According to Securities Star News, on September 26, 2024, Hehui Optoelectronics (688538) announced that the company would accept institutional research on September 25, 2024, with the participation of Hejun Research, Zhijing Private Equity, Yuanhai Private Equity, Tianfeng Asset Management, Li Ziyuan Investment, Tianhe Capital, Huipu Investment, and Guosen Securities.

The details are as follows:

Q: Q&A

A: Q&A

1. What is the development of the MOLED industry and the medium and large size fields?

Since the fourth quarter of 2023, the MOLED industry has begun to stabilize as the demand in the downstream end-market gradually recovers. In small and medium-sized segments such as smartphones and smart wearables, the market penetration of MOLED is further increasing, and its application is gradually expanding to low- and mid-range models. According to third-party data, in the first quarter of 2024, shipments of MOLED panels for smartphones surpassed LCDs, accounting for 51% of the market share, and full-year shipments are expected to surpass them as well. In medium and large-sized fields such as tablets/laptops and automotive displays, MOLED is showing an accelerated penetration trend with the increasing maturity of technology and continuous cost optimization. In recent years, leading manufacturers at home and abroad have adopted MOLED panels in their released tablets/laptops, realizing the cross-era improvement of screen display performance, leading a new market trend, and promoting other brand manufacturers to adopt MOLED panels in their high-end tablets/laptops. At the same time, the rise of I PCs has brought new growth points to the PC market, which is expected to trigger a new wave of device updates and further stimulate the market demand for MOLED in the tablet/laptop field. According to third-party forecasts, the demand for MOLEDs in the tablet/laptop segment will explode in 2024, with shipments expected to jump from 7.86 million units in 2023 to 18.87 million units, a year-on-year increase of more than 140%. From 2023 to 2031, the demand for MOLED panels in the tablet/laptop segment will climb rapidly at a CAGR of 37% per year.

2. What is the company's performance in the first half of the year?

The company closely focused on its development goals, focused on its main business, gave full play to its advantages in production capacity and new technologies, continued to optimize financial management, and significantly improved its operating performance. In the first half of the year, the company achieved operating income of 2.395 billion yuan, an increase of 74.36% over the same period of last year, of which export revenue accounted for 37.13% of the operating income in the reporting period; The net cash flow from operating activities was 24.362 million yuan, an increase of 294.5082 million yuan over the same period of last year, turning from negative to positive. Gross profit margin improved significantly, by 18.83 percentage points year-on-year and 52.74 percentage points quarter-on-quarter.

3. What is the company's layout in the field of vehicles?

As a pioneer and leader in the field of medium and large-size high-end MOLED displays such as tablets, laptops, automobiles and aviation in China, the company has a strong leading edge in the field of medium and large sizes, and in 2022, it mass-produced and shipped the industry's first 12.8-inch automotive-grade MOLED hard screen product. The company continues to develop new products suitable for different application fields of intelligent cockpit and serve more first-line vehicle brands. In the first half of 2024, two new MOLEDs for automotive displays using Tandem's new technology have successfully passed customer product validation and have successfully achieved mass production.

4. What is the expansion of new application fields in medium and large sizes?

The company actively explores new application fields of medium and large-size displays, independently develops the first domestic 27-inch 4K resolution high-end MOLED panel for desktop displays, and actively cooperates with overseas customers to develop MOLED display products for large aircraft and has achieved mass production and shipment, maintaining the company's continuous leading development in the field of medium and large-size MOLED.

Hehui Optoelectronics (688538) main business: R&D, production and sales of high-resolution AMOLED semiconductor display panels.

According to Hehui Optoelectronics' 2024 interim report, the company's main revenue was 2.395 billion yuan, an increase of 74.36% year-on-year; net profit attributable to the parent company -1.279 billion yuan, an increase of 1.35% year-on-year; deducted non-net profit of -1.306 billion yuan, an increase of 3.43% year-on-year; In the second quarter of 2024, the company's single-quarter main revenue was 1.27 billion yuan, a year-on-year increase of 141.31%; The net profit attributable to the parent company in a single quarter was -637 million yuan, an increase of 26.79% year-on-year; Non-net profit deducted in a single quarter was -651 million yuan, an increase of 27.66% year-on-year; The debt ratio was 60.5%, the investment income was 5.5485 million yuan, the financial expenses were 297 million yuan, and the gross profit margin was -26.95%.

Margin data shows that the stock has a net financing outflow of 25.5507 million in the past three months, with a decrease in the financing balance, and a net outflow of 9.2291 million with a decrease in the balance of securities borrowing and lending.

The above content is compiled by Securities Star based on public information, generated by intelligent algorithms, and does not constitute investment advice.