OREANDA-NEWS. August 26, 2011. TCL Corporation (SHZ: 000100) released its 2011 first half year report. Within the report period, the company gained a total operating revenue of RMB 27.355 billion with a YOY increase of 18.08%, of which sales revenue was RMB 26.639 billion with a YOY growth of 17.45%; net profit increased by 241.67% YOY to RMB 539 million; net profit after extraordinary items was RMB 279 million (compared to a negative 103 million in the same period last year), reported the press-centre of TCL.

During the report period, the company has continuously improved its operation efficiency and management performance, deployed market-oriented product strategy, strengthened market and network construction, and improved marketing performance to increase the internal growth rate of the company. Meanwhile, the company actively improved its ability to operate globally, deployed globalized R&D, procurement and production, and continuously enhanced its brand image and product strength to achieve comprehensive improvement of various major businesses in overseas markets.

As far as industrial sector is concerned, TCL Multimedia achieved sales revenue of RMB 11.027 billion, almost the same as the same period last year, and gained a net profit of RMB 123 million. This mainly benefited from the company's operation and marketing strategy that is focused on the "growth speed and efficiency". The company continued to adjust product structure to gradually increase the proportion of LED-backlit LCD TV and Internet TV. Meanwhile, the company strengthened building marketing channels in Chinese rural area and the network covering minor cities, to further increase brand penetration and drive the steady growth of company performance and sales volume.

With a steady growth, TCL Communication achieved sales revenue of RMB 3.855 billion with a YOY increase of 27.21%; net profit increased by 48.79% year YOY RMB 327 million, a new record in recent years. The company achieved significant sales growth in both Chinese and overseas markets. With the overall operation strategy focused on "maintaining advantages in entry-level products, strengthening powerful position in medium-end products, and enhancing R&D capabilities in 3G and Android products", TCL Communication diversified low- end to medium-end products, strengthened R&D efforts in high-end smart phones, maintained its leading position in low-end market, explored medium-to high end market, and deployed the development of smart phones so as to realize growth in sales volume and performance.

In terms of home appliance business, the company leveraged the Home Appliance to Rural Area program to effectively explore the rural market while strengthening product R&D to launch new products. Within the report period, the sales volume of air conditioners, refrigerators and washing machines were 1.94 million, 426,000 and 283,000 units, with YOY increase of 74.93%, 19.33% and 47.40% respectively.

TCL Corporation said that the company will optimize and adjust existing business portfolio to build a "4+6" new business structure, and further enhance the synergy effect of various sectors to drive coordinated development of various businesses through rational resource allocation. With the launch of the trial production of 8.5 G LCD panel production line, the company will further deploy its global LCD TV strategy to facilitate the constant and steady growth of the company.
An industrial analyst pointed out that TCL Corporation has gained steady growth in major businesses in the first half year, with significantly increased sales volume and business performance in multimedia business. In terms of telecommunication business, the company implemented the diversified development strategy themed with "complementing high-end products with low- end to medium-end products" to continue to optimize its product portfolio. In addition, the official launch of Phase 1 of the 8.5 G LCD panel production line will further enhance the comprehensive competitiveness of the company, whose performance is worth attention from investors.