Taiwan's LED factory Longda's operation rebounded last year. This year, the company's profitable spindle is still dominated by backlight products. However, in the past few years, the lighting products that have formed pressure on profitability have continued to decline in lighting proportion and new application product shipments. The operation continued to remain optimistic. Taiwan's LED factory Longda's operation rebounded last year. This year, the company's profitable spindle is still dominated by backlight products. However, in the past few years, the lighting products that have formed pressure on profitability have continued to decline in lighting proportion and new application product shipments. The operation continued to remain optimistic. In the past few years, Ronda has focused its operations on the lighting market in the same way as most LED factories in Taiwan. In 2011, Ronda’s lighting products accounted for only 5% to 10% of shipments. However, at that time, the market was optimistic about the global lighting market, Ronda. It also fully expanded the production capacity of lighting products. By the peak of 2016, the proportion of lighting products exceeded 50%, but this also caused Ronda to fall into the bottom of its operations in recent years. Last year, Ronda actively reduced the proportion of lighting products. So far, it accounts for about 35%. This year, Ronda’s goal is to continuously reduce the proportion of lighting products. The current strategy of the company is that as long as it is not making money, it is not accepted. There is still a positive impact on the profit structure this year. Last year, Ronda was expected to turn a profit, and its operation rebounded significantly. The main profit still came from the backlight products. At present, the backlight products still account for more than 50% of the profit-making structure. Currently, the products in the backlight market are the main four products. The line includes PC, NB, TV and mobile phones. Ronda also said that the price of backlight products still fell by 20% to 30% last year. This year, low-end backlight products are expected to have price reduction pressure. Therefore, this year’s corporate strategy is to adjust the proportion of high-end products, such as PC and NB. Among them, orders based on e-sports products and some car backlight products have relatively high gross profit margins. This year, Lunda plans to actively increase orders for high gross profit margins, and the target is also to increase profit performance.
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