Investment Rating - The report maintains an "Outperform" rating for the home appliance industry, specifically focusing on the Mini LED segment [2]. Core Insights - The Mini LED technology is positioned as a core driver of transformation in the black electrical appliance sector, with significant advancements in display technology and market penetration expected [16][17]. - The report highlights a shift in consumer preferences towards larger screen sizes and superior picture quality, which Mini LED technology addresses effectively [21][34]. - The competitive landscape is evolving, with domestic brands leveraging cost advantages and government subsidies to enhance market share both locally and internationally [6][49]. Summary by Sections 1. Mini LED as the Core Driver of Black Electrical Transformation - Mini LED technology represents the third generation of display technology, competing with OLED and other emerging technologies [18]. - The performance of Mini LED displays, particularly in brightness and longevity, positions it favorably against OLED, which excels in flexibility and contrast [21][22]. - The global sales of Mini LED TVs are projected to surpass those of OLED TVs for the first time in 2024, with a significant increase in market penetration expected [22][24]. 2. Building High Barriers in the Mini LED Supply Chain - The report discusses the optimization of the Mini LED backlight industry and the advantages of high-generation panel layouts, which strengthen the competitive position of domestic manufacturers [2.1][2.2]. - The cost of 65-inch Mini LED backlight modules is expected to decrease significantly from $150 in 2023 to a range of $80-100 by 2025, enhancing profitability for domestic suppliers [2.3]. - The report emphasizes the importance of the supply chain's evolution, with key players like 聚飞光电 and 京东方 showing strong revenue growth and margin improvements [2.4][54]. 3. Domestic Brands Expanding Internationally with Mini LED - Chinese brands are strategically entering high-value markets in the U.S. and Europe, capitalizing on the mismatch in supply and demand for high-end televisions [3.1][3.2]. - The report notes that the average size of televisions in China is expected to exceed the global average by 11.3 inches by 2025, indicating a strong trend towards larger displays [5]. - The competitive dynamics are shifting, with Chinese brands like TCL and Hisense aggressively expanding their presence in emerging markets while traditional Korean brands adopt a more conservative approach [5][6]. 4. Market Dynamics and Consumer Preferences - The report identifies a significant shift in consumer purchasing criteria, with an increasing focus on picture quality and size rather than just price [41]. - The penetration of Mini LED technology is driven by a cycle of price reduction and increased demand, which is expected to continue as production costs decrease [46][49]. - The sales data from 京东 indicates a substantial increase in the market share of Mini LED TVs, reflecting the successful implementation of competitive pricing strategies by brands like 小米 [46][49].

Group 1: Domestic Demand and Market Outlook - The home appliance sector is expected to show a "high first half and stable second half" trend in 2025, driven by policy continuation and consumption peaks [1] - In the first three quarters of 2025, air conditioner shipments increased by 8.4%, refrigerators by 2.4%, and washing machines by 4.1% year-on-year [1][13] - For 2026, the continuation of subsidies is anticipated to mitigate the impact of high base effects and demand pull-forward, with projected declines in overall appliance sales of -4% to -7.3% under various subsidy scenarios [1][16][19] Group 2: Export Performance and Global Market Trends - Home appliance exports have slowed down due to tariff policies and global supply chain adjustments, but still show resilience and structural highlights [2] - In 2025, the export growth rate for air conditioners is expected to be weaker than that of washing machines and refrigerators, primarily due to adverse weather conditions affecting overseas demand [2][39] - The U.S. market is projected to benefit from a rate cut, which may enhance demand for home appliances, while the European market is expected to maintain a slow recovery [42][44][50] Group 3: Investment Themes - The narrative in the black appliance sector is shifting from "market share chasing" to "profit and pricing power," with Chinese brands like Hisense and TCL expected to convert market share into higher profits [3][55] - White appliances are seen as having strong growth potential due to their historical resilience through cycles, with leading brands like Midea and Haier expected to maintain stable growth and generous dividends [3][83] - The global competition in new consumer products, particularly in smart imaging and robotic vacuum cleaners, is expected to favor Chinese brands, highlighting their competitive advantages [3] Group 4: Financial Metrics and Valuation - As of December 22, 2025, the home appliance sector's PE TTM is 16.27 times, remaining below the 10-year average of 32.8% [7] - The white appliance segment's current PE is 11.22, while black appliances stand at 25.94, indicating varying levels of market valuation [9] - The home appliance sector has seen a decline in public fund holdings, with a heavy allocation of only 2.46% in Q3 2025, reflecting concerns over demand in 2026 [9]

