Government subsidies accounted for 36.24% of net profit. Sanan Optoelectronics reported gross profit of nearly half a percentage point.

Sanan Optoelectronics (600703) released a semi-annual report. In the first half of the year, it achieved sales revenue of 2.778 billion yuan and net profit attributable to shareholders of listed companies of 966 million yuan. Compared with the same period of last year, sales revenue increased by 21.25% and belonged to shareholders of listed companies. Net profit increased by 6.89%.

However, the company's non-recurring gains and losses in the first half of the year amounted to 324 million yuan, including the current government subsidy amount of 348 million yuan. Net profit attributable to shareholders of listed companies, net of non-recurring gains and losses, decreased by 9.49% year-on-year. The data shows that the current government subsidies accounted for 36.24% of the net profit, more than 30%; indicating that the company's profitability is in a downward state.

At present, the company has about 276 sets of MOCVD equipment (converted into 2 inches and 54 pieces), and has already put into production of 256 sets, of which about 80 sets are gradually opened during the reporting period.

During the reporting period, the company's investment project capacity was gradually released, the product price decreased significantly compared with the same period of last year, and the cost also decreased. The company's production cost in the second quarter failed to achieve the expected results, resulting in the company's second quarter. Interest rates have fallen.

In terms of specific business, the company's LED chip and product sales revenue in the first half of the year was 2.508 billion yuan, and the gross profit margin of the product was 32.60%, a year-on-year decrease of 11.81 percentage points. In terms of the company's wholly-owned subsidiary, Luminus suffered a loss in the first half of the year, with a loss of 14.439 million yuan and a revenue of 91.321 million yuan.

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