(Yicai Global) Aug. 27 -- Ningbo DXC New Material Technology, a Chinese company that makes optical film, will spend CNY195.5 million (USD27 million) on a new plant for reflective film used in liquid crystal displays to meet increasing demand.
The plant will go up in eastern Zhejiang province and have annual production capacity of 50 million square meters of film worth about CNY240 million a year, DXC's parent company Aerospace CH UAV said in a statement yesterday. Construction is expected to begin later this year and take two years to complete.
The trend for bigger and bigger flat-panel televisions puts DXC's products in high demand. There are only a few firms worldwide that manufacture reflective film for use in LCDs. The material provides a large amount of reflection, minimizing light loss and allowing a low-power light source to produce a very bright display.
Founded in 2009, DXC counts many well-known domestic and foreign LCD manufacturers among its long-term clients, including Samsung Electronics and BOE Technology.
Cixi, Zhejiang province-based DXC posted net profit of CNY25.3 million (USD3.5 million) in the first half with revenue reaching CNY154 million, according to its six-month earnings report released by Aerospace yesterday.