Group 1: Financial Status and Funding - Beijing Electric Control Investment has fully paid its capital contribution by June 2025 [1] - Suzhou Yiming and Suzhou Yisi have also completed their capital contributions by June 2025 [1] - The total investment for the TAC film Phase I project is approximately 500 million RMB, with 376.67 million RMB already received from shareholders [2][3] Group 2: Project Progress - The procurement of customized equipment for the TAC film project is ongoing, with major contracts signed and equipment expected to be delivered by the end of the year [4] - Construction of the factory has commenced following the acquisition of the construction permit in June 2025 [4] - Laboratory test results for the trial film align with internal testing, confirming the project's technical viability [4] Group 3: Arbitration and Legal Matters - An arbitration case with Baidefu was initiated due to disputes over technical standards and pricing adjustments, with no significant progress reported since acceptance in May 2025 [5][6] - A small advance payment of 3.85 million RMB has been made to Baidefu, and a change in equipment suppliers is expected to mitigate project impacts [6] Group 4: Market Trends - The LCD panel industry is experiencing fluctuating demand, with a strong first quarter driven by export demand and policy incentives, followed by a cooling second quarter [6] - As of July, prices for certain LCD TV sizes have slightly decreased, while prices for MNT and NB panels remain stable [6]

Group 1: Research Basic Information - The research object is BOE Technology Group Co., Ltd. [17] - The industry is optoelectronics [17] - The reception time is July 17, 2025 [17] - The listed company's reception staff includes Vice President and Board Secretary Guo Hong, and staff Zhang Yan and Wu Yilin from the Board Secretary's Office [17] Group 2: Detailed Research Institutions - The research institutions include GF Securities, a securities company, with representatives Wang Yuqiao and Xu Yiling, and Guotai Fund, a fund management company, with representatives Liu Bo, Zheng Youwei, Zhi Jian, Li Linjia, and Zhang Yang [18] Group 3: Core Views of the Report - The company's LCD business adjusts production line utilization rate according to market demand, with prices of some LCD TV sizes dropping slightly in July, while MNT and NB panel prices remain stable [24] - The company has built advantages in the flexible AMOLED field, with a significant increase in the proportion of high - end products such as LTPO and folding screens, and is also actively exploring mid - size innovative applications [25] - The company's Chengdu 8.6th - generation AMOLED production line project started equipment installation 4 months ahead of schedule in May, laying a foundation for subsequent production [26] - The average utilization rate of the LCD industry has fluctuated since November 2024, and panel manufacturers will continue to adjust it flexibly in the third quarter [26] - The company's depreciation in 2024 was about 38 billion yuan, and it is expected to peak this year [26] - The company announced a three - year (2025 - 2027) shareholder return plan, aiming to distribute at least 35% of net profit to shareholders in cash annually, with a repurchase amount of no less than 1.5 billion yuan, and has taken actions to implement it [27] - The company's future capital expenditure will focus on semiconductor display business and related high - potential fields based on the "Screen + IoT" strategy [28]

Group 1: LCD Market Insights - The LCD industry is adopting a "demand-driven production" strategy, adjusting production rates based on market demand fluctuations [1] - In Q1 2025, the average utilization rate of the LCD industry exceeded 80%, but it decreased in Q2 due to a drop in demand [5] - As of July, prices for certain LCD TV sizes have slightly decreased, while prices for MNT and NB panels remain stable [2] Group 2: AMOLED Business Development - The company has established a strong presence in the flexible AMOLED market, covering major top smartphone brands and increasing the proportion of high-end products like LTPO and foldable displays [3] - The 8.6 generation AMOLED production line in Chengdu began equipment installation four months ahead of schedule, transitioning from construction to operational phase [4] Group 3: Financial and Depreciation Outlook - The company anticipates a depreciation expense of approximately RMB 38 billion in 2024, with an increase expected compared to 2023 due to the completion of several production lines [6][7] - The company plans to distribute at least 35% of the net profit attributable to shareholders as cash dividends annually from 2025 to 2027, with a minimum of RMB 1.5 billion allocated for share buybacks [8] Group 4: Future Capital Expenditure - Future capital expenditures will focus on the semiconductor display business and will include new projects, completion payments for existing projects, and maintenance of current production lines [9]

