one of the most profitable subsidiaries.

Time has entered 2016, and the 2015 company's performance forecast and annual report will be announced soon. As the profit margin of the LED industry decreases, industry resources are accelerating and concentration, and M&A will become a constant hot spot and point of view in the new year.

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