The mainland LED industry is beginning to embrace the recovery of the economy.
From the perspective of profit classification, benefiting from the strong demand in the lighting market in the second half of last year, downstream lighting, applications and other related companies have basically been fully profitable. For example, Chau Ming Technology (300232.SZ) expects net profit to increase by 79.85 in 2013, Jufei Optoelectronics ( 300303.SZ), Liard (300296.SZ), Hongli Optoelectronics (300219.SZ), Yuanfang Optoelectronics (300306.SZ), Ruifeng Optoelectronics (300241.SZ) net profit increased by more than 20%.
From the perspective of the industrial chain, LED downstream demand has begun to be transmitted to midstream packaging and upstream wafers, materials and other manufacturers, and promote the profitability of related companies. As Fang Guoxin (002049.SZ) net profit increased by 93, in addition, China Microelectronics (600360.SH), Zhongfa Technology (600520.SH) achieved profitability last year.
Hongli Optoelectronics and Jufei Optoelectronics all attributed their growth to the industrial boom. In addition, Ruifeng Optoelectronics believes that last year's support policy in the LED field, the decline in the price of LED lighting products and the further restrictions on the use of incandescent lamps have also contributed.
Despite this, there are still some companies whose performance is bleak. Shiyida (002137.SZ) said that it was mainly due to the sharp deterioration of the company's EMS business operation, which led to a large loss; Moso Power (002660.SZ), whose net profit fell 40%, was due to the company's relocation of the office and the lowering of the Shenzhen company standard. Labor costs have risen. Huacan Optoelectronics (300323.SZ) and Nanda Optoelectronics (300346.SZ) mainly suffered losses in the first half of the year. In the second half of the year, even if the market demand accelerates, it is difficult to make up for its losses.
It is worth noting that the recovery of the LED industry has been closely watched by the organization. In the past month, hundreds of organizations have been involved in 16 industries including Foshan Lighting, Alto Electronics, Guoxing Optoelectronics, Han's Laser, Liard, Lianjian Optoelectronics, Hongli Optoelectronics, Huacan Optoelectronics, and Moso Power. Nearly 30 researches were conducted.
Under this circumstance, many companies are interested in increasing investment. Alto Electronics said that the company will increase investment, and the business will become a new growth point for the company. Wanrun Technology said that the company will focus on expanding the LED lighting market and products this year, and accelerate the development of new LED packaging and lighting technologies and new materials. Jufei Optoelectronics and Hongli Optoelectronics said that in 2014, the market will expand in line with market conditions.

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