Asia300

BOE Technology Group Co., Ltd.

China

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Jul 21, 2017
Prev close: 3.97
Jul 21, 2017
Market cap:
Market cap(USD):
137,468M
20,311.7M
Shares: 34,885.9M

Currency in CNY

Company profile

Market(Ticker): SHE(000725)
Sector:
Industry:
Electronic Technology
Electronic Equipment/Instruments
Full time employees: 49,151

Business summary

BOE Technology Group Co., Ltd. is a supplier of display products and solutions. It is also engaged in research, development, and technology accumulation which led them in establishing their business units such as TFT-LCD Business for IT and TV products, TFT-LCD Business for Mobile and Application Products, Vision Electron and Display System Business, Back Light Products Business, Photovoltaic Business, Precision Electronic Components, and Materials Business and International Business Park Business. The company was founded on April 9, 1993 and is headquartered in Beijing, China.

Company background

BOE Technology Group is China's largest liquid crystal display panel maker. BOE Technology's biggest competitor in the domestic market is TCL. BOE was established in 1993, following the reorganization of a state-owned vacuum tube plant in Beijing. The company has factories in Beijing, Hefei, Chongqing and other cities. It also has research and development centers in the U.S. and Japan.

BOE mainly produces LCD panels for flat-screen TVs, large monitors and smartphones. Its strength is in LCD panels for smartphones and tablets, a segment in which it holds the largest market share in the world.

The company has rapidly improved its technological capabilities and is building plants to produce the world's first 10.5-generation large panels. It also makes high-definition 8K displays.

BOE has strong fundraising ability, thanks to its backing from the Beijing city government, and is investing heavily in new plant construction, research and development. It is expanding its business in the following areas: LCD panels, displays and lighting technology and health care -- mostly "smart medicine" and hospital management employing information technology.

A state-run entity owned by the Beijing municipal government is BOE's largest shareholder with over 10% of its outstanding shares. The company has an employee stock ownership plan and was among the first state-owned companies to introduce a performance-based compensation system. With other Chinese manufacturers increasing investment to boost production of LCD panels, intensifying competition is a source of concern.

In the news

Financial highlights

Dec 2016

  • Local currency
  • US Dollar
Revenue 68,436.39M
Gross profit 12,091.00M
Operating income 3,345.55M
Income before tax 2,527.52M
Net income 1,882.57M
EBITDA 13,266.17M
Diluted EPS 0.05
Dividends per share 0.02
Total assets 205,135.01M
Total liabilities 110,624.83M
Total equity 78,699.98M
Operating cash flow 10,222.48M

Currency in CNY

Revenue 10,301.16M
Gross profit 1,819.95M
Operating income 503.57M
Income before tax 380.44M
Net income 283.36M
EBITDA 1,996.84M
Diluted EPS 0.00
Dividends per share 0.00
Total assets 29,517.95M
Total liabilities 15,918.38M
Total equity 11,324.55M
Operating cash flow 1,538.70M

Currency in USD

Valuation measures

Dec 2016

PER 52.96
ROA 1.05%
ROE 2.41%
Operating margin 4.88%
Profit margin 2.75%

Key executive

  • President & Executive Director: Yan Shun Chen
  • Co-COO, Executive Director & Vice President: Jiaheng Wang
  • COO, Executive Director & Executive Vice President: Xiao Dong Liu
  • Chief Financial Officer & Senior Vice President: Yun Sun
  • Chief Technology Officer & Senior Vice President: Tong Guanshan

Share holders

  • Beijing State-Owned Assets Supervision & Administration(14.6%)
  • Chongqing Yuzi Optoelectronics Industry Investment Co. Ltd.(8.5%)
  • Hefei Jianxiang Investment Co. Ltd.(8.1%)
  • Beijing Econ & Tech Dev Area State-Owned Assets Mgmt Office(3.5%)
  • Tianan Property Insurance Co. Ltd. (Investment Portfolio)(3.4%)
  • China Securities Finance Corp. Ltd.(2.4%)
  • Hefei Rongke Xiangmu Investment Co. Ltd.(1.9%)
  • Bosera Asset Management Co., Ltd.(1.0%)
  • China Investment Corp. (Investment Management)(0.7%)
  • Guotai Asset Management Co., Ltd.(0.6%)

Address

  • Website: http://www.boe.com.cn
  • Address: No.10 Jiuxianqiao Road, Chaoyang District, Beijing, 100015, China
  • Phone: +86.10.64318888

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