[BUSINESS EDITOR]

FOR IMMEDIATE RELEASE

TPV Announces 2014 Annual Results

(20th March, 2015 - HONG KONG) TPV Technology Limited ("TPV" or the "The Group", SEHK stock code: 00903; SGX stock code: T18) announced its audited consolidated results for the year ended 31st December 2014.

Group Performance

The Group's performance significantly improved compared to last year. This encouraging turnaround stemmed from the Group's efforts in channel and inventory management. Consolidated revenue stood at US$11.7 billion (2013: US$12 billion), and profit attributable to shareholders was US$41.8 million (2013: loss of US$47.2 million). The Group also saw its gross profit ("GP") margin ascend to 8.5% (2013: 7.2%).

The Board has recommended the payment of a final dividend of 0.128 US cent per share (2013: 0.128 US cent).

TV

The Group's TV business reported encouraging results, both in terms of volume and profitability. During the year, TPV shipped 17.2 million TV sets, a notable increase of 18.3% (2013: 14.5 million sets) that was powered by good growth in the ODM business, where the Group diversified the customer base and won increased support from existing clients. Segment revenue, however, came in flat at US$4.9 billion (2013: US$5 billion) because ODM orders were primarily mid-to-low-range products. As a result, the ASP dipped to US$287.90 (2013: US$345.40). On the other hand, the business segment's profitability improved satisfactorily. GP margin grew from 8.3% last year to 10.5%.

Consolidation of the shareholding in TP Vision allowed a full integration in operations in a way that heightened efficiency and save costs. While TP Vision still recorded a loss of US$170.5 million (2013: US$233.2 million) at operating level this year, the Group is glad to see its performance improving steadily. Consequently, the Group's TV business reported an operating loss of US$51.4 million, which was 75.9% lower than last year.

Monitor

TPV maintained its dominant position by shipping 48.5 million units (2013: 54 million units), which equaled 36% market share. Segment revenue, however, contracted from US$5.7 billion last year to US$5.2 billion. The retreats in volume and revenue were compensated by a higher ASP at US$107.80 (2013: US$104.80) which the Group sold more large-screen sizes and models with better features during the year. Profitability also enhanced in which GP margin increased to 7.9% (2013: 7.1%). As a result, the monitor business recorded an operating profit of US$125.3 million (2013: US$214.4 million). The figure was comparable to 2013 which included a one-time gain of US$89 million from disposal of fixed assets.

Operations Review

Immediately after TP Vision becomes the Group's wholly-owned subsidiary in June, we conducted a number of changes, including a restructuring worldwide that divided operations into four sales regions, two innovation and development centers and seven sales organizations. Two shared service centers were set up to handle mid- and back-office functions for the Europe region. This logical and simplified structure will accelerate vital decision-making and responsiveness to market movements. In a similar vein, the Group reorganized the billing system to be more straightforward in serving our tax and operational needs. Furthermore, we consolidated and shifted certain financial operations from TP Vision to TPV, including the accounting system, management reporting, treasury and other functions for central management. Finally, we integrated other systems with TPV's existing network so that processes and management practices are as standardized as possible across the Group.

In production, the Group redesigned and integrated a TV and LCM production line in Xiamen factory. This new approach speeds up the entire production flow as well as saves manpower and logistics costs. In addition, we introduced a 'just-in-time' panel inventory system to shorten TV production lead times by three days. Furthermore, we proliferated the presence and use of automation throughout the entire production process.

For research and development, the two new innovation sites in Europe and Xiamen become operational in September. The new innovation center in Ghent, Belgium represents our large-scale organizational change as it combines the research and development that had been based in Eindhoven, The Netherlands, and in Bruges, Belgium, for product strategy, concept and development. In other measures, we bolstered teams that were already in place in China, Taipei, and Bangalore, India. These shifts helped cut costs but maintain technological expertise.

Outlook

Commenting on the Group's results, Dr Jason Hsuan, Chairman and Chief Executive Officer of TPV, said, "The story of 2014 was very much one of transformation and revitalization for TPV after a challenging 2013. Not only did we witness improvement in the Group's financial performance, but we also introduced measures to strengthen our operational efficiency which will enable us to build higher and more sustainable growth in the long run."

Regarding to the Group's business outlook, he commented, "Clearly, global economic uncertainties will pose formidable challenges to our operation, such as Europe's lengthy recovery, China's slowing growth, and the cost pressures associated with a more robust U.S. dollar coupled with the depreciation of many other currencies. We have, and will continue, to exercise stringent controls on foreign exchange to mitigate the impacts of currencies fluctuation. We have also raised our selling prices in some markets to offset such circumstances."

TV demand is expected to enjoy growth driven by replacement orders in the U.S. and China. A notable trend will be continuing popularity of XXL products, namely those measuring 46" and above. The Group also anticipates that ultra-high-definition products would become better-equipped owing to broader competition. Other developments include the rise of quantum dot ("QD") technology which enhances image coloring and substantially upgrades visual experiences at a much lower cost than OLED-powered products. Accordingly, TPV will introduce QD products later this year. Monitors are generally trending in the same direction as TVs, and TPV's overarching strategy is to move toward products that are smart and large-sized while offering high-resolution quality.

"We will take a more proactive approach aimed at increasing volume and capturing more market share this year. Aside from continuing to offer products and marketing innovations to attract consumers, we will develop a clear online business strategy to address this fast growing distribution channel for our products. Moreover, Philips TV products will be re-launched in the Asia Pacific market, which will help us to increase shipments in this key region for sector growth. Furthermore, the Group sees increasing opportunities in the areas of mobility and connectivity, and will actively explore potentials in these areas." He added.

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About TPV

TPV is the world's leading PC monitor and LCD TV manufacturer. The Group has been able to drive its growth over the years by leveraging its economies of scale and core competencies in R&D, manufacturing, logistic efficiency and superb quality. The Group also distributes its products globally under its own brands AOC and Envision. In 2009 and 2011, the Group acquired exclusive licenses to sell Philips' monitors globally and TVs in China. In April 2012, the Group formed a joint venture, TP Vision, with Philips to take over the latter's TV business. In June 2014, TP Vision becomes the Group's wholly-owned subsidiary.

This press release is issued by PRChina Limited for and on behalf of TPV Technology Limited. For further information, please contact:

Ms Vijo Lee

TPV Technology Limited
c/o PRChina

Mr. Henry Chik

PRChina Limited

Tel: (852) 2522 1838

Email: hchik@prhcina.com.hk