OREANDA-NEWS. March 12, 2012. TCL Corporation (000100.SZ) released its 2011 annual report. For the reported period, the company achieved RMB 60.834 billion in operating revenues, up by 17.28% year-over-year. Of this, sales revenues totaled RMB 59.448 billion, marking a year-over-year increase of 18.30%. Net profit totaled RMB 1.671 billion, up by 253.73% over the previous year. Operating profit distributable to shareholders of TCL’s listed companies reached RMB 397 million (compared with – RMB 233 million last year), reported the press-centre of TCL Corporation.

TCL Corporation ascribed the distinct improvement in its overall corporate competitiveness to its heightened efforts in enhancing its industrial, technical and globalized operation capacities. In 2011, the Corporation attempted to improve its integrated competitiveness for the future, which included the establishment of a new 3D strategy model, and optimization of its existing industrial structure by building a new “4+6” industrial structure. These efforts further defined its business structure and significantly improved synergistic effect.

In order to strengthen performance in individual sectors in 2011, TCL Multimedia adhered to an operation and marketing strategy spearheaded by “speed and efficiency”, focused on improving product competitiveness, and noticeably increased the sales of its TV sets. 10.86 million LCD TV sets were sold, up by 45.5% year-on-year. This made TCL the first Chinese company to sell more than 10 million TV sets. Display Search’s latest data shows that TCL accounted for 4.9% of the global LCD TV set market in 2011. Its market ranking was up to 7th place from 10th in the previous year. In 2011, TCL achieved sales revenues of RMB 27.252 billion in the multimedia electronic industry, which was up by 16.19% over 2010. With a net profit of RMB 387 million, the company reversed its losses and became profitable. In particular, TCL not only made a remarkable sales performance, but also did well in new technology R&D and brand improvement: TCL won the Smart Cloud TV of the Year Award at 45th CES on January 10, 2012. For consecutive years, TCL was among the China's Top 50 Consumer Electronics Brands and ranked 6th in the world’s top TV brands. For the 4th consecutive year, TCL was selected among China’s TOP 10 Consumer Electronics Brands.

TCL Communication adopted a product strategy of “maintaining advantages in low-end products, consolidating the lead in medium-end products, improving the ability to develop 3G and Android products, enhancing the sales position in advantageous markets and actively making market breakthroughs for China and the Asia/Pacific market”. This ensured the sustainable, stable growth of sales for the company. In 2011, the company sold a total of 43.60 million mobile phones and other products, up by 20% over 2010. For the reported period, TCL Communication achieved RMB 8.813 billion in sales revenues, up by 16.35% over 2010. Net profit reached RMB 661 million, up by 8.29% year-over-year.

TCL Home Appliances Group has pushed product development and expanded sales channels, achieving substantial increases on main products such as air conditioners, refrigerators and washing machines. For the reported period, sales revenues reached RMB 6.503 billion, up by 59.99% year-on-year.

The 8.5-generation LCD Panel Project of China Star Optoelectronics Technology, progressed well, over-achieving all set targets. China Star Optoelectronics Technology has set the record of achieving the shortest construction period and fastest mass production among similar projects. By the end of the reported period, it reached a production capacity of 18,000 glass panels per month. In January 2012, it brought overall yield rate to 82.37%. On February 21, China Star Optoelectronics Technology announced the successful development of “China Star”, which is the world’s largest 110-inch 4x HD 3D LCD screen, marking a historical step in the development of displays in China. This is also an epoch-making display technology breakthrough in China, making China the third nation to grasp high-end display technologies after Japan and South Korea.

In addition, TCL has also strengthened management, product optimization and sales expansion in six business groups, including Real Estate Group and Highly Information Industry, which has prompted stable business growth.

In 2012, according to TCL Corporation, TCL Multimedia will continue to fully develop its vertical integration for R&D matching, cost control and supply assurance in the LCD industry, as well as integrating all leading technologies, analyze and grasp consumer demand and technological trends, design and plan creative products in advance, and meet the needs of industrial revolutions and consumption upgrading. Its target is to sell 13.8 million LCD TV sets in 2012, up by 27.1% over 2011. In the coming year, TCL Communication will continue to sustain growth with Chinese business and smart phone sales becoming the main driving force. China Star Optoelectronics Technology plans to reach the full production capacity of 100,000 glass panels per month by the end of 2012 and achieve a yield rate of 92%. The company expects continued periodic adjustment in the panel industry in 2012. However, lack of new production capacity in the industry means that supply and demand will gradually reach a balance.