Source: CHEAA-run China Appliance
TCL Group released its 2017 Annual Report on April 12th 2018. According to the report, TCL Group posted revenue of 111.58 billion RMB in 2017, up by 4.79% year-on-year from 106.47 billion RMB of 2016, net profit attributable to shareholders of the listed company 2.665 billion RMB, up by 66.32% year-on-year from 1.602 billion RMB of 2016. Sales revenue of TCL Multimedia grew by 22.4% year-on-year, while its net profit surged by 345.7% in year-on-year terms. Its annual sales volume of LCD TVs came to 23.774 million units with a growth of 15.9%, of which sales volume of Internet-capable smart TVs reached 15.127 million units with a rise of 34.8% year-on-year. Outperforming industry average domestically in 2017, TCL saw an exciting overseas track record too, with total sales from overseas market growing by 33.5% year-on-year and sales in North America and Brazil doubled. According to data from HIS Technology, TCL sat third globally by market share of LCD TVs in 2017, with a proportion of 10.9%.
In 2017, TCL Communication saw its sales volume plunge by 36.2% year-on-year to 43.876 million units, causing a significant loss. TCL blamed this to the continued sluggishness of overseas mobile phone market, fiercer market competition and TCL’s restructuring of its business. Losses from TCL’s communication business are projected to reduce following TCL Communication’s move of selling a stake of 49% to strategic investors with strong industry background and business resources in September 2017. The equity transfer was completed in October last year. As the company steps up its efforts in organization restructuring, efficiency improving and cost cutting, and business cooperation mode refining, its performance improves in the beginning of 2018 with losses significantly reduced.
TCL also released its forecast for Q1 of 2018, estimating net profit for this period at the range of 750 million RMB-850 million RMB, up by 12%-26% compared to a year ago.