(Yicai) Feb. 18 -- Shares of TCL Electronics Holdings surged after the Chinese consumer electronics giant said it expects net profit to have jumped between 60 percent and 112 percent last year, mainly thanks to an increase in the global market share and revenue of its core TV business.

TCL Electronics [HKG: 1070] soared 10.9 percent to HKD7.30 (94 US cents) a share as of 3.50 p.m. in Hong Kong today, after earlier surging by as much as 14 percent.

Net profit was likely between HKD1.3 billion and HKD1.7 billion (USD167 million and USD220 million) in the 12 months ended Dec. 31, the Hong Kong-based firm announced yesterday.

TCL Electronics logged record-high revenue from its TV business, with an increase in the share of premium and big-screen products, it noted. Its innovation business maintained strong growth, with surges in the scale and competitiveness in the full-category marketing and photovoltaic solutions areas, it added.

In addition, TCL Electronics optimized its global logistics and warehousing network through localized layout, controlling operating and management costs, and advancing its digital transformation to cut overall expenses last year, it pointed out.

Global TV shipments of TCL Electronics jumped 14.8 percent to a record high of 29 million units last year from the year before, the company said earlier this month. For the fourth quarter, the figure surged 19.3 percent from a year ago.

TCL Electronics' TV sales rose last quarter thanks to nationwide subsidies in the domestic market and expanding distribution channels overseas, with strong performances in Europe and emerging markets, according to CITIC Construction. In addition, its unit RayNeo Technology continues to grow in the augmented reality glasses sector.

However, there are still potential risks, including the global TV market entering a phase of inventory competition, with annual shipments expected to stay between 200 million and 220 million units, TV panel prices rebounding, and fluctuations in the Chinese yuan exchange rate, CITIC Construction noted, adding that these could impact TCL Electronics' performance.

Editor: Martin Kadiev