Briefing on the Operation of Large-Scale Enterprises in the Lighting Industry from January to August 2024

From January to August 2024, the overall economic operation remained stable, and policy effects continued to emerge, industrial production in the lighting industry maintained steady growth, and the export delivery value of large-scale lighting enterprises was better than that of the same period last year. However, the domestic and international environment was complex and changeable, affected by multiple factors, corporate operating conditions declined slightly; the output of electric light sources decreased, while the output of luminaires and lighting devices continued to rise. This article provides a brief analysis of the development of large-scale lighting enterprises from January to August 2024.

According to data from the China National Light Industry Council, from August 2023 to August 2024, among the business climate indices for lighting enterprises above designated size , only export performance remained stable, while other indices continued to decline. The export climate index gradually rose from the cooling zone to the stable zone, increasing by more than 18 percentage points in August this year compared to the same period last year. This reflects that the strategy of actively expanding into overseas markets by China's lighting enterprises above designated size has achieved certain results, gradually emerging from the shadow of the pandemic years. However, the CNLIC Climate Index, Revenue climate index, and profit climate index remain in the downward range. They briefly rose to the stable zone in February and April this year, but then continued to slide, lingering in the cooling zone. The downward trend of the profit climate index is the most obvious, dropping to the overly cold zone in August this year, down by nearly 11 percentage points compared to the same period last year.

Note: The Climate Index is an index scientifically compiled by the China National Light Industry Council based on figures such as revenue and profits of enterprises above designated size in various industries .

In the first eight months of this year, the cumulative growth rate of industrial value-added for enterprises above designated size increased by 7.5 percentage points compared to the same period last year, with a year-on-year increase of over 4% in August alone. Month by month, the industrial value-added of enterprises above designated size has shown a fluctuating trend over the past year, reaching peaks only in November and December last year and April this year, before gradually declining. The growth rate of industrial value-added remained stable from May to July, but slowed down in August.

Regional distribution of electric light source production by enterprises above designated size in the first 8 months of 2024

From January to August 2024, the production of Electric light source by large-scale lighting enterprises declined, dropping by nearly 22% Year-on-year (YoY). Zhejiang Province ranked first in Electric light source output, accounting for 29% of the national total, with a Year-on-year (YoY) decrease of over 28%. Guangdong, Jiangxi, Hunan, and Fujian ranked second to fifth in output. Among them, the output in Guangdong, Jiangxi, and Fujian decreased by approximately 6%, 22%, and 73% Year-on-year (YoY), respectively; Hunan saw a Year-on-year (YoY) increase of nearly 92%.

Regional share of Export delivery value of luminaire manufacturing by large-scale enterprises in the first 8 months of 2024

By production region, Guangdong's export delivery value of luminaire manufacturing accounts for 50% of the national total, ranking first, with a year-on-year (YoY) increase of over 6%. Zhejiang (up nearly 6%), Jiangsu (up over 9%), Fujian (down nearly 1%), and Jiangxi (up over 4%) rank second to fifth respectively.

Revenue situation of luminaire manufacturing enterprises above designated size from January to August 2024

According to incomplete statistics, the number of luminaire manufacturing enterprises above designated size increased by nearly 3% in the first eight months of 2024, among which luminaire manufacturing enterprises had the highest year-on-year (YoY) growth (nearly 4%). Revenue remained basically flat compared to the same period last year; total profit decreased by about 3% year-on-year (YoY), which is 4.5 percentage points lower than the growth rate of total profits of industrial enterprises above designated size nationwide. The number of loss-making enterprises and the amount of losses incurred by loss-making enterprises both increased by 3% year-on-year (YoY). Month by month, the profit margin of luminaire manufacturing enterprises above designated size generally showed an upward trend, only dropping slightly after reaching a peak in May, remaining stable in July-August, basically above 5%, representing a certain improvement compared to the beginning of the year.

The total profit of large-scale enterprises manufacturing special-purpose equipment for lighting fixtures decreased by 2% year-on-year, while revenue increased by over 10%. The number of loss-making enterprises decreased by more than 15% year-on-year, and the total losses of these enterprises increased by over 136% year-on-year.