Chinese TV maker TCL reports 49 per cent increase in underlying second-quarter profit, after North America emerges as main growth engine this year
- Company on target to selling 23 million units in 2020, an increase of 11.4 per cent over last year, CEO says
- Its North America sales jumped 68.5 per cent in the second quarter
China’s TCL Electronics Holdings, the world’s second-largest manufacturer of televisions by market share, said it expected restrictive coronavirus containment measures to boost sales in the United States in the second half of this year.
The company was on its way to achieving sales of 23 million units in 2020, an increase of 11.4 per cent over last year, Wang Cheng, the Guangdong province-based company’s chief executive, said in Shanghai on Wednesday.
“Over the next 12 months, quite a big number of American companies will still let their employees work from home,” Wang said after a results press conference. “The continued efforts to contain Covid-19 have ushered in a strong demand for TV sets since they are an important working tool and a source of entertainment. The upwards momentum [in the US] will last for a while.”
To reach its full-year sales target of 23 million units, TCL needs to sell about 12 million units in the second half, 15.5 per cent more than a year ago.
On Wednesday, it reported an underlying profit of HK$417 million (US$53.8 million) for the second quarter ending June 30, an increase of 48.9 per cent year on year. Its revenue rose 36.6 per cent to HK$10.3 billion.