Bourne Optical Holdings Limited (Bourne Optics) plans to list on the main board of the Hong Kong Stock Exchange, with co-sponsors JPMorgan Chase & Co, HSBC and China International Capital Corporation.

Smart device appearance structure and module solutions rank first in the industry

The market size of glass used in the global smartphone appearance structure and module solutions industry by shipping value will grow at a CAGR of about 11.9% from 2015 to 2020 and is expected to reach US $16.52 billion by 2025. On the contrary, the market size of the industry's use of plastics and metals will continue to decline.

Founded in 1987, Bourne Optics is the world's leading provider of smart device appearance structure and module solutions. The company mainly produces glass panels, glass back panels, touch modules, fingerprint sensor modules and luxury brand mechanical watch covers. Its products are used in smartphones, tablets, AR and VR glasses and cars. At present, Bourne Optics has 239 utility model patents, 20 invention patents and 1 design patent in China.

Bourne Optics ranks first in the global smart device appearance structure and module solutions industry by shipping value in 2020, with about US $4.299 billion, accounting for 17.6% of the market share.

Bourne Optics is currently the world's largest manufacturer of glass panels. Manufacturers of brand mobile phones such as Apple Inc, Samsung, XIAOMI and Lenovo are all their customers, with a global market share of more than 60%. The total annual output value of the two major production bases in Shenzhen and Huizhou is as high as 30 billion yuan.

Achieve a 70% profit increase by leap

For the years ended March 31, 2019, 2020 and 2021, Bourne Optics's income was HK $31.622 billion, HK $27.463 billion and HK $29.913 billion respectively, while Bourne Optics's annual profits were HK $1.544 billion, HK $1.85 billion and HK $3.16 billion, respectively, an increase of 19.9% and 70.80% over the same period last year, of which the profits attributable to the company's equity shareholders were HK $1.544 billion, HK $1.856 billion and HK $3.158 billion respectively.

For the years ended March 31, 2019, 2020 and 2021, Bourne Optics had gross margins of 22.2%, 25.0% and 27.2%, respectively.

The gross profit margin of electronic components sales is basically the same as that of Lance Technology, leading in the industry.

As at the latest practicable date, Bourne Optics is 51% owned by Yang Jianwen, executive director and controlling shareholder of Bourne Optics, and 49% owned by Lin Huiying. Bourne Optics is a related person of our company.