BOE(SZ:000725)2023-07-20 10:17Group 1: Industry Overview - The LCD industry has experienced significant fluctuations from Q2 2022 to Q1 2023, influenced by both internal development patterns and external uncertainties [1] - The demand surge in 2021 has led to a pre-emptive consumption, causing rapid and large fluctuations in demand [1] - Global instability has tightened consumer sentiment and willingness to spend, but as uncertainties are gradually digested, the industry is expected to return to healthy growth [1] Group 2: Market Dynamics - Since Q1 2023, large-size LCD product prices have been continuously rising, with market share increasingly concentrating among leading companies [2] - The average operating rate of the LCD industry was approximately 74% in Q1 2023 and is expected to maintain around 80% in Q2 2023 [2] - The market supply-demand relationship is stabilizing, with a recovery in purchasing motivation among major domestic brands [2] Group 3: Product Pricing and Demand - From March 2023, mainstream size LCD TV panel prices have been rising across the board, with an upward trend expected to continue into Q3 [3] - IT product prices are stabilizing, with some segments like MNT showing increasing price growth since June [3] - The trend towards larger TV products is anticipated to drive panel demand growth throughout 2023 [3] Group 4: AMOLED Business Progress - In 2022, the company shipped nearly 80 million flexible AMOLED panels, achieving over 30% year-on-year growth [3] - The flexible AMOLED business is expected to continue significant growth, with a target of over 120 million units shipped in 2023 [3] - The company aims to enhance the proportion of high-end products in its flexible AMOLED offerings to improve profitability [3] Group 5: Capital Expenditure and Depreciation - In Q1 2023, the company's depreciation amount was approximately 8 billion yuan, with several LCD production lines reaching the end of their depreciation period [4] - Future capital expenditures will focus on strategic planning, including enhancing AMOLED competitiveness and accelerating IoT integration [4]