The Zhitong Finance App learned that the decline in mobile phone equipment stocks widened in the afternoon, with blue chip Shunyu Optics (02382) falling more than 5%. TrendForce downgraded the estimated number of mobile phone shipments this year to 1,333 million units, and it is not ruled out that there is room for further reductions. SPDB International believes that camera module manufacturers' shipment volume guidelines for the first half of the year were under pressure. As of press release, Shunyu Optical Technology (02382) fell 5.23% to HK$96.85; Tongda Group (00698) fell 7.03% to HK$0.119; BYD Electronics (00285) fell 3.92% to HK$13.74; Gaowei Electronics (01415) fell 5.26% to HK$7.21; Qiu Tai Technology (01478) fell 2.77% to HK$4.92.

Recently, consulting agency TrendForce's latest report lowered the estimated number of mobile phone shipments this year to 1,333 million units, and it is not ruled out that there is room for further cuts. TrendForce estimates that domestic mobile phone shipments will drop from about 325 million last year to 283 million, a year-on-year decline of 12.9%. Meanwhile, its market share will drop from 24.2% last year to 21.1% this year.

This week, SPDB International commented that in the second quarter, optical camera supply chain manufacturers all felt weakness on the demand side of smartphones, so shipments and revenue of smartphone-related products were relatively weak in April. Weak demand for smartphones will not improve significantly in May and June, so we think that the camera module shipments of Shunyu and Qiu Tai in the first half of this year will be under pressure to catch up with the annual shipment guidelines.