Sunny Optical Technology : Announces 2019 An...

To: Business Editors

[For Immediate Release]

Sunny Optical Technology (Group) Company Limited

舜宇光學科技（集團）有限公司

(Incorporated in the Cayman Islands with limited liability) (Stock Code：2382.HK)

Sunny Optical Technology Announces 2019 Annual Results

Leveraged on Unique Advantages

Maintained the Leading Position in the Industry

Revenue Up 46.0%; Net Profit Up 60.0%

Financial Highlights (For the year ended 31 December)

	2019	2018	Change
	(RMB '000)	(RMB '000)
Revenue	37,848,700	25,931,900	+46.0%
－ Optical Components	8,815,400	6,022,800	+46.4%
－ Optoelectronic Products	28,748,400	19,609,200	+46.6%
－ Optical Instruments	284,900	299,900	-5.0%
Gross Profit	7,750,700	4,913,100	+57.8%
Net Profit	4,019,400	2,512,700	+60.0%
Basic Earnings per Share (RMB cents)	364.81	227.92	+60.1%
Proposed Final Dividends per Share (RMB cents)	72.80	56.80	+28.2%

【16 March 2020, Hong Kong】 The leading integrated optical components and products producer in the PRC, Sunny Optical Technology (Group) Company Limited ("Sunny Optical Technology" or the "Company", together with its subsidiaries, the "Group" ), (stock code: 2382.HK), today announced its annual results for the year ended 31 December 2019.

As a global-leading supplier of handset lens sets and handset camera modules, and the largest vehicle lens sets supplier, the Group benefited from its leading research and development ("R&D") advantages and the synergies brought by Optical Components and Optoelectronic Products business segments. As well as benefited from the further development in smartphone related businesses and rapid growth in the vehicle imaging and sensing fields, the Group's revenue increased by approximately 46.0% to approximately RMB 37,848.7 million. Gross profit was

博達浩華國際財經傳訊集團 | Porda Havas International Finance Communications Group

香港金鐘夏慤道 18 號海富中心二座 24 樓 2401 室 | Unit 2401, 24/F, Admiralty Centre Tower II, 18 Harcourt Road, Admiralty, Hong Kong T: (852) 3150 6788 | F: (852) 3150 6728 | www.pordahavas.com

Sunny Optical Technology Announces 2019 Annual Results

Leveraged on Unique Advantages

Maintained the Leading Position in the Industry

Revenue Up 46.0%

Net Profit Up 60.0%

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approximately RMB 7,750.7 million, representing an increase of approximately 57.8% compared to that of last year. The gross profit margin was approximately 20.5%, which was approximately 1.6 percentage points higher compared to that of last year. Net profit increased by approximately 60.0% to approximately RMB 4,019.4 million. The net profit margin was approximately 10.6%. The basic earnings per share increased by approximately 60.1% to approximately RMB364.81 cents.

During the year of 2019, the Group's major businesses achieved good results. The shipment volume of handset lens sets for the year increased by approximately 41.3% compared to that of last year. As the industry's position continued to enhance, it firmly ranked the second globally in terms of market share for the year. The product mix and customer base have also been further optimised. The shipment volume of vehicle lens sets for the year increased by approximately 25.4% compared to that of last year. It has continued to maintain a better growth momentum than the industry and ranked the first globally with increasing market share. Under the multiple pressure of fierce competition in the industry and global economic and trade instability, the handset camera modules business surmounted the challenges and its shipment volume for the year increased by approximately 27.7% compared to that of last year. This business effectively checked and rectified the manufacturing system and the management processes, and also adjusted the organization structure. Meanwhile, with further getting through sales, R&D, manufacturing, quality control and other aspects, the product yield rate improved and operating costs further declined.

For the year ended 31 December 2019, revenue generated from the Optical Components business segment increased by approximately 46.4% to approximately RMB8,815.4 million compared to that of last year. The increase in revenue was mainly attributable to the sound development of handset lens sets and vehicle lens sets businesses. Revenue generated from the Optoelectronic Products business segment increased by approximately 46.6% to approximately RMB28,748.4 million compared to that of last year. The increase in revenue was mainly attributable to the growth in the shipment volume and average selling price of handset camera modules. Revenue generated from the Optical Instruments business segment decreased by approximately 5.0% to approximately RMB284.9 million compared to that of last year. The decrease in revenue was mainly attributable to the weak market demand for optical instruments.

For the year ended 31 December 2019, the dividends proposed by the Board was approximately RMB0.728 (equivalent to HK$0.810) per share, with payout ratio of approximately 20.0% of the profit attributable to owners of the Company for the year. The final dividends payable on 24 June 2020 is subject to the approval of the shareholders of the Company at the forthcoming annual general

博達浩華國際財經傳訊集團 | Porda Havas International Finance Communications Group

香港金鐘夏慤道 18 號海富中心二座 24 樓 2401 室 | Unit 2401, 24/F, Admiralty Centre Tower II, 18 Harcourt Road, Admiralty, Hong Kong T: (852) 3150 6788 | F: (852) 3150 6728 | www.pordahavas.com

Sunny Optical Technology Announces 2019 Annual Results

Leveraged on Unique Advantages

Maintained the Leading Position in the Industry

Revenue Up 46.0%

Net Profit Up 60.0%

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meeting to be held on 22 May 2020.

Looking ahead, Mr. Ye Liaoning, Chairman of the Board of Directors, said, "We will seize the development opportunities and growth potential of the optoelectronic industry and fully leverage on its unique competitive advantages to further expand the scale of production and broaden the application fields of products. The Group is committed to becoming a manufacturer of integrated optical components and products, and a strategic partner of international renowned enterprises. The Group will reward shareholders and society with continuous growth and good performance. "

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博達浩華國際財經傳訊集團 | Porda Havas International Finance Communications Group

香港金鐘夏慤道 18 號海富中心二座 24 樓 2401 室 | Unit 2401, 24/F, Admiralty Centre Tower II, 18 Harcourt Road, Admiralty, Hong Kong T: (852) 3150 6788 | F: (852) 3150 6728 | www.pordahavas.com

Sunny Optical Technology Announces 2019 Annual Results

Leveraged on Unique Advantages

Maintained the Leading Position in the Industry

Revenue Up 46.0%

Net Profit Up 60.0%

P.4

Company Profile:

Sunny Optical Technology (Group) Company Limited is a global leading integrated optical components and products manufacturer with thirty-five years of history. The Group is principally engaged in the design, R&D, manufacture and sales of optical and optical-related products. Such products include optical components (such as glass spherical and aspherical lenses, plane products, handset lens sets, vehicle lens sets, security surveillance lens sets and other various lens sets), optoelectronic products (such as handset camera modules, 3D optoelectronic products, vehicle modules and other optoelectronic modules) and optical instruments (such as microscopes and intelligent equipment for testing). The Group focuses on the application fields of optoelectronic-related products, such as handsets, digital cameras, vehicle imaging and sensing systems, security surveillance systems, virtual reality /augmented reality and automated factories, which are combined with optical, electronic, software and mechanical technologies.

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Sunny Optical Technology (Group) Company Limited.

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香港金鐘夏慤道 18 號海富中心二座 24 樓 2401 室 | Unit 2401, 24/F, Admiralty Centre Tower II, 18 Harcourt Road, Admiralty, Hong Kong T: (852) 3150 6788 | F: (852) 3150 6728 | www.pordahavas.com