BOE's revenue exceeded 178.4 billion yuan, and net profit fell by 71%: the panel market is rising again
In the wave of continuous change in the global technology industry, BOE, as a leader in China's semiconductor display industry, has been concerned by the market for its performance changes. Recently, BOE announced its annual financial report last year, with revenue reaching an astonishing 178.4 billion yuan, but net profit fell sharply by 71%, and innovative business could not resist the impact of lower panel prices. This data not only reflects the current competitive landscape of the semiconductor display industry, but also indicates the new dynamics and development trends in the field of science and technology in the future.
First, the revenue hit a new high, and the net profit shrank sharply
BOE's financial report data is eye-catching. On the one hand, its revenue exceeded 178.4 billion yuan, once again proving BOE's leading position in the global semiconductor display field. However, on the other hand, the sharp decline in net profit has attracted widespread attention in the market. According to the financial report, BOE's net profit last year was only 29% of the previous year, which was far lower than market expectations.
Second, the price of panels is low, and it is difficult for innovative businesses to withstand the impact
The sharp decline in BOE's net profit is mainly due to the continuous decline in panel prices. In recent years, with the overcapacity of panels and the intensification of market competition, panel prices have been fluctuating at a low level. Especially last year, affected by the global economic situation and market demand, panel prices fell to a record low. This has led to a significant decline in the profitability of BOE's panel business, which in turn has affected the overall net profit.
Although BOE has made some progress in innovative businesses, such as the R&D and application of emerging technologies such as flexible AMOLED and Mini LED, the scale of these businesses is still small and it is difficult to withstand the impact of lower panel prices. In addition, BOE's expansion in the terminal consumer market is also facing greater pressure, and the shipment growth of smartphones, tablets and other products is sluggish, which further exacerbates the pressure on profitability.
3. What is the future trend of accelerating industry change?
The sharp fluctuation of BOE's performance last year not only reflects the current competitive landscape of the semiconductor display industry, but also indicates the new dynamics and development trends in the field of science and technology in the future. First of all, with the rapid development of technologies such as 5G, the Internet of Things, and artificial intelligence, the global technology industry is ushering in a new round of change. In this context, the semiconductor display industry will face more fierce market competition and higher technical requirements.
Secondly, the continued decline in panel prices will accelerate the industry reshuffle. On the one hand, some enterprises with backward production capacity and weak technology will be eliminated; On the other hand, enterprises with scale and technological advantages will further expand their market share and improve profitability through mergers and acquisitions.
Finally, innovation will be key to the development of the industry. Driven by the transformation of the global technology industry, new technologies, new products and new applications will continue to emerge in the semiconductor display industry. These innovations will bring new growth points and development opportunities for enterprises. Therefore, for BOE and other leading enterprises, increasing investment in innovation and strengthening technology research and development will become an important direction for future development.
IV. Conclusion
Although BOE's financial report data is embarrassing, it also reflects the current competitive situation and development trend of the semiconductor display industry. In the face of industry changes and the pressure of market competition, BOE and other leading enterprises need to maintain strategic focus, increase investment in innovation, strengthen technology research and development and market expansion efforts. Only in this way can we remain invincible in the fierce market competition and make greater contributions to the development of the global science and technology industry.