17 February 2014

Seoul Semiconductor reports record revenue of 1 trillion Korean Won in 2013, driven by LED lighting

Driven by both growth in the IT and lighting sectors, in 2013 South Korean LED maker Seoul Semiconductor Co Ltd surpassed 1 trillion Korean Won in annual revenue for the first time, reaching a record 1.0321 trillion Korean Won (up 20% on 2012). Operating profit was 965,000m Korean Won (up by 190% on 2013).

Following the boom of the LED lighting market, Seoul Semiconductor has grown sales by focusing on Acrich2 LED modules (claimed to be the first LEDs driven by alternating current) and steady-selling products such as mid-power and high-power packaged LEDs. Revenues have been increased in America, Europe, China, Japan and many other countries, the firm adds.

Applying patented Black Hole Lens technology to direct-type LEDs for TVs in the IT sector, Seoul Semiconductor has increased IT-related sales. In addition, sales of tablet-PC-related products also present tangible evidence of their rise in the market, says the firm.

After being listed on the Korea Stock Market (KOSDAQ) in 2002, another contributing factor to reaching 1 trillion Korean Won in sales after 12 years (since the company was founded in 1987) is the establishment of a patent portfolio consisting of more than 11,000 patents. Seoul Semiconductor invests about 10% of revenue each year in LED product R&D. The firm was also the sole LED device maker to be ranked on the Institute of Electrical and Electronics Engineers (IEEE)’s Patent Power ranking in 2012 and 2013.

Since the establishment of its subsidiary Seoul Viosys (formerly Seoul Optodevice) in January 2002, Seoul Semiconductor has produced LEDs through vertical integration of the entire manufacturing process, from chips to packages to modules. The firm says that, to better manage the fast-growing LED lighting market due to trends in global incandescent manufacturing as well as policies of usage prohibition and energy reduction, it has procured various products in all categories of LED lighting and is currently supplying products to lighting companies worldwide.

For first-quarter 2014, Seoul Semiconductor expects revenue of 240-260bn Korean Won and 6-8% operating profit (a conservative estimate, considering the annual low season in the IT industry).

Tags: Seoul Semiconductor LEDs

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