The news of price increase in the LED industry is pervasive. After Optotech increased the price of all products by 10-30% to reflect the pressure of rising raw material costs, a report pointed out that the LED packaging leader Everlight has extended its visibility due to strong demand for invisible light products. Since March 2021, it has begun to adjust the prices of related products with an average increase of about 20%. Everlight's operating revenue in 2021 is expected to hit a five-year high.

  Everlight’s invisible light products take more than 30% of its revenue. Among them, photocouplers are widely used in wearable devices, power supplies and home appliances. The demand continues to grow. This has led to the full capacity of photocouplers manufacturer LITEON and orders overflowed to Everlight. Everlight has also progressed to full capacity condition and has a number of expansion plans. Due to the increased visibility of orders and the continuous increase in raw material prices, there are reports that Everlight has increased related products since March. The price is increased by about 20%

Everlight continues to grow its operations in 2020. After-tax net profit per share reached 2.79 yuan (NTD, the same below), a record high in the past four years. The board of directors decided to pay a dividend of 2.25 yuan and the surplus distribution ratio was about 80.64%. A few of the manufacturers has substantial profits and dividends in the LED supply chain. In 2021, under the strong demand for various types of automotive products, MiniLED backlights and invisible light products, they will achieve double-digit operating growth this year. The legal person estimates that Everlight Earnings per share this year is expected to challenge 3.5 yuan and have the opportunity to set a record high in the past five years.

The price increases have spread to the LED industry. Optotech has been transformed into a sensor component factory. The entire product price has been increased by 10-30% to cope with the rising pressure of raw materials. However, the company believes that the upward trend of rising material prices will continue, the warning will erode the company's profits.

And the LED lighting factory Tons Lighting also revealed at the earnings call that it began to adjust the order price in April and the situation of each customer was different, mainly due to the increase in raw material prices, freight and labor costs.

In addition, the lighting brand manufacturer Signify also announced a second increase in the price of lighting products. The company stated in a letter to customers that the cost pressure from raw materials and logistics has risen sharply. The company will increase the price of professional lighting products. The new prices will take effect on 1st of June with LED lamps rising by 3%, traditional fluorescent lamps by 5%, lamps and lanterns by an average of 6%, lighting electronic products by 8% and LED electronic products by 9%. (Source: Business Times)