Tianfeng International analyst Ming-Chi Kuo said today (1) that Sunny Optical won more Apple (AAPL-US) orders for wide-angle lenses, and the proportion of supply is more than half, which interferes with Largan (3008-TW) and Jade Crystal Light (3406-TW) profit performance, among which, Yujingguang was affected to a greater extent because its price was lower than that of Largan.
Ming-Chi Kuo pointed out that the iPhone 14 Pro and iPhone 14 will be equipped with Sunny Optical’s high-end wide-angle 7P lens and lower-end wide-angle 7P lens, accounting for 50-60% and 55-65% of the overall shipments respectively. The specific gravity is approximately the same.
Ming-Chi Kuo believes that among the iPhone lenses, the wide-angle lens has the largest profit contribution. Therefore, with the significant increase in the market share of Sunny Optical’s wide-angle lens, the key impact on Largan and Yujingguang is profit, not revenue.
However, in terms of distinguishing the two, Ming-Chi Kuo emphasized that the sales unit price (ASP) of Largan’s wide-angle 7P lens is 15-25% higher than that of Sunny Optical and Yujingguang. Therefore, the market share of Sunny Optical has increased, and Largan’s market share has increased. The negative impact on the profit of the company is relatively low, in other words, the impact on Yujingguang is relatively large.
In addition, Sunny Optical may also become the main supplier of ToF lenses for the iPhone 15 in 2023. Since Yujingguang is the main supplier of existing ToF lenses, the impact will be higher than that of Largan.