12月22日，TCL电子（股票代码：1070.HK）在2026格隆汇"金格奖"年度卓越公司评选中荣获"年度投资价值奖"和"年度卓越IR团队"两项大奖。奖项不仅肯 定了公司过去一年的成绩，也认可其在显示技术革新、全球化布局及创新业务拓展上的前瞻性。 12月11日，2025 TCL全球技术创新大会展示了一系列AI端侧产品，包括雷鸟智能眼镜X3 Pro、小蓝翼新风AI空调、AI超级筒洗衣机、AI冰箱、电视大智能 体、AI陪伴机器人TCL AiMe等。 据悉，TCL自研电视行业首个超级大智能体，从AI画质、AI音质、AI内容生成、AI交互四大维度为用户带来更加智能，更加便捷，更加有趣的家庭影音娱 乐体验。未来，随着语义理解与多模态交互加强，超级大智能体有望加快电视从"显示终端"向"智能交互入口"演进。 2025年，TCL电子以Mini LED电视为突破口，在全球彩电市场逆势中实现量价齐升，同时人工智能在业务以及企业管理中的应用成效显著，构成了TCL电 子"高成长、稳分红"的投资逻辑。 一、技术领先与创新突破：Mini LED与AI双轮驱动 彩电行业曾长期被视为增长见顶的"慢行业"，但TCL电子通过Mini LED技术 ...

12月22日，TCL电子（股票代码：1070.HK）在2026格隆汇"金格奖"年度卓越公司评选中荣获"年度投资 价值奖"和"年度卓越IR团队"两项大奖。奖项不仅肯定了公司过去一年的成绩，也认可其在显示技术革 新、全球化布局及创新业务拓展上的前瞻性。 2025年，TCL电子以Mini LED电视为突破口，在全球彩电市场逆势中实现量价齐升，同时人工智能在 业务以及企业管理中的应用成效显著，构成了TCL电子"高成长、稳分红"的投资逻辑。 一、技术领先与创新突破：Mini LED与AI双轮驱动 彩电行业曾长期被视为增长见顶的"慢行业"，但TCL电子通过Mini LED技术成功开启了新一轮产品升级 周期。 2025年前三季度，TCL电视全球销售额同比增长8.7%，出货量达2108万台，同比增长5.3%，均价同比 提升3.2%。 这一逆势增长的核心驱动力来自Mini LED电视的爆发式放量。2025年1-9月，TCL Mini LED电视出货量 位列全球第一，达224万台，同比激增153.3%，出货量占比同比提升6.7个百分点至11.4%。海外市场销 量表现尤为亮眼，前三季度TCL Mini LED电视国际市场出货量同比 ...

Group 1 - Mini LED TVs are becoming increasingly popular in the global TV market, driven by technological advancements and rising consumer demand [1] - TrendForce forecasts that global Mini LED TV shipments will reach 12.9 million units by 2025, representing a significant year-on-year growth of 67% [1] - Chinese brands, including TCL, Hisense, and Xiaomi, dominate the Mini LED market, collectively holding a 62% market share [1] Group 2 - The display technology landscape has shifted from a competition between plasma and LCD to a balance between picture quality and cost [4] - Mini LED technology is seen as a key pathway for enhancing LCD picture quality and is evolving towards diversification and refinement [4] - The latest RGB Mini LED technology represents an upgrade, utilizing red, green, and blue LED components for backlighting, enhancing color performance [4] Group 3 - Mini LED technology is becoming the mainstream choice in the mid-to-high-end TV market, surpassing OLED TVs in growth [5] - In 2024, global Mini LED TV shipments reached 7.85 million units, an increase of 84.7% from 4.25 million units in 2023 [5] - The Chinese market for Mini LED TVs is expected to exceed 10 million units in sales, with a year-on-year growth rate of 142% [1][5] Group 4 - 2025 is anticipated to be the "RGB-Mini LED Year," with RGB Mini LED technology emerging as a hallmark of high-end TV products [5] - TCL has announced a revolutionary upgrade to its SQD-Mini LED technology, claiming improvements in brightness, color, and lifespan compared to OLED [5][8] - The SQD-Mini LED technology is designed to produce purer colors and avoid common industry issues such as color distortion [8] Group 5 - By 2025, China's Mini LED TV shipments are projected to reach 9.23 million units, a year-on-year increase of 122%, with a penetration rate exceeding 25% [8] - The global Mini LED TV market is expected to grow by 70.6%, surpassing 13 million units in total shipments [8] - The development of new display technologies like SQD-Mini LED and RGB-Mini LED is likely to reshape the high-end TV market landscape [8]

