TCL Tech forecasts strong profit growth for first half

TCL Technology Group Corp (SZSE:000100) has released a positive earnings forecast for the first half of 2025, projecting revenue between CNY 826 billion and CNY 906 billion. Net profit attributable to shareholders is expected to range from CNY 1.8 billion to CNY 2.0 billion, representing a year-over-year increase of 81% to 101%. The company's core businesses, including semiconductor display and new energy photovoltaics, are driving this growth. Specifically, the semiconductor display business is expected to achieve net profits exceeding CNY 4.6 billion, a rise of over 70% year-on-year. This growth is attributed to optimized supply dynamics in the large-size display sector and increased demand driven by premiumization and larger screen sizes. The company's acquisition of additional shares in Shenzhen China Star Optoelectronics Semiconductor Display Technology Co., Ltd., is expected to further enhance its competitive advantages. However, the performance of TCL Zhonghuan is expected to have a negative impact on the bottom line, with profits attributable to shareholders expected to be in a deficit. The company attributed that to declining prices and decreased value of stocks.