Luxshare Precision: Net profit in the first half of the year was 2.9-3.3 billion yuan, up 15%-30% year-on-year

On the evening of April 27, according to the first quarter 2021 performance report released by Luxshare Precision, its revenue was 21.019 billion yuan, a year-on-year increase of 27.29% compared with 16.513 billion yuan in the same period last year. The corresponding net profit was 1.349 billion yuan, a year-on-year increase of 37.44% compared with 981 million yuan in the same period last year.

In addition, Luxshare Precision also released its first-half 2021 performance forecast, showing that net profit in the first half of the year is expected to be between 2.918 billion and 3.299 billion yuan, a year-on-year increase of 15% to 30%.

According to Luxshare Precision, the global political situation continues to become more complicated and the external environment remains severe in 2021. In the process of achieving long-term sustainable development of the company, despite facing numerous difficulties and challenges, the company remains steadfast in actively expanding in the direction of product, business and customer diversification, and insists on investing in the future.

The company's management attaches great importance to new products and new businesses that can bring long-term and stable benefits to the company and can bring efficient synergy to existing products and businesses. It is good at seeking breakthroughs from the perspective of supply chain reconstruction to bring more value to customers.

It is understood that Luxshare Precision's products and business layout are characterized by diversification and vertical integration, comprehensively covering components, modules and system assembly.

The precision components business is the area where the company has been working the longest and has accumulated the most experience. The main processes include precision mold design and processing, intelligent automation design and implementation, CNC, SMT, SiP, stamping, molding, electroplating, conductor extraction, bare wire extrusion and other complete production process capabilities, which can maximize product quality and customer delivery. At the same time, the complete mastery of basic process capabilities will also help the company to continuously innovate in new technologies and new processes.

The company's module products focus on functional areas such as acoustics, radio frequency, touch, power supply, etc., mainly including acoustic modules, antennas, wireless charging, vibration motors, etc.

In addition, in the field of communications and data centers, the company has in-depth coverage of products including high-speed interconnection, optical modules, heat dissipation modules, base station antennas, base station filters, etc. Through in-depth technological development and the integration of industry, academia and research, the company has now achieved global leadership in some segments.

In the automotive field, the company focuses on the "vascular and nervous system" of the entire vehicle. Specific products include vehicle wiring harnesses, special wiring harnesses, high-voltage wiring harnesses and connectors for new energy vehicles, smart electrical boxes, RSUs (roadside units), vehicle communication units (TCUs) and central gateways.

Both the communications and automotive businesses have fully benefited from the strong comprehensive capabilities in process, R&D, quality and business accumulated by the company in its early days in the consumer electronics field. The relevant mature experience and various resources have generated full synergy between different fields, forming a virtuous circle of mutual nourishment and mutual promotion.

The company is committed to the specialization and optimization of the underlying technology, and has made in-depth layouts in the fields of acoustics, vision, power supply (wired/wireless), wireless communication technology, etc. in accordance with future needs. The related products are widely used in various consumer electronics and automotive businesses.

With comprehensive mastery of components and modules, as well as deep accumulation in ultra-precision manufacturing, the company has fully utilized its vertical integration advantages. In recent years, it has continuously restructured the supply chain in the field of system assembly business, continuously created more value for customers, and gained the support and trust of customers. The company's main products in the system assembly business include smart wearables, smart homes, smart displays, etc.