Core Viewpoint - The article discusses the intense price competition in the Chinese television market during the "6.18" shopping festival, highlighting the impact of government subsidies and consumer preferences for larger, high-efficiency TVs. The competition is characterized by significant price drops, with some products being sold at prices comparable to their panel costs, leading to concerns about profit margins for manufacturers [1][2][4][5]. Group 1: Market Trends and Sales Performance - The average price of televisions during the "6.18" festival has decreased by over 10% compared to last year's "Double Eleven" sales, particularly for large-sized TVs [2][4]. - Sales of large-screen TVs (75 inches and above) have surged, with TCL, Hisense, and Xiaomi leading in sales rankings [1]. - The overall sales revenue in the domestic TV market is expected to grow by approximately 15% year-on-year during "6.18" due to the influence of government subsidies [6]. Group 2: Consumer Preferences and Product Trends - Consumers are increasingly opting for high-quality, larger TVs, with Mini LED technology gaining popularity [8][10]. - The market is seeing a shift towards energy-efficient and high-end products, with over 90% of sales attributed to high-efficiency TVs [8]. - The promotion period for "6.18" has been extended from five weeks to six weeks, indicating a strategic shift by e-commerce platforms to capture more sales [5]. Group 3: Competitive Strategies of Major Brands - Major brands like TCL and Hisense are focusing on product differentiation and technological innovation rather than solely competing on price [8][10]. - TCL has introduced a diverse range of products across different price segments, leveraging both government and corporate subsidies to boost sales [8]. - Hisense is emphasizing smart, large-screen, and energy-efficient TVs, aiming to attract consumers looking for value [9][10]. Group 4: Supply Chain and Panel Pricing - The price competition in the TV market is supported by stable panel prices, with manufacturers like BOE and TCL focusing on high-value products [13]. - Liquid crystal panel prices have remained stable, but there are concerns that if TV sales do not meet expectations, it could lead to adjustments in panel procurement and pricing strategies [13][14]. - Panel manufacturers are advised to maintain rational production levels and avoid excessive price competition to stimulate demand for larger TVs [14].

Group 1: Industry Outlook - The LCD industry is shifting towards a "demand-driven production" strategy, leading to a healthier inventory level and a return to normal demand rhythms [1] - The industry is transitioning from competition based on scale and market share to focusing on high-profit applications, high-value products, advanced technologies, and strong brands [1][2] Group 2: Product Pricing Trends - LCD TV panel prices have increased since January 2025 due to strong terminal demand, but are expected to stabilize in May as procurement demand cools [3] - MNT panel prices are experiencing moderate increases, while NB panel prices remain stable [3] Group 3: Flexible AMOLED Business Development - The company has established a competitive edge in the flexible AMOLED sector, covering major smartphone brands and expanding into automotive and IT applications [4] - Continuous enhancement of product and technology capabilities is planned to improve overall competitiveness in the flexible AMOLED market [4] Group 4: Capital Expenditure and Depreciation - The company anticipates a depreciation of approximately RMB 38 billion in 2024, with an increase expected due to the completion of new projects and the maturity of existing production lines [7] - Future capital expenditures will focus on semiconductor display business and strategic projects in IoT innovation, sensing, MLED, and smart medical engineering [9][10] Group 5: Shareholder Return Strategy - The company plans to distribute at least 35% of the annual net profit to shareholders in cash and allocate no less than RMB 1.5 billion for share buybacks annually [8] - A cash dividend of approximately RMB 1.87 billion was approved, representing 35% of the consolidated net profit for the year [8]

