Chengdu Xgimi Technology, a Chinese maker of multifunctional smart projectors and laser TVs, on Wednesday released an upbeat guidance for both revenue and profit for the first quarter of 2021, reflecting its growing confidence in consumer interest in giant-screen projection technology used for home theaters.
For the first three months of the year, Xgimi said that it expects its revenue to be between 623 million yuan ($95 million) and 733 million yuan, representing a year-on-year increase of between 24% and 46%, according to its filing to the Shanghai Stock Exchange.
First-quarter net profit is projected to reach 85 million yuan, nearly double the figure for the same period of 2020, Xgimi said in the filing.
The forecast is based on its growing sales and pricing strategy which could raise the gross profit rate, according to the company.
Backed by investors such as Baidu Ventures and MatrixPartners China, eight-year-old Xgimi went public on Shanghai’s Nasdaq-style STAR Market in March, with plans to use the IPO proceeds for the development of smart projectors and laser TVs as well as the construction of an R&D center and corporate information systems.
In the first half of 2020, Xgimi’s share in China’s projector market grew to 22.2%, making it the country’s largest projector seller, the company said in its IPO prospectus citing data from IDC.
Contact reporter Ding Yi (email@example.com)