Ovation’s announcement on the evening of the 25th, almost solidly kicked itself out of the Apple industry chain?
Ovation’s subsidiaries “really want to sell”
4 subsidiaries packaged for sale, assets over 10 billion
On the evening of the 25th, Ovation, the white horse of Apple chain, disclosed that there were media reports that Guangzhou Delta Imaging Technology Co. After verification by the company, the above media report is untrue. As of the date of this announcement, the company and its subsidiaries have not signed any agreement or reached any preliminary intention with Lixun Precision.
In addition, the key information came, the company also announced that it is planning to sell all or part of the assets of the relevant subsidiaries, the scope of the above-mentioned subsidiaries does not exceed: Guangzhou Delta Imaging Technology Co.
What does it mean? The netizens of the stock bar have given the key points. Ou Fei Guang: I am going to sell the factory, but not to Lixun, you media got it wrong, I am not just selling a factory, I am selling several factories, you got it wrong! The report is not true. I also sold the apple business, please remove my apple concept, thanks
In November 2016, Ovation acquired Sony Electronics South China Ltd. from Sony at a price of 1.58 billion yuan, when Sony owned 50% of Apple’s front camera and 10% of the market share of the rear camera, and it was this factory that was responsible for the related production.
With this acquisition, Ovation successfully cut into Apple’s optical lens supply system, and the factory was subsequently renamed Ovation Imaging. In 2019 and the first half of 2020, Ovation Image Guangzhou contributed nearly 10% of revenue and 21% and 35% of net profit to the listed company Ovation.
The data also shows that as early as November 20, 2020, Ovation Imaging has changed its name to Guangzhou Delta Imaging Technology Co. Ltd. In terms of shareholding structure, Ovation Imaging is still 100% owned by Ovation Group.
The announcement shows that Ovation also said that it is planning to sell all or part of the assets of relevant subsidiaries, the scope of which does not exceed four subsidiaries: Guangzhou Delta Imaging Technology Co. Up to now, the operation of Ovation is normal and there are no significant changes in the internal and external business environment.
As of the end of 2019, among the above four subsidiaries, Guangzhou Delta has total assets of RMB 3.184 billion, net assets of RMB 1.224 billion, revenue of RMB 5.121 billion and net profit of RMB 110 million in 2019.
Jiangxi Huiguang, with total assets of 1.971 billion yuan and net assets of 1.067 billion yuan, will have revenue of 2.512 billion yuan and a net profit loss of 13 million yuan in 2019
Nanchang Oufi with total assets of 4.713 billion yuan, net assets of 835 million yuan, revenue of 2.865 billion yuan and net profit loss of 92 million yuan in 2019
Jiangxi Jingrun has total assets of 1.471 billion yuan, net assets of 638 million yuan, revenue of 864 million yuan and net profit of 13 million yuan in 2019.
Roughly calculated, the above four subsidiaries have combined assets of about 10 billion, contributing a total of 11.362 billion yuan in revenue to Ovation in 2019, accounting for 21.86% of its total revenue for the period (51.974 billion yuan).
Three days cumulative drop of more than 20%
On the evening of January 22, Ovation released a preview of its 2020 annual results, in which the company expects to earn between RMB810 million and RMB910 million for the period, an increase of 59%-78% year-on-year, with an increase in net profit of between 123% and 168% for the deduction.
In the announcement, Ovation said that the company’s optical imaging business maintained rapid growth, optical lens production capacity and shipments continue to improve; at the same Time, the company benefited from the increase in orders from some large customers and tablet PC sales growth and independent development of Android touch business, profitability improved significantly.
On January 25, Ovation’s share price fell again, down 6.40% to $11.12 by the close of trading, with a turnover of 1.644 billion yuan, a cumulative drop of more than 20% in three days.
On September 1 last year, it was reported that Apple had removed Ovation from its supply chain list, and most of Ovation’s touch orders had gone to Lance Technology. On that day, Ovation’s share price fell sharply, while Lanshi Technology achieved a big rise.
Market analysis believes that Apple’s actions are mainly to cultivate more manufacturers in the mainland as the supply chain “catfish” to achieve the role of efficiency. With last year’s Apple Air Pods headphones hot sales, Lixun Precision and Goer shares to become the main Air Pods foundry, BYD Electronics also in the Apple iPad assembly business is growing rapidly.
As of the latest data, there are 370,000 shareholder households behind Ovation.
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