Foreword: Recently, there are many unfavorable news about Sanan Optoelectronics, and many people think that this company is suspected of financial fraud just like a company. However, the controlling shareholder and senior management of the company are increasing their holdings, and the company is actively repurchasing shares. The dividend ratio of 3% is not low. Sanan Optoelectronics is very competitive in the LED chip industry. Although there are some financial flaws, I still insist that this is a good company. I have done some research on the company before, but I have done more in-depth research recently, and recorded it in several articles.
1. Sanan Optoelectronic Co., Ltd. was established in November 2. The controlling shareholder is Sanan Group, and the actual controller Lin Xiucheng is from Anxi County, Quanzhou, Fujian Province. He started his business as a steel trader. According to the annual report of Sanan Optoelectronics and the company's website, "the company is mainly engaged in the research and development and application of III-V compound semiconductor materials, focusing on epitaxy and chip as the core business involved in new semiconductor materials such as gallium arsenide, gallium nitride, silicon carbide, indium phosphide, aluminum nitride and sapphire". It is a "national high-tech industrialization demonstration project" enterprise approved by the National Development and Reform Commission, and a "national technological innovation demonstration enterprise" recognized by the Ministry of Industry and Information Technology, and has undertaken the national undertaking. The company's core competitiveness includes technical advantages (the technology R&D team composed of top talents has 1,3 patents by the end of 217), scale advantages (the production capacity of MOCVD equipment ranks first in China), product and marketing channel advantages (the product range is complete, and the marketing network is spread all over the world)
2. There are few materials before the company went public, and the general development process before listing can be found on Baidu:
"December 2.
September 22: The company's first epitaxial film was successfully released.
in January 23, the company passed the appraisal of scientific and technological achievements of all-color ultra-high brightness LED chips and became the first manufacturer in China to realize all-color ultra-high brightness LED chips.
April 23: The project "Preparation of GaN-based light emitting diode epitaxial wafers and devices" undertaken by the company was included in the special high-tech industrialization demonstration project of optoelectronics and new components in 23 by the National Development and Reform Commission.
in September 23, the company developed an LED chip with independent intellectual property rights in China, which broke the past history that LED chips were all imported.
October 23: At the 14th National Invention Exhibition, the company won the Silver Award and the Bronze Award for Invention for "A Method of Making N-electrode of GaN LED Chip" and "An Epitaxial Structure of LED" respectively.
in November, 24, the project "Development and industrialization of high-brightness white light diode chips for semiconductor lighting" was listed as the key support project of the Information Industry Fund in 25 by the Ministry of Information Industry.
in June, 25, the company's "development and industrialization of semiconductor lighting high brightness power white light diode chip" was included in the 25 national torch plan project by the Ministry of Science and Technology.
in December, 25, the major project of the 1th Five-Year National Science and Technology Plan "Semiconductor Lighting Industrialization Technology Development" passed the expert acceptance organized by the Ministry of Science and Technology.
April, 26: The company's project "Development and industrialization of GaN-based light-emitting diode epitaxial wafers and chips" passed the expert appraisal. The appraisal results show that the industrialization scale has reached the largest in China, the quality is stable and reliable, and the technical indicators have reached the leading position in China.
in may 26, the company was officially approved by the Ministry of personnel to set up Post-Doctoral Research Center to carry out postdoctoral research.
in July, 26, the project of "Power High Brightness LED Chip and Flip-chip Technology" passed the expert appraisal, and the appraisal result was that the technical index of industrialization reached the domestic leading level.
in November, 26, the project of "full-color power semiconductor chip industrialization" undertaken by the company was listed as "National Special Project for Technological Progress and Industrial Upgrading of Information Industry Enterprises in 26" by the National Development and Reform Commission.
in December, 26, the project "manufacturing technology of 1lm/W power white LED" undertaken by the company was identified as a national high-tech research and development plan (863 plan) by the Ministry of Science and Technology.
