Flat chip competition intensifies shun Yuan industrial transformation IC design Future uncertainty

Absrtact: This May, Shun Yuan Industrial (000670, closing price 8.88 yuan) of the reform plan finally baked. After the implementation of the scheme, the company's major shareholders will be changed to Shanghai Surplus Fang Microelectronics Technology Co., Ltd. (hereinafter referred to as surplus Party micro), the company's main business will be changed by real estate





this May, Shun Yuan Industrial (000670, closing price 8.88 yuan) of the reform plan finally baked. After the implementation of the scheme, the company's major shareholders will be changed to Shanghai Surplus Fang Microelectronics Technology Co., Ltd. (hereinafter referred to as surplus Party micro), the company's main business will be changed from real estate to mobile internet, wearable products such as processor research and development, sales.





"Daily economic news" reporter noted that surplus fang is an IC design (integrated circuit design) company, products are mainly used in tablet computers, OTT set-top boxes. However, its tablet computer chip industry, recent bad news: Hai in IC design has recently announced a downward downgrade of revenue forecasts for the second quarter, while the country's tablet computer chip leader, the world's biggest-ever technology, suffered a "Waterloo" this year, with net profits falling about 70% per cent in the previous May.





Surplus Square Micro-curve listing/





this May, shun yuan industry issued a share reform program, the company will take the "donated assets to the price + Capital Provident Fund to increase" the combination of ways. After the implementation of the scheme, the company's major shareholders will be changed to the surplus side, the company's main business will be changed from real estate to mobile internet, wearable products such as processor research and development, sales.





in the payment of share reform on the price, the potential shareholder surplus to the listed companies cash 200 million yuan and the surplus of microelectronics 99.99% (100% Equity, as at December 31, 2013 audited net assets of 112 million yuan, the value of all shareholders ' equity evaluation interval of 790 million ~8.70 billion), It is used for all non-tradable shareholders to pay the share reform to the circulating shareholders.





Shun Yuan Industrial said that the surplus side micro to the listed company donated assets to increase the company's cash and operating quality assets, is the company to find new profit growth point and rapid transformation, the important way to achieve sustainable development.





data shows that the tracker is a professional IC design company focused on mobile Internet Terminal application processor chip research and development. Research and development of the chip mainly used in mobile Internet terminals, multimedia intelligent terminals, high-definition video and other high-end consumer electronics, typical applications for tablets, smartphones, OTT set-top boxes, smart home and smart wear.





consolidated profit statement shows that the net profit from 2011 to 2013 is 33.5554 million yuan, 27.1985 million yuan and 11.818 million yuan respectively, which is declining trend year by century.





However, the surplus side of the micro-give performance commitments, as investors eat a reassuring. Surplus party micro Commitment, after the stock reform, the listed company 2014 combined statement caliber under the deduction of not the stepmother company net profit is not less than 50 million yuan, 2015 can not be less than 125 million yuan, after the completion of the share reform 48 months, the surplus side micro through the two-level market share price minus 15 yuan shares





for such a program, the market to give full recognition. The day of the recovery (July 15), Shun Yuan Industrial opened to 8.50 Yuan, close to 8.75 yuan, compared to the pre-suspension price (reinstatement price) rose 42.51%; the next day, Shun Yuan industrial continued to strong SEAL board.





flat chip Enterprise performance decline/





is involved in many aspects of intelligent terminals, including the Tablet chip field.





but "Daily economic news" reporter noted that, in the current situation, in the flat chip market, competitive pressure has been very clear, many flat chip companies operating bleak.





recently, far overseas listed IC design Enterprises Zhuhai Torch Force cut the second quarter revenue forecasts. Zhuhai Torch Force estimates that the company's second quarter revenue will reach about 12 million U.S. dollars, and the previous forecast is to reach 15 million ~1700 million dollars.





pointed out that the lower revenue forecast was mainly due to the decline in overall demand of "white-card" tablet manufacturers, and the competition in the market caused by new competitors entering the "white card" market.





In addition, the IC design industry, another giant Canzhi technology recently issued a prospectus (report). As can be seen from the prospectus, the net profit of the full log technology in May fell by about 70% Year-on-year.





The data show that the main products are the Intelligent Terminal application processor chip and intelligent power management chip. 2011-2013 year operating income is 260 million yuan, 1.34 billion yuan, 1.65 billion yuan respectively, net profit is 60 million yuan, 570 million yuan, 420 million yuan respectively. It is not difficult to see from the data, the total Zhi science and technology 2011-2012-year revenue and net profit are the growth trend, but 2012-2013 years, the company's revenue although some growth, net profit from 570 million yuan to 420 million yuan.





in this, the full Zhi science and technology in the prospectus, said that since 2013, as the market competition intensified, the company's product sales price decline, resulting in comprehensive gross profit margin and net profit to a certain degree of decline. In addition, with the rapid growth in consumer electronics from high-speed to steady growth in recent years, the company's operating income growth rate will also slow down, and as the market competition intensifies, the company's products, the overall gross profit margin in the near future may fall further.





in fact, as the market competition intensified, product prices fell sharply, 2014 1 ~ May, the total Zhi technology shipments with the same period in 2013, but the sales revenue was 25% year-on-year decline, net profit fell by about 70% Year-on-year.





Isuppli Semiconductor chief analyst Wenjun told the Daily Economic news reporter, "Now the tablet chip market is very competitive." The pressure comes from two things, the first being that the Big Mac Intel is looking to transform the mobile Internet from PC, overweight tablet areas, including Fuzhou Rui-core micro-cooperation, the formation of pressure on domestic enterprises; In addition, telecom chip companies, including MediaTek and the exhibition, have entered the tablet sector, and MediaTek has ranked second in tablet computing in the first quarter, And the surplus side micro in the tablet market share is relatively low. ”