The comprehensive gross profit margin of Ming Microelectronics increased from 33.58% in 2020 to 65.61% in 2021; The net interest rate increased from 20.80% in 2020 to 51.73% in 2021.
Ming Microelectronics pointed out that the main reasons for the significant increase in gross profit margin are: (1) Continuous improvement of product structure, and the proportion of mid-to-high-end product shipments gradually increased in the second half of 2021; (2) Due to the strong demand in downstream application fields and the shortage of production capacity, the company adjusted the price of the original product line and increased the priority delivery of new products and high-margin products; (3) The company own closed test capacity has been steadily improved, the scale effect has gradually shown, and the cost advantage has been highlighted.
The reason for the substantial increase of net interest rate is mainly the rapid growth of the revenue scale, the substantial increase of gross profit rate, and the realization of the company gross profit; At the same time, the company high operating efficiency alleviates the pressure of total operating costs.
In 2022, based on the existing Mini/Micro LED display driver, linear power supply and power management product lines, Ming Microelectronics will further research and develop new technologies to continuously improve product performance, expand application scenarios, increase product market penetration, optimize supply chain construction and enhance scale effect.
According to the demand of the display driver market, Ming Microelectronics believes that with the reduction of the lamp bead spacing, the LED chip size will be smaller, the point spacing is more dense, the higher the driving technology requirements, and the need for the display driver chip is more. Mini/Micro LED as a new generation of core display technology, with low power consumption, high integration, high display, long life and other excellent characteristics, showing a vigorous development trend. In the future, the dual promotion of the vast stock replacement market and the incremental market will create strong market conditions for the LED industry.
In terms of MiniLED, Ming Microelectronics believes that, with the reform of downstream application scenarios, the display will realize the development from outdoor to indoor, and the MiniLED display driver chips will have great development space in the future. It is reported that in 2021, Ming Microelectronics MiniLED display driver chip achieved sales revenue of 243 million yuan, accounting for 19.41% of the total operating revenue. The company pointed out that at present, the company MiniLED driver chips are mainly applied in the direct display field. It is expected that the first generation of Mini backlight intelligent devices will be launched in 2022 to open up new profit growth points.
In terms of Micro LED, with the worldwide research and development of Micro LED technology, some Micro LED products have been commercialized. In the future, Micro LED will penetrate from large-screen display, smart wearable devices and high-end TV fields, and gradually expand to VR, mobile phones, tablets and other fields requiring high pixel count, high refresh rate, high fill rate and low cost.
In addition to traditional LED applications, Micro LED also has great development potential in emerging fields such as on-board display, visible light communication and biomedicine due to its flexible display, good reliability and long life. The company pointed out that from the point of view of direct display technology, the rapid development of Micro LED should be based on the popularization of MiniLED display application, so as to overcome the difficulties of massive transfer of production process.
Ming Microelectronics has developed a new generation of highly integrated products for MiniLED direct display, and expanded Micro LED technology simultaneously. At present, some products of Ming Microelectronics can be used in Micro LED. In the future, the company will continue to pay attention to the development of industry front-end technology and product application requirements, and launch more driver chips dedicated to the field of Micro LED.