in March 27, Japanese scholar Dr. Kazuhiro Okawa was hired as our technical consultant.
in November 27, our "S-RGB 7 full-color ultra-high brightness (red, orange, yellow, blue and green) LED chip" passed the expert appraisal of new products and technologies organized by Xiamen Economic Development Bureau, and the appraisal conclusion concluded that our "red light power LED with substrate transfer" product was the first in China, filling the domestic gap. "
3. in July 28, sanan optoelectronics borrowed from a listed company named tianyi technology in Hubei province with code 673. Here are a few digressions. Tianyi Technology is not famous, but the code 673 originally belonged to a company named Shashi Vigorous Erba. This company was very famous in Hubei before. For a while, the advertisement of "Vigorous Erba Shashi Daily Chemical" was overwhelming on TV, which was comparable to the later melatonin advertisement. After more than 2 years, the author can still clearly remember this advertisement ...
4. The information of Sanan Optoelectronics after listing can be consulted in the annual report, and the development process is roughly as follows:
In 28, the income was 213 million, the net profit was 52 million, and the main profitable asset was Xiamen Sanan Optoelectronics Technology Co., Ltd., when Tianjin Sanan Optoelectronics Co., Ltd. was just established. At this time, Sanan Optoelectronics "has 18 world-class MOCVD and its matching chip manufacturing production lines and testing equipment, with an annual production capacity of 5, epitaxial wafers and 16 billion chips."
In 29, the revenue was 47 million, the net profit was 18 million, and the non-recurring profit and loss was 54 million. In that year, 8 million yuan was raised. The main profitable assets "Xiamen Sanan Photoelectric Co., Ltd." and "Tianjin Sanan Photoelectric Co., Ltd." were about to be completed, and the Anhui project was about to start. At this time, Sanan Optoelectronics "has 22 world-class MOCVD and its matching chip manufacturing production lines and testing equipment, with an annual production capacity of 85, epitaxial wafers."
In p>21, the revenue was 86 million, the net profit was 43 million, the non-recurring profit and loss was 18 million, and the raised funds were 2.98 billion yuan. The main profitable assets were "Xiamen Sanan Optoelectronic Technology Co., Ltd.",
"Tianjin Sanan Optoelectronic Co., Ltd." and
"Anhui Sanan Optoelectronic Co., Ltd. has purchased 48 sets of MOCVD equipment and installed 38 sets. At this time, "the company has 77 world-class MOCVD and its matching chip manufacturing production lines and testing equipment."
In p>211, the revenue was 1.747 billion, the net profit was 1.6 billion, and the non-recurring profit and loss was 47 million. The main profitable assets were Xiamen Sanan Optoelectronic Technology Co., Ltd.,
Tianjin Sanan Optoelectronic Co., Ltd. and
Anhui Sanan Optoelectronic Co., Ltd., in which all the equipment purchased by Anhui Sanan Optoelectronic Co., Ltd. arrived at the company.
In p>212, the revenue was 3.363 billion, the net profit was 81 million, and the non-recurring profit and loss was 26 million. The main profitable assets were Xiamen Sanan Photoelectric Technology Co., Ltd.,
Tianjin Sanan Photoelectric Co., Ltd.,
Anhui Sanan Photoelectric Co., Ltd.,
At this time, "the company has 144 sets of MOCVD main equipment for producing LED products.
