As demand for automobiles increases, Macroblock’s Mini LED backlight products are gradually introduced into high-end models

The accumulation of LED driver chip manufacturers has benefited from the increase in automotive demand. In particular, Mini LED backlight products are gradually being introduced into high-end vehicle types. Compared with other consumer products, their performance is relatively stable and has growth momentum. In terms of recent operations, the market is optimistic. Mainland China's post-epidemic recovery demand is expected to accelerate the subsequent inventory destocking process and strive for a recovery in operations in the second half of the year.

As uncertainties such as inventory destocking and inflation in the supply chain remain, the demand for consumer products is relatively weak, and accumulation is also affected by market competition pressure. However, inventory continues to decline slowly. The market expects that the inventory amount in the fourth quarter of last year will decrease slightly compared with the previous quarter. It is expected that inventory will continue to be depleted in the first half of this year. We should observe the demand situation after the unblocking of mainland China.

What is relatively stable is that Juju has been working hard in the automotive market in recent years. As the size of instrument panels increases and image quality requirements increase, the number of ICs used will also increase. MiniLED backlight products have also entered many car manufacturers in mainland China. The number of cases is stable and will be one of the growth drivers this year.

In addition, in terms of price, due to the strong bargaining pressure in the peer market in mainland China, Juju continues to optimize its cost structure, increase product added value, and strive to maintain stable gross profit margin performance. However, the legal person estimates that due to the impact of inventory depreciation losses, the gross profit margin in the fourth quarter of last year will still be under pressure compared with the previous quarter. This factor will continue to be affected this year. If the demand for subsequent orders becomes stronger, it will be conducive to the improvement of subsequent product mix.

In terms of recent operations, Jujuyuan's monthly revenue is NT$144 million, a monthly increase of 1.41% and an annual decrease of 40.7%. It is affected by the fewer working days during the Lunar New Year. In terms of subsequent operations, the legal person believes that it will continue to eliminate inventory in the first half of the year and strive to increase operations in the second half of the year. In the future, it should continue to observe the recovery speed of orders after the unblocking of mainland China. (Source: MoneyDJ)