The main contents of this document are: To implement the call of the state to vigorously develop energy-saving and environmental protection industries and build a conservation-oriented society, and promote the development of the LED photoelectric industry chain in Anxi County according to the county government's goal of accelerating the cultivation of high-tech emerging industrial clusters. The Sapphire Substrate Project allocated a financial subsidy of RMB 50 million for the “Technology Threeâ€. Currently, the payment has been received.
According to the relevant provisions of the Accounting Standards for Business Enterprises, this amount is recognized as current income upon receipt. This matter will have an impact on Sanan Optoelectronics' 2013 interim results.
According to statistics, during the four years from 2009 to 2012, Sanan accumulated a total of 1.6 billion, accounting for more than 68% of the net profit for the same period. In the past years, Sanan Optoelectronics has received a wide range of subsidies, and in 2012 it reached 24. Among them, equipment subsidies are big.
Once the subsidy policy is withdrawn, how does Sanan switch from “policy engine†to “market engine� Recently, the Sanan movement continued, on the one hand, expansion of production and cost reduction, with the subsidy policy not withdrawing from the purchase of equipment and then subsidies; on the one hand, actively launch mergers and acquisitions to acquire technology and market.
However, whether the investment actions in this column are effective or not, the views in the industry are not consistent. At present, the biggest pressure hanging on the top of Sanan is still the capacity pressure and inventory pressure.
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