Recently, Sosen DRIVER once again accepted specific survey object activities. In the process of communication with investors, it shared the market development status and prospects, future order trends, specific cooperation between the company and strategic partners in the field of plant lighting.
Bright prospects, plant lighting will be the general trend
Sosen DRIVER believes that the rapid development of the plant lighting market in the past two years is mainly related to four factors.
One is the world's major breakthrough in artificial plant light source technology, which is also the most important factor in promoting the development of the plant lighting market. The advancement of LED spectroscopy technology has brought advantages such as more suitable light sources for plant growth and low energy consumption, making the rapid development of plant factories possible.
The second is the legalization of overseas industrial hemp cultivation; the third is the food crisis and the tight supply of drugs brought about by the global epidemic; the fourth is the cancellation of overseas subsidies for traditional high-pressure sodium lamps.
In addition, under the construction and popularization of plant factories in the future, the plant lighting market will become a trend of development.
According to the introduction of "Plant Factory" by Dr. Yang Qichang from the Institute of Urban Agriculture of the Chinese Academy of Agricultural Sciences, "Plant factories are recognized internationally as the highest development stage of facility agriculture, which embodies the highest level of agriculture in a country and region." At present, human beings are facing many problems of human survival such as energy shortage and food safety. The plant lighting industry represented by plant factories can break the bottleneck of natural time and space and solve these problems for humans. In the future, it will be popularized and promoted with the support of national policies. It is an emerging industry that is worth looking forward to, can create well-being for mankind, and has broad development space.
According to statistics at the end of 2020, the number of domestic plant factories is more than 220, with different scales. There are already more than 10,000 square meters in area. The number of vertical plant factories can reach a scale of more than 18 floors. At present, the main crops planted by plant factories include vegetables, fruits, flowers, and Chinese medicinal crops.
It is worth noting that recent plant factories have made important progress in rice cultivation. According to the People’s Daily, the Institute of Urban Agriculture of the Chinese Academy of Agricultural Sciences and the China National Rice Research Institute have successfully achieved an important breakthrough in rice planting and harvesting in about 60 days in a plant factory environment. The growth cycle of rice has been shortened by half compared to the traditional one.
Sosen DRIVER believes that with the breakthrough of this planting technology, I believe that in the future, with the efforts of the scientific research team and the support of the state, rice suitable for planting in plant factories will surely be researched, and finally the popularization of plant lighting rice planting will be realized.
Plant lighting accounts for the highest proportion, and will continue to increase investment
At present, Sosen DRIVER has formed a product business system in three areas of "plant lighting + industrial lighting + outdoor lighting". In the first half of 2021, the sales revenue of plant lighting products accounted for 40.41%, becoming the largest source of revenue. At the same time, the field of outdoor lighting and industrial lighting is still an important source of contribution to its performance. Among them, the revenue of industrial lighting power supply in the first half of the year was 181 million yuan, accounting for 32.77%, a year-on-year increase of 72.86%.
Sosen DRIVER is full of confidence in the development prospects of this subdivision of plant lighting. In the future, it will continue to increase investment in technology research and development of products in this field. At the same time, it will continue to deepen downstream customers and develop multi-dimensional development to consolidate the company's power in the field of plant lighting drive power. First mover advantage position.
Deepen the cooperation with Zhongke San'an and expand the market in all directions
On August 4, Sosen DRIVER announced that it has reached a long-term cooperation with Zhongke San'an to jointly expand the plant lighting market. In fact, the two parties began normal business exchanges as early as 2020. During the cooperation process, Sosen DRIVER mainly supplied plant lighting LED drive power to Zhongke San'an.
This time, on the basis of the original good cooperation relationship, further comprehensive cooperation, including the development of new technology research and development projects, market promotion, brand promotion, etc., will further deepen the product market expansion of both parties in the field of plant lighting, and jointly provide end customers Product solutions.
Through all-round cooperation, Sosen DRIVER and Zhongke San'an will give full play to their respective strengths in different fields of the LED industry and their superior position and complementary advantages in the upstream and downstream of the industry chain to better expand the plant lighting market.
Stable orders in hand, optimistic about the continued growth of market demand
For the product part, Sosen DRIVER believes that, from the perspective of practical applications, plant lighting does not limit the power supply that must use a certain power. It is mainly to provide the corresponding optimal power range products according to the specific needs of customers. However, because the power required for application scenarios such as plant factories is generally larger, the company's plant lighting power supply focuses on greater power. At present, the company has a 1000W plant lighting power supply.
As for the current demand situation and future order development trends, Sosen DRIVER pointed out that at present, the demand for plant lighting power supplies in the entire market is still showing a relatively strong trend, and the company's orders in hand are relatively stable.
In terms of seasonal changes in orders, Sosen DRIVER said that from the analysis of past sales, no matter which lighting field drive power products have obvious seasonality. The LED plant lighting planting is not restricted by time and space, and its demand is mainly determined according to the production plan of the downstream lighting manufacturer and the production arrangement of the application terminal plant factory. However, generally speaking, due to the impact of the Spring Festival stocking arrangements in the fourth quarter, the demand for orders was relatively strong compared with other quarters.
Looking to the future, Sosen DRIVER believes that LED plant lighting is a modern smart agricultural technology that the country is currently increasing support for scientific research and popularization. Under this background, combined with the growth and proportion of plant lighting products from last year to the present, Plant lighting market demand will maintain a relatively stable growth.
