SLC(SZ:002106)2022-12-06 08:22Group 1: Company Overview and Performance - The company introduced its 2016 operational performance and the development trends in the touch display industry for 2017 [1] - The company reported a decrease in order demand for December 2016, with a month-on-month decline of approximately 10% compared to October and November [2] - The company’s mid-to-large size OGS production capacity is approximately 800,000 units per month, with a potential expansion period of 2-3 months [4][5] Group 2: Product Development and Market Position - In 2016, the company focused on developing high-value-added new products, including OGS Metal Mesh, flexible TFT-Array driver substrates, and 2.5D cover glass [3] - The company holds a leading market share in the production of G5 OGS products, with a competitive edge in terms of thinness, transparency, and touch sensitivity [5][6] - The company’s main customers for mid-to-large size touch screens include Lenovo, HP, Dell, and ASUS, establishing mutually beneficial supply relationships [4] Group 3: Financial Performance and Currency Impact - Over 80% of the company’s sales revenue from January to September 2016 was from exports, primarily settled in USD [6] - The company has a net USD asset of over $200 million, which has positively impacted its financial performance due to the depreciation of the RMB against the USD [6][7] Group 4: Market Trends and Future Outlook - The two-in-one notebook market is expected to grow by at least 50% in 2016, driven by consumer acceptance and the introduction of innovative products [7] - The touch notebook market, particularly for sizes between 13.3 inches and 17.3 inches, is anticipated to maintain steady growth due to the adoption of Windows 10 [8] - The company is actively developing touch screen applications in automotive, medical, and industrial control sectors to mitigate risks from fluctuations in the PC market [9] Group 5: Strategic Development and Expansion - The company is exploring external development opportunities through investments, partnerships, and acquisitions in emerging fields such as new materials and smart manufacturing [9] - The company emphasizes the importance of monitoring industry trends and enhancing product quality to maintain competitiveness [6][9]