Haier, Gree, and Midea

The three major domestic white-listed companies, Midea Group, Gree Electric Appliances and Qingdao Haier, handed over their transcripts for the first half of this weekend. In the first half of the year, due to the impact of the macroeconomic situation, Gree Electric Appliances and Qingdao Haier all saw sales decline, but net profit increased in a contrarian fashion. The Midea Group achieved a double increase in sales and net profits. Intelligence and internationalization are the common issues facing the three major white companies against the economic downturn.

Performance varies

In the first half of this year, Midea Group achieved an operating income of 82.5 billion yuan, a year-on-year increase of 6.7%, and a net profit of 8.324 billion yuan, a year-on-year increase of 25.93%. Gree's operating income for the first half of this year was 50.111 billion yuan, a year-on-year decrease of 13.4%; net profit was 5.721 billion yuan, a year-on-year increase of 0.05%. In the first half of this year, Qingdao Haier achieved operating revenue of 41.92 billion yuan, a year-on-year decrease of 10.81%; net profit of 2.629 billion yuan, an increase of 2%.

Gree and Haier respectively maintained the top domestic market share in the fields of household air conditioners, refrigerators and washing machines. Midea took the lead in the field of small household appliances, followed Gree in the field of home air conditioners, and pursued Haier in the field of refrigerators and washing machines.

Gree Electric chairman and president Dong Mingzhu said in an interview with reporters in early August this year that since the end of September last year, Gree has lowered the price of air conditioners and promoted the popularity of variable frequency air conditioners, sales will decline year-on-year. The decline in Qingdao Haier's revenue, in addition to the drag on the environment, there are factors that Zhangqiu Haier Electric and Qingdao Haier Special Appliances no longer consolidate statements. If this factor is deducted, the first half of the year's revenue will decrease by approximately 5.5% year-on-year.

In the first half of the year, the United States continued to promote the high-end products, such as "Dingkei" IH intelligent rice cookers sold to the Japanese market, and "i youth" intelligent air-conditioning interacting with the millet smart bracelet, which effectively promoted the contrarian expansion of turnover. . Haier is also the same, its sub-brand positioned in the high-end market, "Kasa Di" revenue increased by more than 40% year-on-year.

However, Gree’s strength still cannot be underestimated. Although the operating income for the first half of the year declined for the first time in recent years, the net cash flow generated from its operating activities was as high as 29,756 million yuan, a year-on-year increase of 54.13%, showing strong anti-risk ability. The net cash flow generated from operating activities of Midea Group in the first half of the year decreased by 33% year-on-year to 8.816 billion yuan.

Smart Products + Smart Manufacturing

Facing the depressed market environment at home and abroad, intelligentization has opened up new growth opportunities for the three major white power companies. Therefore, they are all smart in the first half of the year. However, the three smart ways are different.

Qingdao Haier is the most radical one and continues to accelerate the deployment of smart ecosystems, such as the baking of ecological circles and the conservation of ecological circles. From January to June 2015, Haier's sales of smart white goods exceeded 1.1 million units, and sales revenue exceeded 3.2 billion yuan, both of which achieved double-speed growth. In April, U+App launched a unified portal for smart living, and the number of registered users reached 2.77 million. 78 third-party resources were introduced. Haier also signed a strategic cooperation agreement with Huawei to jointly promote the development of the smart home appliance industry.

The intelligence of Midea Group is relatively stable. In 2015, Midea launched more than 80 intelligent product models; completed the connection of the M-SMART system with the three major e-commerce platforms of Ali, JD.com and Suning, and the Xiaomi system, and released the Smart Home Management “Mercure” APP 2.0 version. user experience.

Gree Electric, which has always been "conservative," is also fast-paced. In the first half of the year, Gree fully promoted Gree Cloud Control and APP to promote the development of smart and environmentally-friendly homes. As a standard for home improvement and multi-connection, Gree Cloud Control has been fully promoted and users can remotely control air conditioning. Gree also released an APP, including two versions of Android and Apple. Users can set multiple smart scenarios through the APP.

Although the smart path is different, these three white companies have a soft spot for "smart manufacturing." At present, Haier has completed the intelligent transformation of more than 800 processes in 28 plants in five major industrial lines, and built four interconnected factories including Shenyang Refrigerator, Zhengzhou Air Conditioning, Foshan Drum Washing Machine, and Qingdao Water Heater, which pave the way for customized C2B production. This year, Midea and Yaskawa Electric have established two joint ventures to produce industrial robots and service robots. On the one hand, they have increased the level of smart manufacturing and expanded B2B. On the other hand, they have extended to artificial intelligence to create the ecological capabilities of Midea's smart home integration. Gree automated equipment research and manufacturing mainly focuses on the development of industrial robots and high-end numerical control machine tools. At present, it has covered more than 10 fields, such as large-scale automation lines.

International new space

The domestic economy has now entered the new normal, and the overseas market has become the “blue sea” of the three major white companies.

This year, Qingdao Haier spent 4.87 billion yuan to acquire the overseas business assets of its parent company Haier Group for more than 10 years. After the completion of this transaction, Haier Group will integrate the research, manufacturing, and sales of overseas white goods in major countries and regions in Asia, Europe, the Americas, Africa and other countries into the listed company, which will help Qingdao Haier integrate global R&D and manufacturing. And marketing resources to create a global brand.

Midea Group set up its international headquarters in the first half of this year to plan its own overseas brand business in an integrated manner. It promoted its export business model to change from "OEM-oriented" to "OBM-based". Its organizational form supported the "China Export" to support "Local Operations". The transformation will gradually build the second runway that will promote the development of overseas private brand businesses.

Dong Mingzhu disclosed to the reporter earlier this year that this year it will promote the export of diversified products such as Gree's central air conditioners, TOSOT small appliances, and Jinghong refrigerators in addition to home air conditioners.