Dehao Runda: vigorously promote LED projects and accelerate the transformation of the company's business

Starting from the traditional manufacturing industry, Guangdong Dehao Runda Electric Co., Ltd., which has attracted wide attention in the industry due to its involvement in the LED industry in recent years, also released the first half of 2010 on August 26.

In the report, Dehao Runda said that as the gloom of the global financial crisis began to dissipate, the company's small household appliance industry's operating conditions improved compared with the previous year, and profitability was gradually restored. For the LED field that has been cut in recent years, the company believes that the LED industry continues to receive strong support from the government as an emerging energy-saving lighting industry. The industry is growing rapidly, the application field is gradually expanding, and the development prospects are good. Based on this, the company has increased its investment in the LED industry. The construction of the LED optoelectronic industrial base in Wuhu and Yangzhou is progressing smoothly. The packaging project of the Wuhu base has already produced some output. It cooperates with the EPIVALLEY company in Korea to promote the epitaxial wafer and chip. Significant progress has been made in the procurement of equipment, and the company’s business transformation work has been implemented quickly.

According to the report, from January to June 2010, the company realized operating income of 1,073,644,800 yuan, an increase of 55.42% over the same period of the previous year; operating profit of 28,861,300 yuan, an increase of 1,215.36% over the same period of the previous year, and net profit attributable to shareholders of listed companies of 20,501,900. Yuan, an increase of 915.95% over the same period of the previous year. The company's LED business increased by 824.65% over the same period of last year, mainly because the company has been involved in the LED industry since 2009. In the second half of 2009, it purchased the fixed assets of Guangdong Jianlongda and LED business and acquired Shenzhen Ruituo display technology. 60% of the company's equity, so the company's LED business base was very small in the same period last year, and the company's LED business was unmatched in the previous year due to the difference in mergers.

Main business by industry, product situation:

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The gross profit margin of the main business (21.56%) increased by 1.4 percentage points over the same period of the previous year. The company believes that the gross profit margin of the small household appliance business has declined slightly, while the proportion of the LED business with higher gross profit margin has increased. The combined impact. Administrative expenses increased by 40.24% over the same period of last year, mainly due to the company's efforts to expand its LED business in the second half of last year and the first half of 2010. The company acquired Shenzhen Ruituo and newly established Wuhu Dehao, Yangzhou Dehao and Dalian Dehao. Waiting for subsidiaries, the company's management costs have increased significantly. The substantial increase in financial expenses by 98.85% was mainly attributable to the substantial increase in corporate LED business investment in the first half of 2010, which resulted in a significant increase in corporate bank loans and a corresponding increase in interest expenses.

The main market for the company's small household appliances business, the European Community and the US economic recovery process is slow, with greater uncertainty, the company's small household appliances business orders have large fluctuations, the company believes that on the one hand to stabilize the company's traditional advantage market, services Great customers; increase the market in Japan, the Middle East, Russia and other markets. At the same time, accelerate the layout of the LED industry and diversify the risk of fluctuations in the small household appliance business.

As for the rapid development of the company's LED business, the Wuhu project, the Yangzhou project, and the Dalian project progressed smoothly, but the intensive equipment procurement and the opening of new projects brought pressure on capital, talents, management, etc. The company stated that it would implement non-public offering as soon as possible. Enrich your own capital; introduce outstanding talents in the LED industry and improve the management efficiency of the company.

For the January-September 2009 operating results, the report stated that the net profit attributable to shareholders of listed companies increased by 640%-670% over the same period of the previous year.

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