Paralight's Q2 shipments gradually warming up
LED packaging company Paralight (6226) expects the industry to remain relatively weak in the first quarter but anticipates shipments to gradually increase after the second quarter. The company established a subsidiary in India last year to sell display products, which is also expected to contribute to its operations this year.
Paralight, a company based in China, originally focused on producing LED products such as small and medium-sized display applications. Considering that competitors in China generally have advantages in operational scale and market price competition is intense, Paralight began transferring its production lines and orders to a newly established factory in Myanmar last year. By the end of this year, the production capacity of the Myanmar factory will continue to expand.
Paralight also established a subsidiary in India last year, primarily selling display products. The local sales performance has been continuously improving.
The downstream terminal applications of Paralight's displays are quite extensive, including industrial control, household appliances, and automated production equipment. Equipment requiring digital panels and instrument panels are within their supply range.
Looking ahead, Paralight believes that the first quarter of the year will be relatively weak, but the LED industry is expected to gradually show a turning point in May and June, and the situation is expected to improve significantly in the second half of the year.
In terms of the new semiconductor layout, paralight stated that the semiconductor power device packaging production line in Guannan, Lianyungang, China has been completed with a monthly production capacity of 600,000 sets. A small number of trial products have been sent to a car power chip factory for testing, and three customers are currently undergoing certification. It is expected that customer sampling and certification will continue in the first half of the year, and the company will enter the small-scale shipment phase in the second half of the year, targeting applications in four major areas: home appliances, machine tools, industrial control, and inverters. This will be an important driving force for the company’s future transformation and growth.
Paralight’s operations are expected to recover from the bottom, and the stock price has been strong recently, reaching a new high of 13.5 yuan since September last year on March 27th.
This article is from the UDN.com
