Main points of investment:
Event: the company announced on July 26 that Ored subsidiary and Gangyan Energy Saving signed a contract order for 600 sets of single crystal furnace equipment, with a contract value of 720 million yuan, accounting for 53.47% of the company's 2015 revenue, with a two-year implementation period. the company's revenue is expected to increase by about 300 million yuan in 2016.
Steel research energy-saving follow-up sapphire equipment orders are worthy of attention. Gangyan Energy Saving has not yet officially launched the specific business, and is currently promoting the implementation of the sapphire project according to the overall plan of Xinye Group, the main shareholder. The sapphire investment project of Xinye Group was launched on October 23, 2015, and has successively started construction in Handan City, Hebei Province, Ordos City, Inner Mongolia, Guanxian County, Shandong Province and other places. Lanzhou New area China Steel Research artificial Sapphire Project covers an area of 350mu, with a total investment of 2.5 billion yuan. The project is expected to complete infrastructure construction by the end of November 2016, complete the first phase of equipment installation in February 2017, and achieve trial production in March 2017. We believe that with the orderly implementation of Xinye Group and domestic sapphire investment plans, Ored is expected to get more orders for single crystal furnaces.
The leading position of sapphire equipment supplier has been confirmed. In our previous in-depth report, we pointed out that Ored is the only sapphire company in China that sells single crystal furnaces in bulk. The 85kg single crystal furnaces signed in this contract are already Ored's mature products, and this level of sapphire crystals can be used to produce a variety of products, including the most popular smartphone window protector. The company successfully developed 230kg high-quality sapphire crystal in June this year, which is the fourth reported company to successfully grow this heavy-grade large-size sapphire crystal, and the leading position of sapphire equipment supplier has been confirmed.
Pay attention to the orders of sapphire processing equipment, ceramic materials and 3D hot bending machine. With the acquisition of Singapore Airlines Technology at the end of last year, Ored entered the field of sapphire processing equipment and completed the layout of the whole sapphire industry chain. At the same time, the company announced changes to the limited business scope of the wholly-owned subsidiary Ored, adding new businesses such as ceramics, glass hot bending, LED, in-depth layout of new consumer electronics appearance materials and related processing equipment, and looking forward to the company's follow-up orders on sapphire processing equipment, ceramic materials and 3D hot bending machines.