Breaking new energy fields
The main reason for the divestiture of new energy assets is continued losses. According to the announcement issued by Foshan Lighting, Foshan Lighting invested 25.5 million yuan in August 2010 with a number of companies to jointly establish Qinghai Foshao Lithium Electrode Materials Co., Ltd. (hereinafter referred to as "Foshan Lithium Battery Company"), accounting for 51%. However, since the establishment of Fossil Lithium Battery Co., Ltd. has not achieved normal production and operation. As of the end of 2012, the net profit loss reached 11.1336 million yuan, and the net profit loss in the first quarter of this year was 606,100 yuan.
In order to further promote the development of lithium battery new energy business, Foshan Lighting established the Guangdong Fo Zhao Guo Xuan Power Battery Co., Ltd. (hereinafter referred to as “Hefei Guoxuanâ€) with Hefei Guoxuan Gaoke Power Energy Co., Ltd. (hereinafter referred to as “Hefei Guoxuanâ€). "Fo Zhao Guo Xuan"), but this move did not improve the new energy business situation, but to make Foshan lighting add a burden. It is understood that as of the end of 2012, Fo Zhao Guo Xuan accumulated losses of 13.85 million yuan.
The cancellation of the two subsidiaries and the transfer of equity also mean the failure of Foshan Lighting in the new energy strategy. In the opinion of industry experts, the failure of Foshan Lighting to deploy new energy is closely related to the overall poor market. At present, almost all enterprises engaged in power batteries are losing money, mainly because power batteries are currently in a small scale in China, mainly relying on government subsidized projects, and local governments tend to favor local companies.
Diversified failure regression lighting
Foshan Lighting has been divesting its other businesses in recent years, and has only carried out four business divestitures in the past year. According to the Foshan Lighting Announcement, in June 2012, Foshan Lighting transferred 18.5% of the equity of Shenzhen Shike Venture Capital Co., Ltd. for 22.2 million yuan, and at the same time cleared and canceled its subsidiary Guangdong Foguang New Light Source Technology Co., Ltd. In August, it announced that it will transfer its 17.21% stake in Hefei Guoxuan for 256 million yuan. In October, the entire share capital of Foshan Gaoming Fuwan Shanshui Leisure Resort Co., Ltd. was sold for 317 million yuan.
Foshan Lighting abandoned its diversification strategy and slimmed down mainly because the diversification strategy was less effective than expected. It is understood that Foshan Lighting before the acquisition of Hefei Guoxuan, the other side has promised Hefei Guoxuan from July 2010 to the end of June 2013, the average annual profit of 100 million yuan. However, the actual net profit of Hefei Guoxuan in 2010 and 2011 was 22.67 million yuan and 56.31 million yuan respectively. In addition, Foshan Gaoming Fuwan Shanshui Leisure Resort Co., Ltd. was sold because of its long-term loss.
Some insiders pointed out that the diversification of Foshan lighting has been somewhat blind. The rapid rise of the LED industry has led to the transformation of all lighting industry companies, while Foshan lighting has been slightly slow, and began to turn to LED in 2009. While other companies are vigorously promoting the development of the LED industry, Foshan Lighting is deeply rooted in the field of lithium-power batteries. It turns out that it is unrealistic for Foshan Lighting to turn the lithium-power battery business into a new source of performance for the company.
Strategic adjustment is difficult
It is understood that the divestiture of the lithium-power battery business is the first major adjustment after the new chairman of Foshan Lighting, Pan Jie, just took office. At the same time, it was also seen by the industry as Pan Jie’s total denial of the previous Foshan lighting lithium battery strategy.
For the divestiture of loss-making new energy assets, it seems to the industry that Foshan Lighting is undergoing a new round of strategic adjustment. On the one hand, it can reduce the company's losses, on the other hand, it can let the company's energy concentrate on the lighting business, thereby reducing operating costs and achieving the goal of reducing costs and increasing efficiency.
It is worth noting that Pan Jie is not a veteran of Foshan Lighting, but an "airborne soldier" who previously worked for General Motors. This has also raised concerns among some insiders. He pointed out that Pan Jie lacks the operational experience of the domestic capital market and may have certain disadvantages in the local strategy.
In addition, as an emerging industry, LED lighting will inevitably replace traditional energy-saving lamps into the mainstream of the market. Prior to this, it was pointed out that the LED industry will usher in a growth period in the next 5-8 years, and overcapacity will continue to accompany. More than 7,000 LED companies in China will also ignite the LED industry. In the eyes of the industry, in this context, Foshan Lighting chose a new coach who lacks experience in domestic capital market operations and is radical in corporate strategy adjustment. It is a blessing for Foshan Lighting.
(This article is reproduced on the Internet. The texts and opinions expressed in this article have not been confirmed by this site, nor do they represent the position of Gaogong LED. Readers need to verify the relevant content by themselves.)
Compared with large complex thin - wall castings, civil products have lower requirements on casting quality. However, for the latter, shorten the production cycle, improve the production efficiency of the problem becomes more prominent. The gelation process of common silica sol mainly depends on the dehydration and drying of silica sol, which takes longer time than the gelation of chemical hardening ethyl silicate. Ethyl silicate shell using ammonia dry each layer can be completed in 2h, and the final hardening of silica sol generally takes more than 12h, for some deep holes and other difficult to dry parts of the need for a longer time. At the same time, because the Investment Casting shell needs to be made in layers, each layer needs to be fully dried, to ensure that the lower shell immersion coating will not cause the problem of remelting off, and immersion coating itself, water will be immersed in the dried shell, resulting in a long overall drying cycle. It is a schematic diagram of the production cycle of silica sol shell investment casting under general conditions. As can be seen from the figure, shell making time accounts for more than 50% of the whole casting production cycle. To shorten the delivery time and shell making cycle is the core of the problem. The key factors to shorten the shell-making period can be divided into two aspects: internal cause and external cause. The main internal cause is the characteristics of the binder, and the external cause is the drying condition.
Silica Sol Casting industry in China is developing rapidly and its application is also very extensive.
Tianhui Machine Co.,Ltd , https://www.thcastings.com