According to news on December 3, TCL Technology announced that the company plans to expand a 6th generation LTPSLCD Display panel production line (t5) that processes 45,000 glass panels per month, using VR, touch screen (TouchPanel + active pen technology), Mi niLED backlight Display and LTPO technology, produce high-end display products of small and medium size such as vehicles, laptops, tablets, and VR display panels.
(From the announcement of TCL Technology Company)
According to TCL Technology, the semiconductor display industry is one of the basic core devices of the electronics industry. After more than ten years of development, Chinese companies have established scale, efficiency and product advantages in the field of large-size liquid crystal displays, and are improving the industrial chain and value chain layout , And continue to capture the small and medium-sized market to achieve a comprehensive competitive advantage in the display field. At the same time, the in-depth integration of 5G and cloud computing, big data, artificial intelligence, virtual augmented reality and other technologies has accelerated the evolution of information intelligence, and has also spawned the market demand for various types of smart terminals as the main interface for information flow and interaction. Display devices such as vehicles, laptops and AR/VR usher in rapid growth.
The company has built two 8.5-generation lines and two 11-generation lines, as well as a countercyclical acquisition of one 8.5-generation line, to achieve catch-up, surpass and lead in the large-scale field. In the field of small and medium size, the company’s 6th generation LTPS production line (t3) continued to be fully sold and fully produced, the 6th generation AMOLED production line (t4) completed the second and third phases of construction, and the 8.6 generation OXIDE production line (t9) began to be put into construction. Through adjustments to existing production capacity, the company’s mid-size products accounted for rapid growth. LTPS flat panel panel shipments are ranked first in the world. LTPS automotive has introduced a number of domestic and foreign head customers. The customer reached a cooperation, and the VR/AR product was promoted rapidly.
In order to meet customer needs, enhance the scale effect, and enhance the competitiveness of mid-size business, the company plans to expand a 6th generation LTPSLCD display panel production line (t5) that processes 45,000 glass panels per month, using VR, touch screen (TouchPanel + active pen) Technology), Mi niLED backlight display and LTPO technology, producing high-end display products of small and medium size such as vehicles, laptops, tablets, and VR display panels.
The company and its subsidiaries TCL Huaxing and Wuhan Huaxing intend to sign the “6th Generation Semiconductor New Display Device Production Line Expansion Project Cooperation Agreement” (hereinafter referred to as the “cooperation agreement”) with Wuhan East Lake Management Committee, with Wuhan Huaxing as the project company. The total investment is expected to be RMB 15 billion. The investment entity designated or established by the Wuhan East Lake Management Committee will provide TCL Huaxing with 3.5 billion yuan of production expansion project funds in a suitable manner, and TCL Huaxing will increase its capital by 7.5 billion yuan to Wuhan Huaxing. The difference between this capital increase and the total investment of the project will be raised by the project company through its own funds, bank loans, etc.
According to the third-quarter report released by TCL Technology, the company achieved operating income of 46.63 billion yuan in the single quarter of 2021Q3, a year-on-year increase of 140.65%, and achieved a net profit of 2.318 billion yuan attributable to the parent, a year-on-year increase of 183.69%. The net profit deducted from the parent company was 3.060 billion yuan, a year-on-year increase of 351.23%, and a month-on-month decrease of 9.33%, which has better undertaken the impact of the rapid decline in panel prices in 2021Q3.