Analysis of 2012 Semi-annual Report of Tongfang Shares: Net profit increased by 19.93% over the same period of

On August 30, Tongfang announced the 2012 semi-annual report. During the reporting period, the main business income was 9.698 billion yuan, an increase of 14.11% compared to the same period of the previous year; operating profit was 165 million yuan, a year-on-year decrease of 31.86%; total profit was 286 million yuan, an increase of 9.35% year-on-year; all attributable to the parent company The net profit of the company was 155 million yuan, an increase of 19.93% compared with the same period of last year. In the first half of the year, the basic earnings per share was 0.0780 yuan, which was 19.82% higher than the 0.0651 per share of the same period of the previous year; the net assets per share was 4.30 yuan.

During the reporting period, the company’s main industry sales revenue has achieved rapid growth. Among them, multimedia, internet of things, security systems, and computer services seized market opportunities during the reporting period and took effective measures to achieve a significant increase in sales. In particular, multimedia business overseas revenue grew rapidly, with 1.529 billion yuan during the reporting period. The overseas revenue increased by 256% year-on-year; the construction energy-saving business suffered a year-on-year decrease in sales revenue due to the impact of the merger of Tellhow Technology Co., Ltd. in the first half of the year and no consolidation in the reporting period. Affected by the overall macroeconomic situation, the company's comprehensive gross margin level has declined. The gross profit margin for the reporting period was 15.22%. Among them, the knowledge network industry was affected by the increase in the payment of exclusive copyright fees, the cost increased, and its gross profit margin dropped more.

Main business sub-industry, sub-product information




During the reporting period, the semiconductor and lighting industry realized revenue of 422 million, a year-on-year decrease of 9.11%, accounting for the company's total revenue ratio of 4.35%.

Main business information by region




In the first half of 2012, the company’s operating strategy was affected by the overall slowdown in the macroeconomic situation. Consumer demand continued to be low and some of the company’s main industries were affected. To this end, the company strengthened its core competitiveness through technological innovation and product innovation, worked hard to eliminate operational risks brought about by the economic downturn, and achieved continuous income growth. On the other hand, the company continued to foster and develop new industries that meet the national strategy, increased investment in semiconductor lighting and energy-saving industries, and achieved healthy and rapid development of emerging industries.

In the field of semiconductors and lighting, the company has adopted an application-oriented and product-centric industrial strategy. While stably increasing the scale and production capacity of semiconductor lighting industry bases, it has vigorously explored the commercial lighting market and capitalized on the comprehensive advantages of the industrial chain. At present, the company has fully involved in LED epitaxial wafers, upstream raw materials, LED semiconductor lighting, and LED backlighting. At the same time, it has launched sales of global LED lighting products. It has built 32 MOCVD and related equipments in Beijing and Nantong, Jiangsu Province. With about 100,000 films, 22 sets of MOCVD and related equipment in Nantong Base Phase II have also entered the installation and commissioning stage. The company also increased its efforts in the development of high-power chips, and successfully developed the first high-voltage LED chip by adopting special epitaxial structure, optimized layout design, vertical structure, Flip-chip structure, and high-voltage LED design. In terms of lighting products and applications, the company further improved the LED lighting product line, and introduced a series of LED integrated lighting products such as downlights, spotlights, mining lamps, and shelter lamps. During the reporting period, the company also successively undertook the street lighting project in the northern mountainous area of ​​the Guangzhou township streetlight construction project, the lighting of the Beijing Jinmao Center building, the ancient city lighting project of the Taierzhuang Canal, the urban landscape lighting project of the Jincheng city, and Qinhuangxi West Street of the Qinhuangdao Economic Development Zone. Greenland lighting renovation projects such as LED lighting product applications and landscape lighting projects. Among them, the company's successful bid for the township street lamp project in Guangzhou involves more than 5,600 sets of LED street lamps. It is one of the ten municipal projects of the Guangzhou municipal government.

Nantong LED industrial base is used for high-brightness light-emitting diode (LED) chip manufacturing and application industrialization projects. The project plans to invest 800 million yuan for the production of high-brightness semiconductor light-emitting diode (LED) chips and high-brightness LED lighting. Products are used in large-scale application of special landscape lighting. The project relies on key technologies for high-brightness semiconductor LED chip industrialization that have been developed, researched and mastered by the company, invests in the construction of a semiconductor LED chip production line with a luminous efficiency of over 60 lm/w, and mass production of high-brightness blue and green LED chips to form an annual output. With the production capacity of 3.6 billion high-brightness LED chips, the company has developed and developed high-brightness LED lighting products for large-scale applications in landscape lighting, architectural landscape and other special landscape lighting projects. This project has been fully invested in 2011. During the reporting period, the company's six MOCVD and auxiliary equipment production bases in Beijing have achieved mass production. 26 MOCVD and related equipment have been mass-produced in the first phase of the production base in Nantong, and a total of nearly 100,000 epitaxial wafers have been produced per month. In the second phase, 22 MOCVD equipments have arrived and installation is underway. In the second half of the year, the company will continue to promote the construction of emerging industries such as LED chips, increase research and development efforts, continuously improve various production performance indicators such as lighting and backlight chips, and play a supporting role in the overall industry chain to create core competitiveness.

The closing price of Tongfang shares of the capital market on the 29th was 7.91, corresponding to a price-earnings ratio of more than 50 times, and a P/B ratio of 1.84.