Huaxia Guangcai's 2016 net profit increased by 62% year-on-year

Huaxia Guangcai (835252) released its annual report on April 18. In 2016, the company achieved operating income of 207 million yuan, up 54.54% year-on-year; net profit was 9.128 million yuan, up 62.19% year-on-year; basic earnings per share was 0.46 yuan.

The main reasons for the increase in profits are as follows:

(1) The company carefully arranged the Guangzhou International Advertising Logo and LED Exhibition in February. The effect of the exhibition reached expectations. On the basis of maintaining old customers, a number of new customers were successfully developed.

(2) The company continued to improve the quality of conventional surface-mount products by introducing new equipment and new technologies. It has consolidated the original sales orders and achieved steady growth.

(3) According to the market changes, the company jointly developed the company's National Star Optoelectronics Co., Ltd. to jointly develop outdoor small-pitch surface mount series and gain market recognition.

(4) Layout of international business, establishment of international sales department through partnership system.

(5) In terms of marketing, the company has organized a number of special promotion and promotion activities, and carried out comprehensive marketing planning and promotion for new products, new business models and corporate brands. The company successfully held 5 exhibitions across the country, launched various preferential policies for important distributors around the country, and established a strategic win-win relationship. The company actively assists the activities of related advertising associations. Through the above marketing and promotion activities, the company has entered the LED leasing market, advertising media, security monitoring, system integration and other related industries, laying a solid foundation for the development of leasing, media and project engineering business.

(6) Technology innovation drives sales; the company takes technology research and development as the foundation for development. During the reporting period, the company's high comprehensive cost performance of products below 2.5mm pitch stood out in the rental market and small-pitch market. Sales continued to grow steadily without lowering the selling price, forming a virtuous circle of winning market share by quality and quality.


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