Of course, when the tide goes out, we know who is swimming naked. Only a truly outstanding enterprise can gain a foothold in the fleeing capital. At that time, the market thought that Beauty was a "safe" underwear company.
It is generally believed that there are three giants in domestic white goods, namely Midea, Gree and Haier. But after years of competition, these three companies have achieved different degrees of "differentiated" cores.
In terms of beauty, its revenue structure is very distinctive. First, small household appliances occupy an important part, and the contribution rate of revenue and air conditioning business are one after another. Second, the overseas market is propping up, and the overseas income of the United States exceeds 40%. Third, the e-commerce business is booming, and the income of American e-commerce is close to 1/3.
Due to the reasonable and extensive business distribution, low risk concentration and diversified sales channels, Midea will move forward safely in 2020. Especially in the first half of 2020, Midea surpassed Gree's 41300 million in air-conditioning business with revenue of 64 billion, which made countless fund managers "change their minds".
According to the data of Essence Securities, in the first quarter of 2020, 332 funds held Midea with a market value of 654.38+0.24 billion, but by the end of 2020, 677 funds held Midea with a share of 54.8 billion. 4.4 times the status. Once became one of the three giants of white goods, with the brightest smile.
However, limited market funds cannot contribute enough "fragrance" to all gods, and there will naturally be ups and downs. Beauty falls "Old God" 202 1. Of course, Midea's net profit of 2 1 Q 1 year was 6.5 billion, only 5% higher than that of 19 in the first quarter. This profit growth is far behind the growth of its share price, and squeezing water is also the proper meaning.
The performance is not unexpected, the market is not hyped, and Midea's share price begins a journey of ups and downs. But the route of beauty is still very stable.
Flexible production of T+3
15 years, Midea experimented with T+3 production mode in washing machine business. In the past, the traditional production mode was that agents at all levels reported the order demand step by step, organized production, and the products were sent to the final retailer step by step from the provincial generation. In the model of T+3, the production and marketing cycle is compressed into four steps, 1, the factory collects the order demand directly from the retailer (T), and the factory purchases the raw materials according to the order demand (T+ 1), starts production (T+2) and delivers the goods to the door (T+3).
This means that the fast and efficient production process greatly improves the utilization rate of funds and the turnover rate of inventory. This production model helped Midea beat Haier in the washing machine business in the first year of use.
More comprehensive product types
Different from ordinary small household appliances, household appliances such as air conditioners have a cyclical sales base and are also affected by external factors, such as the real estate cycle. Although its customer unit price is higher, it can bring higher profits, but it also concentrates risks.
Under the fast and flexible production mode closer to consumers, Midea has greatly expanded its product types and intensively cultivated small household appliances, starting with small household appliances such as dishwashers, water dispensers, microwave ovens and wall breakers, and making use of the advantages of big brands to make a series of products. In order to expand rapidly, some of its products have embarked on the road of OEM. This has played an important role in its low-cost expansion. Although OEM production may affect product quality, Midea's efforts to recover through product quality inspection still have good results. These "small household appliances" have contributed113.9 billion to the United States, which is similar to air conditioning.
The exit is a big carriage.
Export has always been the golden track of China's manufacturing industry, and the trouble it faces is mainly the protectionism of exporting countries. In order to avoid these trade protection risks, Midea launched overseas mergers and acquisitions. 20 1 1 acquired the air-conditioning business of Kailimela and entered the South American market. 20 16 acquired Toshiba's household appliances business and the equity of clivet, a central air-conditioning company, and entered the Japanese and Italian markets. Midea has made good achievements in mergers and acquisitions and overseas factories. At present, the overseas income of Midea accounts for 40% of the total income.
In 20 18, the scale of China's household appliances market was 8 104 billion, reaching its peak, and fell back to 803.2 billion in 20 19. The low consumption in 2020 is even more bleak. With the transformation of economic growth mode, the home appliance market has entered the era of stock, and competition has become an era of life and death. On the other hand, since the beginning of this year, the prices of raw materials for bulk commodities have risen, and the prices of copper and aluminum have risen, which has brought greater pressure to enterprises.
The most obvious is the collective withdrawal of funds from the home appliance market. In June this year, Midea had only 268 fund investors, holding a market value of 654.38+0.77 billion. Compared with the end of 2020, it has dropped significantly.