Analysis of Operating Performance Data of Listed Companies Primarily Engaged in the LED Industry in 2025
In 2025, the operating performance of 57 listed companies primarily engaged in the LED industry recorded modest growth. According to their annual financial reports, these companies collectively achieved total operating revenue of RMB 194.355 billion, representing a slight year-on-year increase of 6%. More than 60% of the companies maintained positive revenue growth, indicating that the industry as a whole continued to demonstrate a certain level of resilience. However, driven by ongoing industrial transformation and upgrading, differences in performance among enterprises have become increasingly pronounced. Growth is no longer broadly distributed across the sector but has become highly concentrated among companies with advantages in technology, sales channels, or specialized market segments.
From a profitability perspective, although total industry revenue approached RMB 200 billion, overall earnings performance did not improve accordingly. Net profit for LED-focused enterprises reached RMB 7.871 billion, reflecting a year-on-year decline of 9.87%. More than 60% of companies remained profitable; however, a small group of leading enterprises, including Bull Group, AMEC, Xingyu Automotive Lighting Systems, and OPPLE Lighting accounted for 86% of total net profits among the listed LED companies. Meanwhile, traditional industry leaders such as Sanan Optoelectronics, HC Semitek, MLS Co., Ltd., and Inventronics collectively reported losses totaling several billion RMB, significantly weighing on the sector’s overall performance. The phenomenon of “revenue growth without profit growth” has become increasingly common, with average industry net profit margins continuing to decline to relatively low levels.
Operating Analysis of LED-Focused Enterprises (2021–2025)
In 2025, listed LED companies demonstrated a trend characterized by “gross margins continuing to decline while net profit margins began recovering from previous lows.” According to the financial data of listed companies, the average gross profit margin of 57 LED-focused listed enterprises fell to 23.71%, representing a decrease of 4.96 percentage points compared with the previous year. Although the industry's average net profit margin and operating profit margin remained negative at -3.89% and -3.11% respectively, both indicators recorded growth of more than 30% year-on-year. On one hand, price competition and cost pressures across the industry have not fundamentally eased; on the other hand, companies have gradually started emerging from loss cycles through measures such as cost control, asset quality optimization, and adjustments to business structures.
From a structural perspective, enterprises focused on high-end niche segments such as automotive lighting, specialty lighting, and UV LED products achieved growth despite market challenges by leveraging differentiated capabilities. Export-oriented companies, however, were generally affected by overseas tariffs and exchange rate fluctuations, while companies concentrating on emerging markets or high-end application scenarios demonstrated stronger resilience and risk resistance.
At the same time, small and medium-sized LED enterprises lacking technological capabilities and financial resources experienced accelerated closures or production suspensions, with inefficient production capacity gradually exiting the market. It should also be noted that the significant reduction in losses reported by some companies was largely driven by lower asset impairment expenses, cost reductions, non-recurring gains, and base-effect factors, rather than a fundamental recovery in the profitability of their core business operations.、
Chip Segment
In 2025, China’s LED chip sector recorded modest overall growth, with related business revenue from A-share listed companies reaching RMB 16.346 billion, representing a year-on-year increase of 1.35%. Behind this stable overall performance, however, the industry is rapidly shifting toward higher value-added markets. High-technology segments with stronger barriers to entry—including Mini/Micro LED, automotive lighting, horticultural lighting, backlighting, and direct-display applications—have become key growth drivers for corporate profitability.
Performance differentiation among chip manufacturers has become increasingly evident. Companies with strong technological expertise and strategic positioning in high-end product markets have achieved sustained profit growth or successfully returned to profitability. In contrast, enterprises still heavily dependent on highly competitive general-purpose markets, while simultaneously facing production ramp-up pressures and asset impairment burdens, continue to encounter significant operational challenges.
Packaging Segment
According to the financial reports of listed companies, the total revenue generated from LED-related businesses by 12 major A-share listed LED packaging companies reached RMB 26.234 billion, representing a year-on-year increase of 7.50%. Among them, LED-focused listed enterprises recorded combined related business revenue of RMB 20.992 billion, up 8.82% compared with the previous year. More than 60% of companies maintained growth in their packaging business. However, the industry as a whole recorded a net loss of RMB 745 million, with the large-scale asset impairment provisions made by MLS Co., Ltd. becoming a major factor weighing on overall industry profitability.
Application Segment
In 2025, LED application-focused enterprises recorded total revenue of RMB 101.4 billion, representing a year-on-year increase of 1.13% and maintaining a stable growth trend overall. Looking at individual market segments, the general lighting sector remained the primary contributor within the application segment, generating annual revenue of RMB 74.216 billion. However, it experienced a slight year-on-year decline of 0.99%, facing combined pressure from weak market demand and intense price competition. In contrast, the landscape engineering segment delivered strong performance, achieving revenue of RMB 5.541 billion with a year-on-year increase of 35.57%, demonstrating significant recovery momentum.
From a profitability perspective, the overall net profit of the application segment reached RMB 7.136 billion, up 17.17% year-on-year. However, performance differences across sub-segments were substantial. Net profit in the general lighting sector declined by 7.39%, indicating increasing profitability pressure. The display segment successfully returned to profitability, achieving an annual net profit of RMB 609 million and becoming a significant source of profit growth within the application market. Meanwhile, the landscape engineering segment remained in a loss position, reporting an annual net loss of RMB 358 million, although losses narrowed by 27.62% compared with the previous year, showing a notable improvement trend.
Operating Analysis of Major LED Application Enterprises in 2025
General Lighting
In 2025, the general lighting industry faced overall market pressure. However, companies with strong brand advantages, well-established distribution networks, continuously optimized product portfolios, and early positioning in emerging business segments still achieved positive profit growth or improved gross margins despite challenging market conditions.
Display Applications
In 2025, the LED display industry demonstrated a trend characterized by “stable shipment volumes, declining prices, and improved profitability.” According to the performance of major listed companies, six LED display application enterprises recorded total revenue of RMB 21.646 billion, representing a year-on-year increase of 1.98%. Net profit reached RMB 609 million, surging 171.74% year-on-year and significantly outperforming revenue growth, indicating that the industry is transitioning from a “price-for-volume” strategy toward a “quality and efficiency improvement” model. Overseas markets have become the core growth engine for the LED display industry.
Supporting Segments
In 2025, the LED supporting industry demonstrated a clear pattern of “overall growth with significant internal divergence.” Twelve major A-share listed supporting companies achieved combined revenue of RMB 29.354 billion, up 15.15% year-on-year, while total net profit reached RMB 1.931 billion, representing a year-on-year increase of 22.30%. More than 60% of companies recorded positive revenue growth.
At the same time, financial performance among enterprises became increasingly polarized. On one hand, leading equipment manufacturers achieved strong growth momentum; on the other hand, some power supply and driver IC companies remained trapped in significant losses. Traditional LED supporting enterprises are also accelerating their transformation toward diversified businesses such as新能源 and computing power-related industries. Energy storage and renewable energy sectors have become the second major growth engine for many LED supporting enterprises.
Landscape Engineering
In 2025, the landscape lighting industry showed signs of moderate recovery after experiencing several consecutive years of downturn. Seven A-share listed landscape lighting companies achieved combined revenue of RMB 5.541 billion, representing a year-on-year increase of 35.57%. Although the sector still recorded a net loss of RMB 358 million, losses narrowed by 28% compared with the previous year. This recovery was mainly driven by three factors: first, some enterprises successfully created new growth opportunities through cross-industry transformation; second, progress was made in collecting outstanding accounts receivable from existing projects; and third, the continued elimination of inefficient production capacity improved the competitive landscape at the margin.
