TCL Technology: Estimated revenue in the first three quarters is 124.7 billion yuan to 126.7 billion yuan, with net profit attributable to parent companies of 200 million yuan to 300 million yuan.

On the evening of September 29, TCL Technology released an operating report for the first three quarters of 2022, stating that in the first three quarters of 2022, the company is expected to achieve operating income of 124.7 billion yuan to 126.7 billion yuan, net profit of 1.9 billion yuan to 2 billion yuan, and net profit attributable to shareholders of listed companies of 200 million yuan to 300 million yuan. The profit in the third quarter will improve quarter-on-quarter.

According to the 2022 semi-annual report released by TCL Technology, the company's net profit attributable to its parent company in the first half of the year was only 200-300 million yuan, which means that the net profit attributable to its parent company in the third quarter decreased by 364 million yuan to 464 million yuan.

As for the TCL Zhonghuan part of this report regarding new energy photovoltaics and new semiconductor materials, TCL Technology stated that TCL Zhonghuan is expected to achieve a net profit attributable to its shareholders in the first three quarters of 4.93 billion yuan-5.07 billion yuan, a year-on-year increase of 78.53%-83.60%. Among them, the net profit in the third quarter is expected to be 2.013-2.153 billion yuan, a year-on-year increase of 57.06%-67.98%.

This means that TCL Technology’s semiconductor display, industrial finance and other businesses are expected to achieve a net profit loss of 4.63 billion to 4.87 billion yuan in the first three quarters. The semiconductor display business accounts for the largest proportion of these three parts.

Since this year, panel prices have continued to decline, mainly because the prices of some sizes of TV panels have dropped to cash costs and even dropped to material costs. Major panel manufacturers have also suffered losses. In order to maintain utilization rates, domestic panel manufacturers have shifted more production capacity from smaller-sized TV panels to producing more oversized TV panels such as 65-inch, 75-inch, and 85-inch TV panels. The price of oversized TV panels continues to fall.