China’s LED chip company Sanan Optoelectronics announced its annual report for 2012, which says that the company’s operating revenue hit RMB 3.363bn, up by 92% from a year earlier, gross profit was RMB 1.015bn, dropped by 26%, and net profit attributable to shareholders stood at RMB 810mn, a decline of 13%.

According to the report, neither new technologies & products nor increased production capacity was given a full play, which has consequently led to the decline of gross profit margin and reduced performance of its Wuhu project. The company’s subsidiary Suncore Photovoltaic Technology has put the first phase of automatic production lines into operation, yet due to the less-than-expected localization effects of accessories and prolonged running-in time, the company has suffered money loss on its core business.