These companies have won bids for major projects again, and the first annual performance forecast for the LED industry has been released...

Jinlait Subsidiary Wins 350 Million Yuan Project, with Approximately 1.2 Billion Yuan in Orders on Hand

On the evening of December 23, Jinlait issued an announcement stating that its wholly-owned subsidiary, Guohai Construction Co., Ltd. (hereinafter referred to as "Guohai Construction"), recently received the "Notification of Award" from Nanchang Hongchen Real Estate Development Co., Ltd., confirming Guohai Construction Co., Ltd. as the winning bidder for the "Nanchang Jinxian Wuyue Plaza Project S2/S3 Plot General Contracting Engineering (Bid Section I)" project, with a total project amount of approximately RMB 354 million.

Jinlaitai stated that the winning bid and implementation of this project will increase the company's proportion in the construction industry. The total project amount accounts for 35.41% of the company's audited revenue for 2019. After signing the formal contract for the winning project and implementing it smoothly, it is expected to have a certain positive impact on the company's future operating performance.

It is understood that this winning bid is the second high-value project won by Jinlaiti this year. Previously, on June 8 of this year, the company announced that a consortium composed of Guohai Construction and Dezhenshi Architectural Design Institute Co., Ltd. won the bid for the "Design and Construction General Contracting for the Facade Renovation of Buildings on Both Sides of Changhong Avenue and Underground Pipeline Project (Section I)". The total amount of this project was approximately RMB 205 million, accounting for 20.48% of the company's Revenue in 2019.

It is reported that after the recent addition of major projects, Guohai Construction now has approximately RMB 1.2 billion worth of construction project orders on hand, and the rapid development trend of Jinlait's engineering construction business is becoming increasingly evident.

Previously, in October 2019, Jinlait, which mainly operates in the fields of emergency lighting and electrical appliances, announced an Acquisition of 100% equity interest in Guohai Construction for RMB 150 million in cash. Upon completion of the transaction, the company's main business expanded to include construction services, initially establishing a dual-wheel development strategy of "small home appliances + engineering construction".

Data shows that Guohai Construction has established an engineering team with strong professional capabilities and extensive practical experience. The company holds eight construction general contracting and specialized contracting qualifications, including Grade I General Contracting for Building Construction Engineering, Grade I General Contracting for Municipal Public Works Engineering, Grade I Specialized Contracting for Building Decoration and Renovation Engineering, and Grade I Specialized Contracting for Urban and Road lighting Engineering. Its business scope covers multiple fields such as municipal infrastructure and building construction.

Since the beginning of this year, Kinlite has continuously deepened the implementation of its dual-wheel drive strategy. Meanwhile, Kinlite's performance in the engineering construction segment has begun to show initial results this year. According to the company's disclosure, Guohai Construction is expected to meet the performance commitments made at the time of acquisition on schedule, achieving revenue of approximately RMB 389 million and net profit exceeding the committed target of RMB 20 million.

As the scale of construction operations gradually expands, Guohai Construction's equipment demands continue to rise. In response, Jinlaite is also planning to enhance the development efficiency of its construction business to ensure its long-term sustainable growth.

Previously, the non-public offering plan for 2020 announced by Jinlait revealed that the company intended to raise no more than RMB 573 million, with RMB 140 million allocated to the procurement of safety and intelligent engineering equipment. By introducing advanced engineering equipment, the company aims to enhance its intelligent safety management during construction, ensure project quality and delivery, establish a refined and information-based management system, and further strengthen its overall competitiveness. More importantly, purchasing owned equipment can reduce equipment leasing expenses, lower construction costs, help improve operational efficiency, and further expand the profit margin of the engineering construction business.

Mingjiahui wins bids for multiple engineering projects

According to China Light Network, via the Huangshan Public Resource Trading Center, Mingjiahui has recently won the bid for the Smart Lighting Street Light Project in the Yanghu Area of Jiangnan New City, Tunxi District, Huangshan City, with a transaction amount of approximately 48.767 million yuan. The winning bid includes design of construction content, equipment procurement, engineering construction, project completion acceptance, project management, post-construction testing (trial operation), commercial operation and handover for use, as well as the provision of other related services.

Mingjiahui also issued an announcement stating that, as previously disclosed, the consortium formed by the company and Beijing Tsinghua Tongheng Urban Planning & Design Institute Co., Ltd. was the winning bidder for the "Urban Central Living Room Nighttime Economy Environment Creation Project."

On December 22, 2020, the consortium members signed the "EPC Contract for the Night-time Economy Environment Creation Project of the Urban Central Living Room" with the Comprehensive Service Center for Urban Management of Chancheng District, Foshan. The contract amount is RMB 288 million. Mingjiahui stated that the construction and installation fee for the project won by the company is RMB 279 million

This project creates a nighttime economic environment for the city's central reception area, covering approximately 31,806 m². It mainly involves lighting and nightscape upgrades for core urban parks such as Lingnan Pearl Gymnasium, Wenhua Park, Asian Art Park, and the TV Tower, as well as buildings along Jihua Road and other extended roads.

In addition, Mingjiahui is planning to issue shares to purchase assets. The company and relevant parties are actively advancing the work related to this transaction, and further negotiations, demonstrations, and confirmations regarding the transaction plan are underway. Therefore, the company's stock will remain suspended from trading. It is reported that Mingjiahui intends to acquire a 52% equity stake in Aite Micro (Zhangjiagang) Semiconductor Technology Co., Ltd. by issuing shares, and simultaneously plans to raise matching funds by issuing shares to no more than 35 qualified specific investors. From the perspective of Mingjiahui's main business, if the transaction is completed, Mingjiahui will cross over into the semiconductor industry.(Related articles: Valmont, Lutron price increases | Trading suspension for acquisition, Mingjiahui aims to cross into semiconductors | Sanan Optoelectronics, Huati, etc. receive government subsidies)

PCCOOLER and its subsidiaries received a total of 2.8031 million yuan in government subsidies

PCCOOLER announced that from October 2020 to the date of this announcement, the company and its subsidiaries have cumulatively received government subsidies totaling RMB 2.8031 million. The subsidies are based on the Shenzhen Longgang District Economic and Technological Development Special Fund, the Implementation Measures for Interest Subsidies on Loans to Small and Medium-sized Micro Enterprises in Response to the Novel Coronavirus Pneumonia Epidemic in Shenzhen, the Action Plan for Implementing the Doubling Plan for Technological Transformation to Expand Effective Industrial Investment in Shenzhen, and other small subsidies.

HC Semitek expects full-year net profit to be RMB 16 million to RMB 24 million

HC Semitek released the first 2020 annual performance forecast in the lighting industry. The company expects a net profit of RMB 16 million to RMB 24 million for the full year, compared to a loss of RMB 1.05 billion in the same period last year.

Regarding the reasons for the change in performance, HC Semitek stated that during the reporting period, benefiting from the strategic transformation and adjustment of its product portfolio, the proportion of Mini LED chips, high-end backlighting, and high luminous efficacy products increased. The product structure adjustment achieved significant results, leading to a notable improvement in product gross margin and net profit, enabling the company to turn losses into profits.