Group 1: Industry Overview - The LCD industry is shifting from competition based on scale and market share to a focus on high-profit applications, high-value products, advanced technology, and high-value brands, promoting high-quality development in the industry [1][2] - The average utilization rate of the LCD industry has been recovering since November 2024, maintaining above 80% in Q1 2025, with adjustments made in Q2 based on demand [3] Group 2: Pricing Trends - LCD TV panel prices have risen since January 2025 due to strong terminal demand, but are expected to stabilize in May 2025 as procurement demand cools [4] - MNT panel prices are experiencing moderate increases, while NB panel prices remain stable [4] Group 3: Company Developments - The 8.6 generation AMOLED production line in Chengdu began equipment installation four months ahead of schedule, transitioning from construction to operational phase [5] - In 2024, the revenue structure for display devices is projected to be: TV 26%, IT 34%, LCD mobile and others 13%, and OLED 27% [6][7] Group 4: Financial Outlook - The company anticipates depreciation of approximately 38 billion in 2024, with an increase compared to 2023 due to the completion of depreciation for several high-generation lines [8] - Depreciation is expected to peak this year as new projects are completed and mature lines reach the end of their depreciation period [8] Group 5: Industry Integration - The company is open to participating in industry consolidation, considering factors such as industry layout, market structure, and integration costs [9]

Industry Overview - The LCD industry is shifting from competition based on scale and market share to a focus on high-profit applications, high-value products, advanced technology, and high-value brands, driving high-quality development [2] - The average utilization rate of the LCD industry has been recovering since November 2024, maintaining above 80% in Q1 2025, with adjustments made in response to demand fluctuations [3] Market Demand and Pricing - The demand-side inventory has accelerated reduction, leading to a healthier industry inventory and a return to normal demand rhythms [1] - LCD TV panel prices increased from January to March 2025 due to strong terminal demand, but are expected to stabilize in May as procurement demand cools [4] Production and Capital Expenditure - The 8.6 generation AMOLED production line in Chengdu began equipment installation four months ahead of schedule, transitioning to operational phase [5] - The company anticipates approximately 38 billion in depreciation for 2024, with an increase expected due to the completion of high-generation line depreciation and new project solidification [7] - Future capital expenditures will focus on semiconductor display business and strategic planning, including investments in IoT innovation, sensors, MLED, and smart medical engineering [8]

Core Viewpoint - The panel industry experienced a strong start in Q1 2023, but overall demand is expected to decline in Q2, leading companies to adopt a production-on-demand strategy to manage uncertainty [1][5]. Group 1: Company Performance - TCL Technology reported a revenue of 104.3 billion yuan for 2024, a 25% year-on-year increase, with a net profit of 6.23 billion yuan, improving by 62.4 billion yuan [4]. - BOE Technology's Q1 2025 revenue reached 50.599 billion yuan, a 10.27% year-on-year increase, with a net profit of 1.614 billion yuan, up 64% [4]. - In 2024, BOE's revenue is projected to be 198.4 billion yuan, a 13.65% increase, with a net profit of 5.323 billion yuan, up 108.96% [4]. Group 2: Market Trends and Demand - The panel industry saw a short-term surge in demand in Q1 2023, driven by tight supply and favorable policies, but is now facing a high-level decline in demand due to tariff policy disruptions and preemptive stockpiling [5]. - The demand for IT and mobile display panels remains strong, influenced by government subsidies and rising tariffs [5]. - The price of TV panels has slightly rebounded due to the tight supply-demand balance, but is expected to stabilize as production adjusts [8]. Group 3: Strategic Moves and Investments - TCL Technology is increasing its stake in Shenzhen Huaxing Optoelectronics to 84.21% through a share issuance and cash payment totaling 11.562 billion yuan [6]. - BOE is exploring overseas market opportunities to mitigate the limited impact of tariffs on its exports to the U.S. [8]. - Both TCL and BOE are focusing on expanding their presence in emerging display technologies, including OLED and MLED [7]. Group 4: Industry Outlook - The market share of major panel manufacturers, including BOE, TCL Huaxing, and Huike, is expected to rise to 66% in the global LCD panel supply market [7]. - The industry is anticipated to undergo consolidation, with BOE open to acquiring additional stakes to enhance competitiveness [9]. - Both companies have announced dividend plans, with BOE proposing a cash distribution of no less than 35% of its net profit and TCL planning to repurchase shares worth up to 800 million yuan [9].