OREANDA-NEWS. August 26, 2011. The first half 2011 report released by TCL Corporation on Aug.8th showed that in the first half of year TCL Communication gained a sales revenue of RMB 3.855 billion with a YOY growth of 27.21%; net profit increased by 48.64% YOY to RMB 327 million; gross profit margin is 29.06%, which is 1.69% higher than that of the same period in 2011. The company has gained growth both in sales volume and performance during the report period through strengthening R&D capabilities, maintaining leading position in low-end markets, exploring medium to highend product markets and boosting the development of smart phones, reported the press-centre of TCL.

In terms of market structure, 17.758 million units of products were sold in overseas markets with a YOY growth of 37.67% and 1.693 million units of products were sold in Chinese market with a YOY increase of 27.39%. This shows that the market structure of the company has improved and is more rational than before.

TCL Communication said that the performance improvement of the company is partly due to the development and implementation of differentiation sales strategy. In overseas markets, the company strengthened marketing channels building, closely cooperated with operators, and actively explored potential markets to drive the steady growth of its product sales. In the Chinese market, the company reversed the declining sales to effectively boost sustained sales growth by exploring public market, enhancing sales ability, strengthening network construction, establishing close partnership with major operators to explore the domestic market.

Meanwhile, TCL Communication continued to strengthen its R&D capabilities. In February and May 2011, the company established R&D centers in Ningbo and Chengdu respectively to enable the R&D network to cover Shanghai, Shenzhen, Huizhou, Chengdu and Ningbo. With over 2000 technician and research personnel, the powerful R&D team provides great support for the company to explore high-end, smart communication business. During the first half of this year, TCL Communication has launched 57 new products, including several 3G Android products, which are very popular in the market. Independently developed by TCL Communication, ONE TOUCH 818 and ONE TOUCH 355 PLAY won Reddot Design Award: Product Design 2011, the most prestigious award in product design. This proves that the company is globally recognized for its excellence in innovation and product design.

An industrial analyst said that with slow growth of global demand for mobile phones and Japanese earthquake, it's quite remarkable for TCL Communication to achieve growth both in sales volume and performance. This growth mainly benefits from the company's strategy in exploring new and highly potential markets, the effective "product technology improvement" approach, diversified product strategy, extensive brand influence and the development of ODM business, more importantly, the improved R&D capabilities, production, operation and cost control of the company.