May 04, 2024

Keheng shares reorganization Hangzhou Firefly phosphor homogenization accelerated shuffling

Phosphors, the key material for LEDs, are being entangled in the curse of “quantity increase and fall”. In 2016, this situation has not changed, but the cruelty of competition has become more serious. The market pattern of zero-sum game is taking shape.

Recently, the domestic LED phosphor powder company Keheng shares (300340.SZ) announced that "to promote the company's business development, Jiangmen Keheng Industrial Co., Ltd. (hereinafter referred to as "the company") signed with the natural person Zhibo, Zhou Wei "Agreement on the establishment of a joint venture to establish a company" is proposed to establish Hangzhou Firefly New Materials Co., Ltd. (provisional name, subject to the industrial and commercial registration; hereinafter referred to as "Fire Science New Materials" or "joint venture company") after the establishment of the joint venture company, the original Hangzhou Fire Crane Photoelectric Materials Co., Ltd. stopped the production and sales activities of phosphors. The original production orders were handed over to Keheng Company. The original business of Firefly Optoelectronics was handled by the newly established joint venture company.

"Acquisition of Fire Crane Optoelectronics, on the one hand, is to integrate production capacity, thereby reducing costs and achieving large-scale production." Chen Tao, general manager of Keheng's LED business unit, told Gaogong LED, "On the other hand, Keheng shares LED phosphors mainly The South China market is dominated, and the flamingo has been working in the East China market. After the completion of the merger, the phosphors of Keheng will quickly occupy the vast market in East China."

LED lighting has developed to the present stage, and all aspects of the industrial chain are under pressure to control costs. Phosphors are no exception. In order to reduce the cost of phosphors, Chen Tao said that Keheng shares continuously reduced the amount of powder through technological innovation, and on the other hand, relied on the integrated application of powder engineering and surface modification technology to improve the coating performance of phosphors. Concentration of color zones, to achieve value-added for customers to effectively control costs; externally through investment mergers and acquisitions and strategic cooperation, such as strong alliances, through resource integration to reduce costs, to provide customers with better services.

According to a survey by the Institute of Advanced Industrial Research LED Research (GGII), the sales volume of phosphors in 2015 is expected to reach 184 tons, a year-on-year increase of 34.8%. The increase in sales volume did not lead to an increase in sales. On the contrary, its sales volume declined compared with last year. The output value was about 695 million yuan, a year-on-year decrease of 12.63%.

According to the data of the GGII survey, the average price of red powder in 2015 dropped to 25 yuan / gram, the green powder dropped to 4.5 yuan / gram, and the yellow powder has dropped to 0.5 yuan / gram. It is also known that many low-end inferior phosphor manufacturers, the price of yellow powder is even less than 0.1 yuan, in the case of negative profits, and even the "coup" to buy red powder to send yellow powder.

Today's yellow powder prices have almost fallen to the end, and if no new products introduce new profit growth points, it is difficult for phosphor companies to continue. However, general lighting has increased the requirements for the light efficiency, life and color rendering of LED light sources, and the requirements for high color gamut and full spectrum coverage of backlight display LED devices are also increasing. This phenomenon has caused many phosphor companies to Found a new profit point.

Conventional red powder, yellow green powder, yellow powder, etc. have no potential to be priced in the price. The replacement of phosphor products has become the focus of attention. Chen Tao said that "in terms of lighting, Keheng shares mainly introduces red powder and yellow-green powder required by 90+ high-index solutions for customers. In the field of backlight, fluoride phosphors will soon be put on the market. In high color gamut and all On the spectral coverage, Keheng has already taken the lead."

Keheng Co., Ltd. is looking for a full-color LED phosphor with balanced spectral composition, which will become the higher goal pursued by the industry. The company will develop the full-spectrum phosphor as the company's technology upgrade product. Keheng shares adopts nitriding technology to realize full-spectrum emission of red and green after energy transmission from the center of green light to the center of red light. When the phosphor after nitriding is applied to white LED, it achieves high performance of 90 or more. Color index.

In addition to full-spectrum technology, Keheng shares are also deploying violet LEDs (UV LEDs). In the future, it is expected to realize the use of violet LEDs and phosphors to generate white light for general lighting.

The first quarter 2016 results disclosed by Keheng Shares show that from January to March 2016, Keheng shares are expected to achieve a net profit attributable to shareholders of listed companies of approximately RMB 1 million to RMB 3 million. “The whole quarter of 2016 feels much better than 2015.” Chen Tao said in an interview with CCTV Financial Channel at the 2016 Gaogong LED Spring Festival held recently. It can be seen that Keheng's efforts to deal with the brutal reshuffle of the LED phosphors have begun to bear fruit.

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