In p>213, the revenue was 3.732 billion, the net profit was 1.3 billion, and the non-recurring profit and loss was 277 million. The main profitable assets were Xiamen Sanan Optoelectronic Technology Co., Ltd.,
Tianjin Sanan Optoelectronic Co., Ltd.,
Anhui Sanan Optoelectronic Co., Ltd. and
Fujian Jing 'an Optoelectronic Co., Ltd.,
at this time, "the company has 16 sets of MOCVD main equipment for producing LED products, including 38 sets of Xiamen Sanan Photoelectric Technology Co., Ltd., 19 sets of Tianjin Sanan Photoelectric Co., Ltd. and 13 sets of Anhui Sanan Photoelectric Co., Ltd.".
in p>214, the revenue was 4.58 billion, the net profit was 1.51 billion, the non-recurring profit and loss was 277 million, and the raised funds were 3.237 billion yuan. The main profitable assets were Xiamen Sanan Photoelectric Technology Co., Ltd.,
Tianjin Sanan Photoelectric Co., Ltd.,
Anhui Sanan Photoelectric Co., Ltd. and
Fujian Jing 'an Photoelectric Co., Ltd.
in p>215, the revenue was 4.86 billion, the net profit was 1.747 billion, and the non-recurring profit and loss was 275 million. The main profitable assets were Xiamen Sanan Optoelectronic Technology Co., Ltd.,
Tianjin Sanan Optoelectronic Co., Ltd.,
Anhui Sanan Optoelectronic Co., Ltd. and
Fujian Jing 'an Optoelectronic Co., Ltd.,
at this time, "the company originally had about 17 MOCVD equipment ... 53 sets of MOCVD equipment (converted into 2-inch 54-chip machines, equivalent to 16 sets) purchased by Xiamen Sanan Optoelectronics Co., Ltd., a fundraising project of the company, have arrived by the end of the first quarter of 216, and the production capacity is gradually being released".
In p>216, the revenue was 6.273 billion, the net profit was 2.167 billion, and the non-recurring profit and loss was 427 million. The main profitable assets were Xiamen Sanan Optoelectronic Technology Co., Ltd.,
Tianjin Sanan Optoelectronic Co., Ltd.,
Anhui Sanan Optoelectronic Co., Ltd.,
Fujian Jingan Optoelectronic Co., Ltd.,
.
In p>217, the revenue was 8.39 billion, the net profit was 3.16 billion, and the non-recurring profit and loss was 51 million. The main profitable assets were Xiamen Sanan Optoelectronic Technology Co., Ltd.,
Tianjin Sanan Optoelectronic Co., Ltd.,
Anhui Sanan Optoelectronic Co., Ltd.,
Fujian Jing 'an Optoelectronic Co., Ltd.,
"
in 217, the company did not disclose the quantity of MOCVD, only mentioned that "the MOCVD equipment of Xiamen Sanan Optoelectronic Co., Ltd. (Phase II) gradually arrived at the factory", and it is estimated that 1 MOCVD equipment will be added (converted into 2-inch 54-chip machines), making a total of about 4 MOCVD equipment (converted into 2-inch 54-chip machines).
in H1 of p>218, the revenue was 4.173 billion, the net profit was 2.167 billion, and the non-recurring profit and loss was 418 million. The main profitable assets were "Xiamen Sanan Optoelectronic Technology Co., Ltd." and
"Tianjin Sanan Optoelectronic Co., Ltd.".
Anhui Sanan Optoelectronic Co., Ltd.,
Fujian Jing 'an Optoelectronic Co., Ltd.,
Xiamen Sanan Optoelectronic Co., Ltd.,
Wuhu Anrui Optoelectronic Co., Ltd.,
The number of MOCVD is not disclosed in the semi-annual report of 218, and it is estimated that it will remain about 4 (converted into 2-inch 54-chip machines).
5. At present, Sanan Optoelectronics has a market share of about 3% in China and over 1% in the world. It is a well-deserved giant in the LED industry, and it can be seen from the product reputation, gross profit margin, net interest rate, ROE and other financial indicators that Sanan Optoelectronics is extremely competitive in the LED chip industry. However, the competition in the LED chip industry is extremely fierce, just like sailing against the current. If you don't advance, you will retreat. The former industry giants, such as Cree in the United States and Jingyuan Optoelectronics in Taiwan Province, are in a bad situation at present.
The following article will mention these competitors of Sanan Optoelectronics.
Author: Pan Pan _ Strategic Investment