Gree Electric (000651) 2018 Annual Report: Results Meet Expectations, Gradually Dividend and Reorganize 48% in 2018

Gree Electric (000651) 2018 Annual Report: Results Meet Expectations, Gradually Dividend and Reorganize 48% in 2018

Event: The company released its 2018 annual report.

Total operating income in 2018 was 2000.

24 ppm, an increase of 33 in ten years.

33%; net profit attributable to mother 262.

30,000 yuan, an increase of 16 in ten years.

97%; of which the total operating income in the fourth quarter increased by 31.

53% (Excluding Jinghong refrigerator, growth rate is 29.

47%), net profit attributable to mother twice a decade.

74% (Excluding Jinghong refrigerator, the growth rate is -28%).

Air Force’s performance forecast revenue range is 2000-2010 trillion, and net profit is 26 billion-27 billion.

The company plans to distribute a cash dividend of 15 yuan to every shareholder for a total of 90 shares.

24 ppm with a dividend of 34 per second.

43%, foreign exchange rate 2.

669%, if the interim dividend is added, the total is 126.

3.3 billion, cash dividend restructuring48.

21%, dividend yield 3.


Air conditioner revenue has grown rapidly and multi-business efforts have been made.

In 2018, the company’s air-conditioning revenue increased by 26 each year.

15% (H1 and H2 increase by 38.

77% and 16.

12%), according to industry online data, Gree sales in 2018 increased by 7.

3% (of which domestic sales and exports increased by 3.

4%, 18.


The company’s ranking of air-conditioning sales outlets in 2018 increased by 12 year-on-year in 2017.

5%, outlet encryption helped the company’s air-conditioning output increase.

Zhejiang Shengshi and Henan 南京夜生活网 Shengshi’s pickup in 2018 increased by 16.

99% (H1 / H2 increased by 47.

28% and 3.

18%) and 39.

77% (60.

25% and 23.


At the end of 2018, the company received advances 97.

920,000 yuan, down 37 from Q3.

3.3 billion.

In addition to air-conditioning, the company’s other businesses are working hard: the income of household appliances increases by 64 each year.9% (H1, H2 increased by 55.

72% and 71.

99%), the company price at the end of September 201812.

4.7 billion acquisition of Jinghong refrigerator, Q4 contributed revenue7.

8.3 billion, profit 8881 million; intelligent equipment business products cover more than 10 fields such as servo manipulators, industrial robot numerical control machine tools, more than 100 kinds of products, revenue growth 46

19% (H1, H2 growth -62.

99% and +136.


The company disclosed in FY2019 and Zhejiang Shengshi, Henan Shengshi and Shandong Shengshi that the estimated growth rates of related party transactions were 19 respectively.

43%, 19.

09% and 24.

91%, the company is expected to still have a higher revenue growth target in 2019.

Q4 profit margin declined.

The company’s gross profit margin in 2018 was 30.

23% twice a year.

63pct, of which Q4 dropped by 6.

87pct, 2018 gross profit margin-selling expenses expense 20.

78%, a decrease of 0 per year.

97pct (where Q4 is 18.

44%, a decline of 6 per year.

19 pct); the company’s other mobile denied subjects remaining 633.

62 trillion, an increase of 30 trillion compared with 2018Q3, the company’s rebate accrual has increased.

The company’s R & D expense ratio increases by 1 every year.

09pct to 3.

53%, mainly due to an increase in the ratio of R & D expenses (the R & D expense ratio in 2018 was 96%, compared with 63% in the same period last year); the sales expense ratio continued to decline1.

7 points to 9.

54%; benefiting from exchange gains, the company’s financial expense ratio decreased by 0.

77pct; due to the increase in employee compensation and depreciation expenses, the company’s management expense ratio increased by 0.


Taken together, the company’s net interest rate in 2018 was 13.

31%, down by 1 every year.

87pct (where Q4 drops by 8.


The company is expected to invest in e-commerce and increase investment in smart equipment.

Gree revised the company’s business scope and planned to increase the e-commerce business in the company’s charter business scope. The purpose is to further improve sales channels, promote online sales, and promote the company’s emerging industry products; replace channels and expand investment in ice technology research and development.Get faster development in 2019.

Zhuhai Zero-Boundary Integrated Circuit Co., Ltd. was newly established in 2018. In 2019, the company will continue to make efforts in the smart equipment and precision mold sections, deepen core technology research, and focus on strengths. At the same time, mobile phones and chips will also focus on the field to verify the company’s diversity.Sexualization is accelerating.

Earnings forecasts and investment advice.

We maintain the company’s net profit 294 for 2019-2020.

44, 325.

The $ 9 billion profit forecast complements the 360 forecast for 2021.5 trillion, the growth rate was 12 respectively.

37%, 10.

68% and 10.

62%, corresponding to a dynamic assessment of 11.

48, 10.

37 and 9.

37 times, major shareholders intend to transfer 15% control of the company, corporate governance savings are expected to improve, and maintain a buy investment rating.

Risk Warning: Growth in Real Estate Sales Increases Industry Demand; Raw Material Price Increase