China Display Optoelectronics Technology Holdings Limited
Announces Unaudited Financial and Operating Data
for the First Three Quarters of 2017
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Total Revenue Amounted to RMB2.39 Billion
Overall Average Selling Price Increased by 52.6% Year-on-Year
 
 (23 October 2017, Hong Kong) China Display Optoelectronics Technology Holdings Limited ("Ch Display Opt" or the "Company", together with its subsidiaries, the "Group"; HKSE stock code: 334) is pleased to announce its unaudited financial and operating data for the nine months ended 30 September 2017 (the "Period").
 
During the Period, due to the change in timing of traditional peak season from the third quarter to the fourth quarter of the year, the Group's revenue amounted to RMB2.39 billion, and the Group sold a total of 33.9 million units of LCD module products, representing a decline of 7.2% and 39.2% respectively when compared to the same period last year. The promotion of full-screen (with aspect ratio of 18:9 or higher) device products in the market during the first half of 2017 resulted in a shortage in components across the upstream supply chain until the third quarter. The Group's sales volume has therefore recovered in the third quarter, up by nearly 40% over the second quarter of 2017.
 
The Group pursued its strategy of optimizing product mix. The overall average selling price increased by 52.6% year-on-year from RMB46 to RMB71. However, as a result of the adjustment in product strategy by downstream brand manufacturers and the alteration of business strategy by major clients, the revenue from laminated LCD module products dropped by 18.7% year-on-year to RMB1.48 billion; the revenue from non-laminated LCD module products increased by 20.8% year-on-year to RMB906 million as driven by the steady business growth of LTPS products.
 
Mr. LI Jian, Chief Executive Officer of Ch Display Opt, expressed, "Despite the intensifying market competition, by further exploring the synergies with Wuhan CSOT, the Group is expected to enhance its core competitiveness in the course of industrial production and build a stronger customer base. In 2018, when a number of brand manufacturers are anticipated to roll out their new full-screen products, the Group will grasp the opportunity to expand the development of mid- to high-end products including LTPS and full-screen products. With further engagement of the joint venture, Wuhan CDOT, the Group is expected to maintain steady revenue growth in the wake of the gradual increase in sales volume, thus maximizing the profit and value for the Group and its shareholders."
 
The Group's revenue by product segments and their respective year-on-year change during the Period were as follows: