Op Lighting has raised 1.2 billion of the main investment LED products repeatedly exposed as "lighting Sanlu"

Recently, Op Lighting Co., Ltd. (hereinafter referred to as Op Lighting) has pre-disclosed the prospectus for the prospectus. According to the prospectus, the company is mainly engaged in research and development, production and sales of lighting sources, lamps and control products. In 2013, the company's operating income and net profit were 3.39 billion yuan and 479 million yuan respectively.

The reporter learned that the company's IPO wants to raise about 1.2 billion yuan, which will be used for three projects of “green lighting production project”, “display center and marketing network construction project” and “research and development center construction project”. The amount is 567 million yuan, 471 million yuan and 167 million yuan.

2013 net profit growth slowed down

Op Lighting is a comprehensive lighting company integrating R&D, production and sales. The company provides professional lighting solutions for customers in the home, office, commercial, industrial lighting and other applications, covering lamps, light sources, lighting control and others. And other related fields.

At present, the company's main products are divided into 4 categories, including home lighting, light sources, commercial lighting, lighting control and other products. Among them, the largest proportion of revenue is the home lighting business, with a revenue of 1.466 billion yuan, accounting for 43.52%, and gross profit accounting for 47.03%.

It is worth mentioning that from the financial data released by the company, from 2011 to 2013, the company's operating income was 2.69 billion yuan, 3.14 billion yuan and 3.39 billion yuan respectively, which increased by 16.73% and 7.96% in 2012 and 2013 respectively. In the same period, its net profit was 149 million yuan, 429 million yuan and 479 million yuan respectively. In 2012 and 2013, it increased by 187.92% and 11.66% respectively. Obviously, revenue and net profit growth in 2013 have begun to slow down.

On the other hand, the reporter noted that the company's gross margin is far greater than that of peer listed companies, including 2011, including Sunlight (600261, SH), Foshan Lighting (000541, SZ), Snowlight (002076, SZ) and NVC Lighting ( The total gross profit margin of companies such as 02222 and HK) was 27.34%, and Opto Lighting was 31.21%. In 2012, the industry average gross profit margin was 25.59%, and Op Lighting was as high as 34.56%.

For this reason, Op Lighting said that it is related to the company's brand advantage, product structure and sales policy. Its sales products are all independent brands. Compared with the same industry companies with high OEM business, the brand advantage is obvious. Secondly, the company's lighting products and lighting control products accounted for an average of more than 60% of the business, compared to the light source-based companies in the same industry products added value. On the other hand, in view of the strong bargaining power of commercial customers, the gross profit margin of commercial products is generally lower than the gross profit margin of home lighting. The company is mainly based on home lighting, so the gross profit margin of the same industry companies with commercial business is higher. . Finally, the gross profit advantage of the company's products has benefited to some extent from the channel promotion fees, product promotion fees and advertising fees invested by the company.

It must be mentioned that in 2011~2012, due to overcapacity and many other factors, the overall decline of the LED industry, the overall profit of Op Lighting's peers declined almost completely. Among them, Snowlet's net profit in 2012 was only 151.6661 million, down 44.38% year-on-year. Sunshine Lighting's net profit for 2012 was 210 million yuan, down 6.62% year-on-year; although Foshan Lighting's net profit increased by 37.31% in 2012, both revenue and non-net profit declined. In addition, Qinshang Opto's 2012 net profit also fell 15.56% year-on-year.

However, the data of Op Lighting is abnormally “fierce”, and the company’s net profit in 2012 has increased by as much as 189.72%. In this regard, the company explained that the net profit in 2011 was lower, mainly due to the fact that the controlling shareholder of the company transferred the equity to the management shareholding company to implement equity incentives and formed a management fee of 167 million yuan. The low base in 2011 led to a sharp increase in net profit growth in 2012.

In addition, the reporter noted that in the past three years, the company's largest customer was Linyi Tianma Music Co., Ltd. (hereinafter referred to as Tianma Music) and its affiliates. Interestingly, according to industry and commerce information, Tianma Music has a registered capital of only 500,000 yuan, mainly engaged in audio equipment, household appliances, performance equipment, lighting equipment and maintenance after-sales service. The company and its affiliates have generated over 100 million transactions with the company for three consecutive years, namely 109 million yuan, 167 million yuan and 217 million yuan.

Fundraising main investment LED

For this IPO, the company plans to raise about 1.2 billion yuan to invest in “Green Lighting Production Project” (567 million yuan), “Display Center and Marketing Network Construction Project” (471 million yuan) and “R&D Center Construction Project” (1.67). 100 million yuan).