Core Insights - Mini LED technology has rapidly developed in recent years, becoming the mainstream choice in the mid-to-high-end television market, surpassing OLED televisions in growth [1] - In 2024, global Mini LED television shipments reached 7.85 million units, an increase of 84.7% from 4.25 million units in 2023; in China, shipments surged to 4.16 million units, marking a year-on-year growth of 352.2% [1] - TCL has introduced several RGB-Mini LED televisions, including the Q10M Ultra and Q9M, and has launched the SQD-Mini LED technology, claiming it surpasses OLED in brightness, color, and lifespan [1] Technology Advancements - TCL's SQD-Mini LED is an upgrade of Mini LED technology, achieving 100% BT.2020 color gamut coverage compared to 97% for standard RGB-Mini LED, resulting in richer and purer colors [3] - SQD-Mini LED utilizes a single light-emitting chip to produce white light, while RGB-Mini LED requires three chips, allowing for more zones and higher brightness under the same cost and number of lights [4] - The TCL X11L features an advanced Mini LED control system with over 20,000 zones, making it the television with the highest backlight zoning in the 100-inch category [4] Market Projections - According to RUNTO technology, it is expected that by 2025, driven by national subsidy policies, China's Mini LED television shipments will reach 9.23 million units, a year-on-year increase of 122%, with a penetration rate exceeding 25% [5] - The global Mini LED television market is projected to grow by 70.6%, exceeding 13 million units in total shipments [5] - The development of new display technologies like SQD-Mini LED and RGB-Mini LED is anticipated to drive a new round of changes in the high-end television market [5]

Core Insights - TCL has launched its new display technology SQD-Mini LED, aiming to overcome the limitations of traditional Mini LED technology in color performance, light control, brightness, and industrial design [1][2] Group 1: Technology Advancements - SQD-Mini LED technology represents a significant upgrade to existing Mini LED backlight systems, achieving 100% BT.2020 global high color gamut, compared to approximately 97% for some RGB-Mini LED TVs [1] - The technology utilizes super quantum dots to produce pure three-color light mixed into white light, ensuring stable high color gamut output regardless of content complexity, thus avoiding color distortion [1] Group 2: Performance and Design - SQD-Mini LED allows for more backlight zones due to its structural advantages, with the newly launched 98-inch TCL X11L featuring over 20,000 backlight zones, enhancing light control precision [2] - The peak brightness of TCL X11L reaches 10,000 nits, improving the reproduction of high-light details in HDR content [2] - The TCL X11L is designed to be one of the thinnest Mini LED TVs globally, with a thickness of approximately 2 cm, supporting seamless wall installation [2] Group 3: Product Pricing and Lineup - The pricing for the TCL X11L series is set at 19,999 yuan for the 75-inch version, 34,999 yuan for the 85-inch version, and 59,999 yuan for the 98-inch version [3] - The launch also included the RGB-Mini LED TVs Q10M Ultra and Q9M series, enhancing TCL's product line [3]

Core Viewpoint - TCL has announced a revolutionary upgrade in Mini LED technology with the launch of the world's first SQD-Mini LED television, the X11L, alongside benchmark RGB-Mini LED models Q10M Ultra and Q9M, which are expected to set new standards in display quality and user experience [1][2] Group 1: Technology Advancements - The SQD-Mini LED technology represents a significant upgrade over traditional Mini LED, utilizing Super Butterfly Huayao screen and Super Quantum Dot technologies to surpass OLED in brightness, color, and lifespan [1] - SQD-Mini LED offers richer and purer color representation, eliminating industry issues such as color deviation and crosstalk, and achieving a breakthrough in partitioning, brightness, and design [1][2] Group 2: Performance Comparison - Compared to RGB-Mini LED, the SQD-Mini LED provides higher brightness under the same cost and number of lamps, resulting in finer picture quality and greater depth, with less environmental impact [2] - The X11L is noted as the thinnest Mini LED television globally, leading a new trend in ultra-thin integrated television design [2] Group 3: Industry Implications - The SQD-Mini LED technology is viewed as a key solution in the evolution of display technology, combining backlight technology, quantum dot material science, and precision manufacturing processes [2]

