Skyworth Group Limited — Earnings Release 2018

Apr 6, 2018

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

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SKYWORTH DIGITAL HOLDINGS LIMITED ( 創 維 數 碼 控 股 有 限 公 司 ) *

（ Incorporated in Bermuda with limited liability ）

(Stock Code: 00751)

TV SALES IN MARCH 2018 TV SALES IN FINANCIAL YEAR 2017/18

The Group’s TV sales volume in China market recorded an increase of 5% and a decline of 16% year-on-year in March 2018 and in April 2017 to March 2018, respectively.

Sales volume of 4K TV in China market recorded an increase of 8% year-on-year in March 2018, accounted for approximately 51%, compared to approximately 50% year-on-year. Gross profit margin and the average selling price of 4K TV is the highest among all TV series.

Smart TV with internet function and self-developed coocaa TV operating system becomes the majority of the Group’s product mix in China market.

The Group recorded the following numbers of users in China market using Skyworth Smart TV as at 31 March 2018:

• Total volume of activated internet TV: 28,354,822

• Smart TV weekly active volume: 14,265,674 (Note 1)

• Smart TV daily active volume: 10,874,835 (Note 2)

The Group’s TV sales volume in the overseas market recorded a decline of 21% and growth of 15% year-on-year in March 2018 and in April 2017 to March 2018, respectively.

The Group’s total TV sales volume recorded a decline of 9% and 3% year-on-year in March 2018 and in April 2017 to March 2018, respectively.

Note 1: Smart TV weekly active volume is average weekly number of smart TV which had online in recent 4-week period. Note 2: Smart TV daily active volume is average daily number of smart TV which had online in recent 7-day period.

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The board of directors (the “Board”) of Skyworth Digital Holdings Limited (the “Company”, together with its subsidiaries, the “Group”) wishes to present the following unaudited figures:

TV SALES IN MARCH 2018

The unaudited figures relating to the Group’s sale of television sets (“TV”) are as follows:

		March 2018March 2017March 2018vs.March 2017April 2017 toMarch 2018April 2016 toMarch 2017April 2017 toMarch 2018vs.April 2016 toMarch 2017
		Unit (‘000)Unit (‘000)Increase/(Decrease)Unit (‘000)Unit (‘000)Increase/(Decrease)
	TV sales volume
	China Market(Note 3)which comprises:	5144895%7,8679,339(16%)
	- 4K TV(Note 4)	263.6245.28%4,368.14,291.22%
	- Non-4K TV	250.4243.93% 3,498.75,047.3(31%)
	Overseas Market(Note 5)	429542(21%)7,9536,94115%
	Total TV sales volume	9431,031(9%)15,82016,280(3%)

• Note 3: The TV sales volume or revenue of the Group in China market relates to the Group’s sale of TV, substantially under brand, entirely in China market.

• Note 4: 4K TV refers to TV with 4Kx2K ultra high-definition panel, including liquid crystal display (“LCD”) with light emitting diode backlights (“LED”) or organic light emitting diode (“OLED”) , mostly using smart computing and smart storage technology.

• Note 5: The great majority of TV manufactured by the Group in the overseas market is manufactured for foreign TV brands owned by third parties for sale in overseas. Furthermore, the sales volume or revenue in the overseas market includes that relating to TV sold in complete-knocked down and semi-knocked down forms.

Please note that all data above are unaudited and therefore may differ from the audited data.

By order of the Board

Skyworth Digital Holdings Limited

Lai Weide

Chairman of the Board

Hong Kong, 6 April 2018

As at the date of this announcement, the Board of the Company comprises Mr. Lai Weide as the Chairman of the Board; Mr. Liu Tangzhi as executive director and the chief executive officer; Ms. Lin Wei Ping, Mr. Shi Chi and Mr. Lin Jin as executive directors and Mr. Li Weibin, Mr. Cheong Ying Chew, Henry and Mr. Li Ming as independent non-executive directors.

• For identification purpose only

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