The focus of the fundraising project is the green lighting production project, which is planned to be built for 4 years, with a production capacity of 20% expected in the second year, 55% production capacity in the third year, and full production in the fourth year. At that time, the LED workshop will realize an annual production capacity of 22.74 million LED lighting products. The annual average sales revenue is 2.241 billion yuan, and the net profit is expected to increase by 36.126 million yuan.

It is not difficult to see that at present, the most important thing for Op Lighting is the LED project. According to McKinsey's forecast, with the upgrade of consumption, the increase of market penetration rate of energy-saving lighting products and the gradual satisfaction of the market's individualized demand for segmentation, China's general lighting market will reach 127.4 billion yuan in 2016, accounting for about a global market. 20.8%, the compound growth rate from 2010 to 2016 is about 13%.

In addition, Op lighting suggests that the main types of general lighting sources in China are incandescent lamps, halogen lamps, high-pressure gas discharge lamps, fluorescent lamps and LED lamps, of which fluorescent lamps have the largest market share. According to McKinsey's data, the market share of fluorescent lamps in 2010 was 60%, followed by high-pressure gas discharge lamps accounted for 17%, halogen lamps and incandescent lamps accounted for 8%, and LED lamps were 7%. With the continuous optimization of product technology and production costs, the proportion of LED lights in the future is expected to further increase. It is estimated that by 2016, China's LED lighting market will reach 56.4 billion yuan, accounting for about 46% of China's overall general lighting market.

For the current LED industry situation, a brokerage researcher told reporters that from the current point of view, there is no problem with downstream demand. From the perspective of global lighting companies, especially Taiwan enterprises such as Jingdian and New Century, most of them have good results. Data, the current situation of mainland lighting foundries is still relatively optimistic, if the products are facing overseas, it is a good situation.

Products are repeatedly exposed

It is worth mentioning that in the prospectus, Op Lighting claims that since its establishment, the company has always attached great importance to ensuring product quality, and has established strict quality control and quality inspection procedures in different aspects such as raw material procurement, product design and production process. It was rated as “China Famous Brand Product” by the State Administration of Quality Supervision, and was rated as “National After-sales Service Satisfactory Product Demonstration Enterprise” by China Consumer Protection Foundation.

However, in fact, the products of Op Lighting related companies in recent years have been repeatedly exposed by relevant departments, and even some consumers have dubbed the "lamps Sanlu".

According to the reporter's incomplete statistics, on March 3, 2011, Wenzhou Industrial and Commercial Bureau announced the spot metering of wire and cable lamps for the fourth quarter of 2010. The trademark was “Oupu Lighting”, model 220V~50HzMAX60WNTD1140, production date is December 2009. On the 11th, a manufacturer of Zhongshan Oupu Lighting Co., Ltd. (hereinafter referred to as Zhongshan Op) was listed on the black list for the unqualified items due to signs, grounding and wiring.

On September 7, 2011, a trademark named "Oupu Lighting", the specification model is MT-HY1T-08MAX15W, the batch number 101206 of the movable luminaire in the 2011 Shanghai portable luminaire product quality supervision spot check due to fire resistance Qualified to blacklist.

In 2012, the Shanghai Municipal Administration of Industry and Commerce notified the unqualified quality of lighting in the circulation field in the second quarter of 2012. One of the batches sold by Bai'anju (China) Home Furnishing Co., Ltd. Shanghai Meilong Store is nominally “movable lamps” produced by Zhongshan Op. (Model specification: MT-HYOT-02/11W; date of manufacture or batch number: 2010/ 12/20). The reason is that heat resistance, fire resistance and scratch resistance (heat resistance) are not in compliance with the standard.

The reporter noted that Zhongshan Op is currently the controlling shareholder of the company. In December 2011, in order to effectively integrate all the lighting business of the actual controller, avoid competition in the same industry and reduce related party transactions, the company established Opal Electric, which acquired the assets and liabilities related to the lighting business of Zhongshan Oup. At present, Opal Electric is a wholly-owned subsidiary of the company.

In this regard, Op Lighting said that the lighting industry has a long industrial chain, complex production processes, high standards, and problems in one part of the industrial chain will affect the quality of the final product. At the same time, the company has a wide range of products, some products are produced by OEM, and the sales scope is also expanding. Individual products may have quality problems due to product process design, electronic component compatibility, product transportation, installation and use environment, improper use of consumers, etc. . During the reporting period, the company's individual products were classified as unqualified products by the quality inspection department due to quality problems.

(This article is reproduced on the Internet. The texts and opinions expressed in this article have not been confirmed by this site, nor do they represent the position of Gaogong LED. Readers need to verify the relevant content by themselves.)

Alps Connector

Alps Connector,Alps Connection Shrapnel,Connector For Two Monitors,Shrapnel For Personal Audio

DA CHENG MINGHUA LIMITED , https://www.alpsswitch.com