China’s leading panel manufacturers have announced promising forecasts for the first half of 2024, signaling a potential rebound in an industry that faced a downturn last year. According to Sigmaintell’s analysis, companies such as BOE and TCL CSOT are predicting substantial profit increases, while Visionox and Tianma report narrowing losses. Sigmaintell’s General Manager, Li Yaqin, forecasts a 14% year-on-year growth in the panel industry’s sales revenue.
Sigmaintell reports global display panel revenues in 2023 were $93.46 billion, down 7.6% from 2022. However, 2024 represents a turning point for the industry. BOE expects net profit to be between 21 billion RMB and 23 billion RMB ($2.91 to $3.19 billion), a 185% to 213% increase year-on-year. TCL CSOT projects net profits of 9.5 billion RMB to 10.5 billion RMB ($1.32 to $1.46 billion), a 180% to 210% year-on-year increase and Visionox anticipates a loss of 11 billion RMB to 14.5 billion RMB ($1.52 to $2 billion), an improvement of 11.27% to 32.69% year-on-year. Tianma forecasts a loss of 4.2 billion RMB to 5.6 billion RMB ($0.58 to $0.77 billion), an improvement of 60.68% to 70.51% year-on-year.
Despite the optimistic outlook, Sigmaintell’s Li highlighted two significant challenges: regional and national policy stability due to geopolitical tensions, and the ongoing conflict between insufficient demand and rising costs. These factors continue to affect consumer confidence and purchasing power, posing hurdles for sustained growth.
