Panel companies in 2016 both basic repair remain profitable panel is the global market

　　Global panel industry after prices fell sharply in 2015, under the pressure of inventory digestion, fell in the first quarter of 2016, has caused many panel enterprise loss-making state in 2015, some back panel companies in mainland China market, also in the first quarter of 2016 fell into the main list of actual operating losses.

　　But the size of the TV panels on the market demand go up, and the smart TV market, global panel demand basic digestion in the third quarter after the early accumulation of inventory, the price of the panel also got a quick fix, basically returned to the level of early 2015.

　　Under the price and sales in market, most of the panel enterprise performance in the fourth quarter of 2016 is returned to the historically high levels, on average, annual performance although not reached the level of the peak in 2015, also got the repair, basically returned to profitability.

　　From samsung can be seen in the fourth quarter of 2016 wealth, samsung in the fourth quarter of the total revenue of 53.33 trillion won (about 314.154 billion yuan), the basic flat with the same period in 2015. Operating profit of 9.22 trillion won (about 54.313 billion yuan), up 50.2% from a year earlier. Samsung 2016 full-year operating profit of 29.24 trillion won (about 172.094 billion yuan), 10.7% more than last year. Which performance larger contribution to the growth in the fourth quarter for the panel, semiconductor equipment and solutions, such as business, panel growth more obvious.

　　Samsung‘s panel in the fourth quarter of 2016 sales of 7.42 trillion won (about 43.671 billion yuan), up 13.6% from a year earlier, the operating profit of 1.34 trillion won (about 7.887 billion yuan), up 346.7% from a year earlier. But in 2016 full-year operating profit of 2.23 trillion won (about 13.125 billion yuan), a fall of 3% compared with 2015.

　　And in the largest source of revenue IT and mobile communication business, samsung electronics in the fourth quarter of 2016 sales of 23.61 trillion won (about 138.959 billion yuan), fell 5.6%, the samsung accounted for nearly 45% of total revenue. Operating profit of 2.5 trillion won (about 14.714 billion yuan) increased by 12.1% year-on-year. Basically eliminated the flagship of the third quarter of 2016 mobile phone Note7 recalling the effects of spontaneous combustion.

　　As the world‘s largest panel company LG, in the fourth quarter of 2016 also hit a record high in terms of revenue and profit, by turn profit. In the fourth quarter of 2016 revenue of 7.9 million won (about 57.066 billion yuan), up 5.9% year on year, operating profit of 904.3 billion won (about 5.32 billion yuan), up 180% from a year earlier.

　　Full-year 2016 LG‘s revenue of 26.5 million won (about 155.902 billion yuan), operating profit of 1.3 million won (about 7.648 billion yuan), compared with 2015 decreased by 13%. LG large-sized LCD in the fourth quarter of 2016 the total rate of 28%, the city of 28 consecutive win in the world.

　　Sharp, while hon hai‘s m&a and ready to fully release their original capacity, the Chinese mainland panel the new production line will be put into production of the enterprise, but in the samsung, panasonic discontinued the old production, sales and prices as the global market for repair, industry is generally optimistic about the full year 2017.

　　Actually hon hai after m&a sharp, immediately of samsung and hisense TV companies to implement the policies of large size panel block, more aggravated tension panels on the market supply and demand, only GuanHong sea argues that it is because of the sharp panel price is too low, in order to maintain the value of a sharp panel, samsung and hisense don‘t accept bargaining, is not cut off.

　　But samsung is obviously need to find from the market after a sharp break for the 4 million pieces of TV panels gap, therefore samsung couldn‘t even break for many years with rival LG working practice, take the initiative to seek the help of LG. Some media recently said, LG has consider adjusting production plan, is expected to open 2017 around 3 million TV panels supply samsung.

　　Even samsung got the help of LG, samsung actively huaxing photoelectric panel on the Chinese mainland enterprises and the boe seeking new supply capacity, the same as a future rival to hon hai, hisense, also active in the Chinese market to find new capacity, so all parties unanimously believe that panel prices will float up to the China market, all bullish on the Chinese mainland panel enterprise‘s performance in 2017, 2017 or enterprise will become the panel of the best years in history.