TCL Multimedia’s sales in the first quarter achieved the largest increase in the past five years. LCD TV sales volume was 6.37 million units

TCL Multimedia (01070) announced the performance progress of the first quarter of 2018. The sales scale has achieved the largest increase in the past five years. The Chinese market has stabilized and rebounded, and the overseas market has grown strongly. The product structure continued to improve, and the average selling price of independent brands continued to increase.

Gross profit margin increased steadily, expenses continued to be under control, and profitability increased significantly. The Group’s sales volume of liquid crystal display (LCD) TVs was approximately 6.37 million units, a significant year-on-year increase of 35.6%, the largest increase in the past five years .

The sales volume of LCD TVs in the Chinese market has stabilized and rebounded, rising by 9.6% year-on-year to approximately 2.43 million units; LCD TV sales volume in overseas markets continued to grow strongly, up 58.7% year-on-year to approximately 3.94 million units. The group's turnover was approximately HK$10.85 billion, a year-on-year increase of 28.0%, the largest increase in the past five years. Gross profit increased by 28.8% year-on-year to approximately HK$1.72 billion.

Thanks to the continuous improvement of product strength and product structure, the average selling price of the group's independent brands has continued to increase. The average selling price of independent brands in the Chinese market and overseas markets (excluding ODM business) has increased by 9.8 year-on-year respectively. % And 6.5%.

The group's gross profit margin increased steadily, with a year-on-year increase of 0.1 percentage point to 15.8%, of which the gross profit margin of the Chinese market and overseas markets increased by 1.6 and 0.7 percentage points respectively. Expenses continued to be under control, and profitability increased significantly. The total number of active users of TCL smart TVs in history is 25,588,100, and the average daily number of active users in March 2018 was 12,058,700. Internet business revenue increased significantly.

According to the latest data from IHS Technology and the company’s shipment data, the Group’s global LCD TV market share in 2017 was 10.9%, ranking third; according to the omni-channel data of Zhongyikang, the Group ranked third in 2018. In the first quarter, China's LCD TV market share continued to rise to 12.1%, ranking third. According to the report by Zhongyikang, TCL's LCD TV brand price index in the Chinese market in the first quarter of 2018 rose to 109 from 95 in the same period last year, ranking first.