Financial Performance - In the first half of 2025, the company achieved operating revenue of 27.231 billion yuan, a year-on-year increase of 6.95% [1] - The net profit attributable to shareholders reached 1.056 billion yuan, up 26.63% compared to the same period in 2024, significantly outpacing revenue growth [1] - Operating cash flow increased by 48.59% to 1.802 billion yuan, and the weighted average return on net assets rose by 0.84 percentage points [1] Technological Advancements - The company made significant technological breakthroughs, particularly in overcoming the "two-chip" challenge in RGB-Mini LED industrialization using the ULED technology platform [2] - The RGB-Mini LED technology allows for a major leap from traditional monochrome backlighting to RGB three-color backlighting, enhancing display quality [2][4] - The self-developed RGB color control AI image quality chip H7 has been applied in various mid-to-high-end television models, creating a differentiated market advantage [8] Market Trends and Product Strategy - The global shipment of televisions 98 inches and above increased by 109.30% in the first half of 2025, with domestic sales rising by 123.50% [9] - The company optimized its product structure, leading to an 85.29% increase in global shipments of products 98 inches and above and a 108.24% increase in Mini LED products [10] - In the domestic market, the company maintained a leading position with a retail volume and value market share of 41.65% and 48.66% respectively for televisions 100 inches and above [12] Global Presence and Brand Recognition - The company ranks first in market share for 75 inches and above products globally, with nearly 20% market share for products 75 inches and above [12] - The brand's global influence has been enhanced through partnerships with major events and games, leading to a significant increase in sales [17] - The company has established nine production bases and 13 R&D centers worldwide, improving research efficiency and product competitiveness [19] New Business Ventures - In the first half of 2025, the new display business generated revenue of 3.434 billion yuan, a year-on-year increase of 7.43% [15] - The company is expanding into new fields such as laser display and AI, with a focus on multi-dimensional growth engines [13][14]

Market Overview - The global sales of new energy vehicles are expected to exceed 18 million units in 2024, representing a 45% year-on-year growth, with China's penetration rate soaring to 38.6% [1] - The demand for in-car displays is experiencing explosive growth, with global shipments of automotive panels projected to reach 228 million units in 2024, a historical high [1] - The automotive display panel market is expected to surpass $15.8 billion, with a target of $20 billion by 2025 [1] Industry Dynamics - The average number of screens in high-end vehicles has increased to 4.2 in 2024, up from 2.8 in 2022 [1] - The proportion of central control screens larger than 12 inches has reached 72%, an increase of 7 percentage points from 2022 [1] - The penetration rate of Mini LED technology in automotive applications is expected to exceed 15% in 2024, significantly enhancing the value of individual vehicle displays by 300% [1] Company Spotlight: Weizhi Optoelectronics - Weizhi Optoelectronics is the leading player in the automotive backlight module market, with a 15% market share and a diverse client base including major panel manufacturers and automotive brands [2][6] - The company has a strong vertical integration strategy, producing 75% of key materials in-house, covering the entire supply chain from molds to SMT [4] - Weizhi is innovating with curved displays and local dimming backlight technologies, and plans to establish a vehicle-grade COB production line for Mini LED by 2024 [5] Financial Performance - In 2024, Weizhi's revenue is projected to be 2.372 billion RMB, with a net profit of 92 million RMB, reflecting a year-on-year growth of 25.6% and 96.3% respectively [6] - The company's gross margin is expected to be 21.8%, an increase of 4.2 percentage points [6] - The stock is currently undervalued, with a PE ratio of only 4 times, compared to 58 times for comparable companies in the A-share market [6] Strategic Investment - CICC's strategic investment in Weizhi, amounting to 30-50 million RMB, aims to expand Mini LED production lines and develop glass-based backlight technology [7] - The investment is expected to increase Weizhi's Mini LED module production capacity by 300% by 2025 [7] Competitive Landscape - BOE is projected to capture 18.7% of the market share in 2024, while Huaxing Optoelectronics is expected to hold 15.2% [8] - The competition in the backlight module sector is intensifying, with some companies facing significant losses, while Weizhi and Weishi are experiencing growth due to their technological advantages [8] Future Outlook - The demand for automotive backlight modules is anticipated to reach 245 million units in 2024, with the penetration rate of new energy vehicles targeting 35% [9] - The collaboration between CICC and Weizhi is seen as a significant step towards enhancing China's manufacturing capabilities and moving up the value chain [9] - Analysts predict a substantial increase in Weizhi's stock price, with target prices set at 3.2 HKD and 3.5 HKD based on future earnings projections [9]