In the product line, the three major product lines of DunTai currently include three major product categories: panel driver ICs (DDI), touch ICs, and integrated drive touch ICs (IDC). Last year, there were also some fingerprint identification products. However, the volume is still small. Based on the proportion of revenue from last year, DDI accounted for about 40%, followed by touch IC accounted for about 30%, and IDC accounted for about 30%.
In the DDI segment, Duntai's products are mainly small-size LCD panels. They are mostly used in smart phones and are supplied to panel makers. They are mainly BOE and Tianma, and their brand customers are land-based mobile phones, such as Huawei, OPPO, VIVO et al. As the mobile phone market has become saturated, the slow declining trend is unstoppable. Duntai also said that this year's first look at the same level as last year or a small recession.
Touch ICs are divided into two types, Out-cell and Full In-cell. Out-cells are used to fit the panel module and the touch module. This year's shipments ranged from 300 to 3.5 million units. Full In-cell puts IDC directly in the panel LCD, which is more lightweight. With the increasing proportion of mobile phone screens, the space under the original mobile phone is reduced. Therefore, DNT believes that Full In-cell will gradually become The mainstream, IDC shipments will also rise. In this trend, Duntai also believes that the traditional Out-cell shipments should decline by about 20 to 25%.
The so-called IDC integrates the driver ICs and touch ICs in a single chip, which is also known as TDDI in the market. IDC of Duntai is an FHD standard mainly used in LTPS panels, used in mid to high-end mobile phones. The other is HD specifications for a-Si panels. Terminals are mid- to low-end phones. The application of both is about half.
IDC accounted for Duntai’s revenue of 30% last year, with shipments of 62 million units and market share of approximately 35 to 40%, second only to 50% of Synaptics in the United States. Duntai said that currently In addition to the original customer's orders, the demand for new customers is also obvious. Therefore, it is expected to ship more than 100 million units this year, which is expected to account for 50% of the revenue, which is the largest kinetic energy this year.
The legal person cares that TDDI’s plans to launch TDDI into the mobile phone market will swallow up the market share of Duntai. However, Duntai said that since the panel maker hopes to unify the IC pin specifications this year, the panel can be used at any time to replace ICs. Currently in the panel of FHD, the United States Xinsi does not want to adopt a unified specification, but Duntai, United is willing to, so this year, Duntai and United have the opportunity to share the market share of the new thinking. In addition, Duntai also believes that despite IDC The ASP has indeed declined slightly due to pressure from competitors. However, due to the fact that Full In-cell is becoming more popular this year and the market is becoming larger, the overall revenue growth this year can still be expected. The gross profit margin is to consolidate new products by reducing costs.
In addition, in the product line of fingerprint identification, Duntai is still in its infancy, and its shipment volume is still small. It can be divided into two types, capacitive and optical. In the past, it was mainly capacitive. In the beginning, an optical fingerprint identification scheme under the screen was introduced. , Support for multi-point fingerprint recognition under the screen, can be applied to mobile phones with AMOLED and LCD panels. The technology is to use infrared light receiving. In addition to identifying fingerprints, it can even carry blood sugar, blood pressure and heart rhythm and other non-invasive physiological measurements. Duntai It is said that all solutions on the market today can only be equipped with AMOLED panels. Since LCDs are opaque panels, it is difficult to use light to identify them. The 5.5-inch cell phone equipped with 3 units will be capable of full-screen recognition. High-end mobile phone models entered the market, is expected to see the fastest aircraft models next year.
As for other applications, such as wearables, vehicles, home appliances, industrial controls, etc., but the amount is not large, such as the car is locked in the front loading market, such as dashboard, central control panel, etc., the current monthly production capacity is less than 1KK In the second half of this year, there should be moderate growth.
DunTai's revenue last year was 10.798 billion yuan, a 2% year-on-year decrease. In the fourth quarter, the U.S. tax reform policy resulted in taxation of U.S. subsidiaries. The one-time income tax amounted to approximately 250 million yuan, resulting in an EPS loss of 0.28 yuan last year.
Looking forward to the first quarter of this year, as IDC shipments lasted for the last year, legal persons expected to grow 10% to 15% over the same period of last year. Looking at the whole year, corporations are expected to have 15 to 20% growth in revenue as driven by the momentum of IDC. In terms of profit, it is still necessary to observe the pressure of peer competition.