Laibao Hi-Tech: Strong demand for laptop touch screens continues into October

On August 1, Laibao Hi-Tech said in an institutional survey that due to the impact of the global COVID-19 pandemic, the demand for remote office and online education has increased in a short period of time, and the demand for touch-screen laptops has increased accordingly. The demand for the company's leading product, touch screens for laptops, has been rising month by month since February 2020. The company's production and operation are normal. Judging from the current demand situation, the demand for orders for such products has continued to be relatively strong until October this year. The company is facing great delivery pressure and is taking positive measures to strive to meet customer order needs. The company has currently taken positive measures such as the transformation of front-end sensor equipment, the purchase of corresponding equipment in the back-end, and the optimization of the layout of the production workshop, which can improve the existing production capacity to a certain extent and strive to meet the demand for customer order growth.

Laibao Hi-Tech said that the demand for touch-screen laptops has continued to grow since February this year. On the one hand, it is due to the increased demand for working from home and online education brought about by the new crown pneumonia epidemic. On the other hand, the Win 7 system has stopped updating and upgrading this year, and consumers' increasing recognition of the Win 10 system has brought about a corresponding increase in demand for laptop upgrades among business-end (To B) customers (such as governments, enterprises, etc.).

So far, the orders of Lenovo, HP, DELL, ASUS, Huawei and other customers for Laibao Hi-Tech's leading product, notebook computer touch screen, have increased to varying degrees. From now until October this year, the company's product order demand is relatively strong; in November and December this year, the company's notebook computer touch screen order demand may show a certain degree of decline.

As for in-vehicle touch screens, as cars gradually develop towards electrification, intelligence, and Internet, the market demand for in-vehicle touch screens is growing rapidly. On the one hand, the size of in-vehicle touch screens is getting bigger and bigger, from the original 7 inches and 8 inches to 10 inches and 12 inches. The size of the touch screen is the diagonal length, from 8 inches to 12 inches. On the surface, the size ratio is 1.5 times, but in fact, the area ratio of the touch screen should be 1.5 squared, that is, 2.25 times, which means that the actual demand for product production is equivalent to more than doubling when the number of products remains unchanged.

On the other hand, as cars are increasingly moving towards electrification and intelligence, the interior configuration of cars is gradually moving towards technology and fashion. Car touch screens have gradually expanded from the single screen of the traditional center console to dual screens (center console + instrument panel) or even triple screens (center console + instrument panel + co-pilot). In addition, car touch screens are gradually added to the rear seats, driving recorders, head-up displays and other positions, further stimulating the market demand for car touch screens. Overall, the future market growth space for car touch screens is broad.

Since February this year, the demand for orders for Laibao Hi-Tech's in-vehicle touch screens has continued to be relatively strong. The recent shipments of in-vehicle touch screens are about 80,000 to 100,000 units per month, mainly due to the increasing number of the company's in-vehicle touch screen product projects, the gradual increase in in-vehicle touch screen projects entering the mass production stage, and the continuous and effective development of the company's in-vehicle touch screen customers since last year. The company's in-vehicle touch screen order demand is good, and the order demand has gradually increased from August to October, and the order demand may reach 130k/m-150k/m by October.