TCL Technology Group Corporation

TCL Technology Group Corporation, listed on the Shenzhen Stock Exchange since 2004, is a prominent player in the manufacturing sector, primarily focused on computers, communication equipment, and other electronic equipment. Founded in 1981, TCL has evolved from producing magnetic tapes to becoming a global leader in intelligent technology, with a presence in over 160 countries. The company has established a vast network of 43 research and development centers and 32 manufacturing bases worldwide, positioning itself as a competitive force in the intelligent technology industry. The company's main business lines include semiconductor displays and new energy photovoltaics, supported by industrial finance and investment platforms. TCL's subsidiary, TCL CSOT, is a key player in the semiconductor display industry, ranking second globally in TV panel shipments and leading in various display segments. Additionally, TZE, another subsidiary, focuses on photovoltaic silicon wafers and modules, leveraging technological innovations to enhance product offerings. TCL is committed to advancing its technological capabilities and expanding its global footprint through strategic partnerships and continuous improvements in manufacturing efficiency.

Leading at scale: Continuously improving the business portfolios and building scale advantages By the end of 2024, TCL CSOT, as a preeminent global display company and a pioneer in domestic display manufacturing, has invested over RMB 260 billion to establish 9 state-of-the-art panel lines and 5 module factories, serving a diverse range of global clients. The Company has established a leading position in large-sized panels globally through both self-built production lines and strategic acquisitions. In 2024, TCL CSOT ranked second globally in TV panel shipments, and first globally in terms of panels in the sizes of 98 inches and above. The Company has built T9 production lines targeting high-value-added mid-size products such as IT and commercial displays, achieving a full-size strategic layout. In 2024, it secured the world’s second-largest market share in MNT panels and led globally in key segments such as e-sports monitors and LTPS laptops. In 2024, the Company achieved the official mass production of printed OLEDs and released the first professional display screen, further consolidating its leading position in industry technology. By actively improving the layout of the value chain and expanding the production capacity of self-built modules, TCL CSOT has further improved the Company's control and profitability in the value chain. TCL CSOT has passed through several industry cycles, evolving from a "follower" to a "peer", and now a leader. It has transformed from a large-size panel leader to an all-size display player, gradually expanding from panel manufacturing to comprehensive display solutions, driving the Company's high-quality development. TZE will continue to leverage its advantages in production capacity, product offerings, and cost structure, while gradually improving its relative competitiveness and establishing its leading edge in the industry through technological innovations, manufacturing transformations, and management reforms. The Company maintains its world-leading position in photovoltaic silicon wafers by continuously upgrading its manufacturing systems to address various market demands. Simultaneously, it is expanding globally through strategic collaborations, including partnerships with RELC, which is the wholly-owned subsidiary of Saudi Arabia's Public Investment Fund (PIF), and Vision Industries, to develop overseas wafer manufacturing facilities. In terms of photovoltaic modules, the Company has taken advantage of patented technological innovations to create differentiated products, thus gradually establishing manufacturing advantages and providing customers with better products. Leading in technology and ecology: Actively expanding in the broader sector, and building a first-mover advantage through ecological leadership. The Company has established a strategic foothold in core technologies (i.e., displays and new energy photovoltaics) by capitalizing on its subsidiaries TCL CSOT and TZE. Through strategic partnerships with upstream and downstream industry players, the Company has built a robust global ecosystem for technology and innovation, and is steadily advancing its technological leadership in next-generation display technologies, as well as G12 and N-type photovoltaic materials. The Company has applied for over 70,000 patents, and facilitated or participated in the establishment of more than 300 industry standards, underscoring its status as a preeminent high-tech enterprise. The Company has secured over 2900 patents in quantum dot display technology, ranking second globally, which will ensure the independent and controllable development of key technologies for next-generation displays. TCL Technology has established 29 R&D centers worldwide, and has been certified with 9 national-level open innovation platforms and 33 provincial-level innovation platform qualifications. Leading in efficiency and management: navigating cycles with industry-leading efficiency and effectiveness Based on its scale and technological advantages, TCL Technology has achieved efficiency and benefits to maintain its industry leadership through continuous management changes and IT system upgrades. TCL CSOT leverages the synergy of its twin factories to optimize production line planning and maximize capacity expansion. Through management reforms and process optimizations, TCL has strengthened end-to-end collaboration, resulting in improved overall operational efficiency. By pursuing cost excellence, the Company has established an end-to-end cost advantage, resulting in continuous improvements in product quality and performance, as well as a leading competitive position in the industry. At the same time, TCL CSOT has established proven risk management capabilities that have been honed through multiple industry cycle fluctuations. Looking forward, TCL will make use of this core competency, and will be well-poised to navigate future uncertainties and achieve global leadership. Amidst the cyclical downturn in the new energy photovoltaic industry, TZE has steadfastly adhered to its core business philosophy of "digging in", and comprehensively implemented Industry 4.0 intelligent manufacturing systems, coupled with Operation 4.0 and Quality 4.0 management frameworks. By continuously improving production automation, labor productivity, and operational efficiency, TZE has maintained its competitive edge in terms of efficiency and cost, thereby positioning itself to successfully navigate the industry cycle and emerge as a leading global player in the new energy photovoltaic sector. Cultural Leadership: Guided by our core values of "change, innovation, accountability, and excellence", the Company is being driven to achieve industry leadership. In 2020, TCL inaugurated a new phase of corporate culture, as laid out in its strategic document "The Path to Global Leadership". The Company has adopted a core mission centered around "leading technology, harmonious coexistence", underpinned by the core values of "change, innovation, accountability, and excellence". This cultural transformation has empowered TCL employees to embrace change, drive business optimizations and upgrades through active exploration and innovation, and guided TCL in dedicating itself to delivering superior products and services to its valued customers through accountability and the pursuit of excellence. In the face of a complex and ever-changing external business environment, TCL employees will continue to uphold the spirit and culture of “The Path to Global Leadership”. TCL will boldly lead the way, fearlessly compete, and drive the Company to effectively respond to business changes, entering a new stage of development.