According to reports, due to the sluggish backlight and lighting market conditions in the LED industry in 2015, LED factory operations have hit rock bottom. Recently, Everlight, a leading packaging manufacturer in the LED industry, announced that it has initiated unpaid leave. It is expected that Shulin headquarters and various factories will implement unpaid leave starting from November, which shocked the industry. In this regard, Everlight came forward to explain that November 2 to November 6 is the golden week for company employees to travel, and it is not an unpaid leave.
Although Everlight came forward to clarify, the bad news early in the morning also impacted Everlight's stock price. After opening at NT$49.4 in early trading, Everlight fell all the way, reaching a low of NT$47.55, a drop of more than half the daily limit.
The LED market situation this year is not as expected. In addition to the current news that Everlight will implement unpaid leave, Epistar, which is the majority shareholder of Everlight, also reduced some manpower in September, making relevant investors continue to maintain a conservative attitude towards the prospects of the LED industry. Everlight paid out NT$21.379 billion in the first nine months of this year, a 4.71% decrease from 2014. The legal person said that with the oversupply of LED this year, the positive effects of shipment growth will be offset by the negative effects of falling prices, and they also adopt a conservative view on recent developments.
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ANNA