Shenzhen Alto Electronics Co., Ltd. (hereinafter referred to as Alto Electronics) recently passed the inquiry road show to determine the issue price of 16 yuan / share, corresponding to a price-earnings ratio of 29.64 times. Although the company that specializes in LED products has successfully met, but the future market is fiercely competitive, and domestic and foreign competitors are eyeing, the company's operating pressure can be imagined.
Main business competition is fierce
Alto Electronics is mainly engaged in the R&D, design, production, sales and corresponding professional services of LED display systems and electronic receipt systems. The total number of shares issued by the company was 21 million shares, of which the offline issuance accounted for 19.05% of the total number of shares issued this time, or 4 million shares, and the number of online issuances was 17 million shares. The issue price was determined to be RMB 16.00/share. The raised funds were 269.39 million yuan.
In the prospectus, during the reporting period, Alto's main business income came from the LED display system. The revenue of the business for three consecutive years was 110.795 million yuan, 11351.85 million yuan and 172.967 million yuan, accounting for 79.95% and 74.27 respectively of operating income. % and 77.80% are stable sources of income for the company.
In recent years, the competition in the LED product market has become increasingly fierce, and the number of manufacturers participating in the market has gradually increased. Due to fierce competition, the unit price of the product has gradually declined.
As an industry competitor of LED video display system in Alto's IP prospectus, Lehman Optoelectronics reported in its first quarterly report that its operating income in the first quarter was 4,708,200 yuan and its net profit was 5,267,700 yuan, a year-on-year decrease of 38.23%.
In the half month after the release of the first quarter earnings report, Lehman Optoelectronics announced a capital increase of 155.33 million yuan to its subsidiary Huizhou Lehman Optoelectronics Technology Co., Ltd., and hopes to increase investment in high-end LED series products. According to industry analysts, Lehman Optoelectronics intends to broaden its product line and segment high-end products to meet market demand to increase its market share. It hopes to remedy the decline in the first quarter and restore investor confidence.
Coincidentally, the proposed investment project disclosed by Alto Electronics in the prospectus coincides with the initiatives of Lehman Optoelectronics. Alto Electronics will raise 114.27 million yuan of funds for the high-end LED video display system project.
Whether Alto Electronics can achieve better results than competitors in the face of increasingly fierce competition, rising costs, and falling product prices, it is impossible for investors to consider carefully.
Main business competition is fierce
Alto Electronics is mainly engaged in the R&D, design, production, sales and corresponding professional services of LED display systems and electronic receipt systems. The total number of shares issued by the company was 21 million shares, of which the offline issuance accounted for 19.05% of the total number of shares issued this time, or 4 million shares, and the number of online issuances was 17 million shares. The issue price was determined to be RMB 16.00/share. The raised funds were 269.39 million yuan.
In the prospectus, during the reporting period, Alto's main business income came from the LED display system. The revenue of the business for three consecutive years was 110.795 million yuan, 11351.85 million yuan and 172.967 million yuan, accounting for 79.95% and 74.27 respectively of operating income. % and 77.80% are stable sources of income for the company.
In recent years, the competition in the LED product market has become increasingly fierce, and the number of manufacturers participating in the market has gradually increased. Due to fierce competition, the unit price of the product has gradually declined.
As an industry competitor of LED video display system in Alto's IP prospectus, Lehman Optoelectronics reported in its first quarterly report that its operating income in the first quarter was 4,708,200 yuan and its net profit was 5,267,700 yuan, a year-on-year decrease of 38.23%.
In the half month after the release of the first quarter earnings report, Lehman Optoelectronics announced a capital increase of 155.33 million yuan to its subsidiary Huizhou Lehman Optoelectronics Technology Co., Ltd., and hopes to increase investment in high-end LED series products. According to industry analysts, Lehman Optoelectronics intends to broaden its product line and segment high-end products to meet market demand to increase its market share. It hopes to remedy the decline in the first quarter and restore investor confidence.
Coincidentally, the proposed investment project disclosed by Alto Electronics in the prospectus coincides with the initiatives of Lehman Optoelectronics. Alto Electronics will raise 114.27 million yuan of funds for the high-end LED video display system project.
Whether Alto Electronics can achieve better results than competitors in the face of increasingly fierce competition, rising costs, and falling product prices, it is impossible for investors to consider carefully.
Dongguan Xingyong Indusrtial Co,Ltd , https://www.xingyongled.com