China’s LED chip company Silan Azure has achieved operating revenue of RMB 155mn in 2012, a drop of 54.69% from a year earlier, and its net profit was RMB -29.13mn, down by 152.93% year on year.

The company attributed the net profit decline to the aggravated competition in LED industry which caused significant fall in the prices of LED color chips and great shrinking in profit margin. Despite the pressure in operation, Silan Azure has increased the capacity of epitaxial wafer, improved the process of PSS substrate and promoted the quality of chips by continuous investments.