“Growth may exceed our expectations due to improved production efficiency and increased demand from customers,” he said.
Apotronics, listed on China's Nasdaq-style Shanghai Star Market, supplies laser headlights, fusion window display technology, and in-vehicle infotainment screens to EV assemblers.
This technology allows smart EVs to display information on their windows, such as the temperature inside the vehicle and how far the owner is from the parked car.
Apotronics says it operates in a niche market and has no direct competitors yet.
“Driven by people's strong interest in digital cockpits, we believe that our automotive business will grow faster than the overall EV market in China,” said Li.
Apotronics posted a profit of 74.9 million yuan (US$10.5 million) in the first half of 2023, up 63% year-on-year, despite a 15.5% decline in sales to 1.07 billion yuan.
The company reported full-year sales of 2.54 billion yuan (US$355 million) in 2022, an increase of 1.7% compared to 2021, but net profit decreased by 48% to 120 million yuan.
In China, the world's largest EV and car market, where battery-powered vehicle sales account for about 60% of global sales, young motorists are heeding the Chinese government's call to reduce pollution by switching to oil. They are shunning traditional consumer cars in favor of intelligent electric vehicles. on the road.
China's clean energy sector became the biggest growth driver for the Chinese economy in 2023: CREA
China's clean energy sector became the biggest growth driver for the Chinese economy in 2023: CREA
Founded in 2006, Appotronics introduced advanced laser phosphor display (ALPD) technology in 2007, which it claims is the world's smallest, brightest, and most efficient laser light source technology.
In addition to cars, ALPDs are used in movie theaters, consumer electronics, and home projection systems.
Mr Lee said the company is pursuing opportunities overseas and demand for intelligent EVs also appears to be growing rapidly.
“We are carefully evaluating the feasibility of building a factory overseas,” he said. “When a customer asks us to localize production, we need to carefully consider manufacturing efficiency.”
China's BYD overtakes Tesla to become the largest manufacturer of pure electric cars
China's BYD overtakes Tesla to become the largest manufacturer of pure electric cars
Chinese vendors supply nearly half of the world's auto parts, accounting for a global total of 1.51 trillion yen in 2021, according to a report published last February by Beijing-based Insight and Info Consulting. It contributed 710 billion USD out of 1 billion USD.
The country's auto parts makers also dominate the EV supply chain, accounting for more than three-quarters of the world's production capacity for batteries, which account for about 40% of a typical car's price.
“China’s supply chain companies [in the automotive sector] Companies are more likely to expand globally because some products are proven to be globally unique,” said Cao Hua, a partner at Shanghai private equity firm Unity Asset Management. Ta.
“But in parallel with the transformation of the automotive industry, they will need to convince customers that their products and technologies will be accepted by drivers and passengers around the world.”
