BOE’s AMOLED product shipments reached 42 million units in the first quarter

On May 6, BOE accepted a survey from specific subjects. The two parties had exchanges on topics such as LCD products, OLED business, storage, depreciation, etc. The specific contents are as follows:

1. How does the company view LCD product price and utilization rate trends?

Answer: According to data and analysis from consulting agencies, affected by factors such as stocking for sports events, driven by cost risks, and the industry's insistence on "production on demand", the prices of TV products of all mainstream sizes will increase across the board from January to April 2026; as stocking for sports events and promotional seasons comes to an end, mainstream size TV prices are expected to remain stable in May; mainstream size MNT will maintain a slight increase, and NB panel prices will continue to be stable.

In terms of utilization rate, according to data from consulting agencies, the industry utilization rate continued to remain high in March and April. In May, the industry continued to practice "production on demand" and the utilization rate is expected to fall back to around 80%.

2. What is the company’s OLED business operating status and future prospects?

Answer: Facing the complex market environment, the company's flexible AMOLED product shipments will exceed 150 million pieces in 2025, a year-on-year increase of approximately 8%; in the first quarter of 2026, 42 million pieces will be shipped, maintaining year-on-year growth. In 2026, there will be uncertainty in the international political and economic environment, coupled with fluctuations in the supply of bulk commodities and sharp increases in the prices of some raw materials such as storage, the prices of mobile phone terminal products will also rise to varying degrees, thus affecting terminal sales.

According to consulting agency estimates, global flexible AMOLED shipments will decline by 4% in 2026. Facing severe challenges, the company will continue to improve product competitiveness and the proportion of high-end products, and reduce costs through lean management. It is expected that the company's AMOLED shipments will continue to grow in 2026, with a target of 160 million pieces.

3. What impact will storage price increases have on the display industry?

Answer: Due to the impact of rising storage prices on consumer electronics, it is expected that terminal manufacturers and panel manufacturers will be under certain pressure in some product categories. In terms of product categories, the demand for notebook computers and smartphone terminals may have a certain impact; taking into account factors such as the growth in demand for TV area, the impact on the demand for TV terminals will be limited.

4. What are the company’s future depreciation and capital expenditure trends?

Answer: At present, the depreciation of the company's existing production lines continues to decrease, and the production line projects under construction will be consolidated in stages taking into account the ramp-up situation. The total depreciation and amortization of the company in 2025 will be 38.7 billion. In terms of capital expenditure, as the LCD production line has gradually entered a mature stage from the rapid development stage of large-scale production expansion, and OLED has no plans to build a new production line, in the future, as the company's investment scale decreases, the amount of capital expenditure will gradually decrease.