Skyworth Digital will fully enter the Internet OTT space

On the evening of March 19, the 2014 annual report was announced for the first time by Skyworth Digital (000810), which was listed on the back of the original Gaojin Food. According to reports, the company achieved total operating income of 3.502 billion yuan for the year, a decrease of 2.79% compared to the same period of the previous year. Excluding factors relating to mobile phone product sales revenue in the same period of the report period, operating income increased slightly; net profit attributable to shareholders of listed companies was 3.87 Billion yuan, an increase of 5.77% over the same period of last year; earnings per share of 0.8571 yuan, an increase of 2.02% over the same period last year. At the same time, the company intends to distribute a cash dividend of 2.00 yuan (taxes included) for every 10 shares and 10 shares for every 10 shares.

Push the brand OTT

"Chuangwei Digital will fully enter the Internet OTT space." The company said that in the future it will focus on the development of the Internet-based smart OTT (Intelligent Network Set-Top-Box). Currently, it has cooperated with 18 well-known Internet companies, broadband operators, value-added service providers, etc. Through online e-commerce channels such as Jingdong Mall and Tmall, as well as offline channels and 20 industry and chain channels, we actively expand the sales of Skyworth's own-brand Internet OTT.

It is understood that as the company's own brand of Internet intelligent OTT box, its annual sales increase in the Tmall e-commerce channel is 160%; the company's Skyworth M300 Internet OTT smart box in cooperation with Mango TV in Jingdong Mall has achieved a popularity of 97. In the annual evaluation of Internet smart box brands, Skyworth and Xiaomi, Baidu, and Huawei were ranked by the netizens as the top four brands of 2014 top ten favorite smart TV boxes.

A few days ago, the company also signed the “Equity Transfer Agreement” with Shenzhen Skyworth Digital Co., Ltd. and Long Shiyi, and Long Shiyi transferred its 20% share of Weipute Co., Ltd. to RMB1 for the company’s Shenzhen Skyworth Digital. the company. The company stated that the acquisition of minority shareholders' equity of Weipute is beneficial to further strengthen the control over the subsidiary's governance, increase the efficiency of decision-making, and further improve the company's strategic layout.

In the three major business plans for 2015, Skyworth Digital stated that it will strengthen its leading edge in the business of intelligent terminals, actively expand the scale of the domestic operator market and the intelligent end of its own brand Internet, increase its market share, and increase the efforts for the introduction of international talents. Expand the market space and retail brand market of international large-scale operators.

At the same time, the cloud platforms of the company’s own cloud platform, operators and service providers’ strategic partners are also linked to cloud platforms of the controlling shareholder Skyworth Group’s smart homes to achieve the integration, sharing, expansion, and multiplication of big data and user services. .
Finally, with the help of the capital market platform, it matches the company's strategy and lays out on the smart city and smart home ecological chain, looking for opportunities for other intelligent terminals and light asset operations and services, diversifying its business, and improving the company’s current business structure and future. Profit structure.

The company will face two major risks

It is worth noting that in 2014, the company’s revenue from OTT business was only RMB 44.27 million, accounting for only 1.26% of the total. The development of OTT business has a long way to go. At the same time, it faces two major risk tests. Judging from the policy risks, in June 2014, the State Administration of Radio, Film and Television requested that the Internet TV integration platform be only connected to the legal content service platform established by the SARFT approved by the Internet TV content service organization. The Internet TV integration platform cannot be established on the public Internet. Websites are linked to each other.

"Although the company's Internet OTT box has been unanimously cooperating with the integrated broadcast control licensee and content provider approved by SARFT, the ban has not affected the sales of the company's Internet OTT box during the reporting period. The company has been operating according to requirements and will continue to uphold its requirements. We will enhance user experience, improve user stickiness, and improve service quality. But whether SARFT will launch new monitoring policies for Internet OTT boxes in 2015 or later will be uncertain,” the company said frankly.

From the perspective of market risks, the smart interconnection between industry and services is a major development trend. All major smart equipment vendors, content providers, and operators are all deploying smart product cloud operations and new services, and they will be operating in the future market and the Internet. The service-related competitive landscape will be even more intense. "The company will combine its own competitive advantages and further focus on improving the quality of its products and services," the company said.