Everlight Electronics, a leading LED packaging manufacturer, is poised for substantial growth in its automotive and invisible light product lines this year. The company projects a more than 10% increase in its invisible light segment and expects double-digit growth in its automotive division, driven by a rebound in these sectors as well as consumer electronics. CEO Wen confirmed the outlook for double-digit revenue growth in 2024, maintaining a gross profit margin around 30%.
In the first quarter of 2024, Everlight reported cumulative revenue of approximately 4.905 billion yuan, with a gross profit margin of 30.36%. The net profit attributable to the parent company was 741 million yuan, translating to an EPS of 1.67 yuan, marking a record high for the same period in previous years.
During a recent press conference, Everlight highlighted that automotive products will see the highest growth this year, followed by invisible light, consumer electronics, backlighting, and lighting. The company plans to phase out low-margin products gradually. The growth in the automotive sector is attributed to an increased market share and significant improvements in consumer electronics, home appliances, and automotive markets.
Everlight’s invisible light product applications, including optical couplers, infrared (IR) products, and sensors, are pivotal to its growth strategy. The company ranks among the top two globally in the optical coupling market, with this category contributing over half of its invisible light revenue. Infrared products are used extensively in monitoring, sensing, wearables, and mobile phones, while sensors see wide applications across various devices.
Future growth is expected to be diversified across applications such as power supplies, industrial control robot arms, wearable devices, and energy storage. In the automotive sector, Everlight supplies numerous products to major international clients, including indoor and outdoor lighting, displays, and sensing components. The company has made significant inroads into car atmosphere lighting, exterior headlights, and automotive displays.
Regarding third-generation semiconductors, Everlight noted that while initial revenue contributions may be modest, expected price reductions could stimulate demand and enhance profitability over time. This strategy is part of Everlight’s broader approach to expanding its market presence and improving financial performance.
Everlight’s strategic focus on high-growth sectors and its commitment to innovation position it well for continued success in the rapidly evolving technology landscape.
