Gree Electric Appliances, Inc. of Zhuhai
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Company Background
Gree Electric Appliances is China's biggest air conditioner maker and one of the largest in the sector worldwide in terms of sales. It has formed a partnership with Daikin Industries of Japan, the world's largest air conditioner maker. In addition to its core Gree-brand air conditioners, it produces household appliances such as electric fans, water purifiers, air purifiers, rice cookers and humidifiers under the Tosot brand. The company is fiercely competing with fellow Chinese air conditioner maker Midea Group over market share in China.
Founded in 1991, Gree Electric is based in Zhuhai, Guangdong Province. Chairwoman Dong Mingzhu is a well-known female executive in China, and often appears in TV commercials and on programs. Many Chinese women look up to her as a role model. Gree Electric listed on the Shenzhen Stock Exchange in 1996. A state-run entity owned by the Zhuhai municipal government owns 18% of the company, making it the largest shareholder.
In March 2015, the company announced it will enter the smartphone market. It plans to launch Gree-brand smartphones by the end of 2015. It has set a sales target of 100 million units a year in a bid to go toe-to-toe with major smartphone makers in the near future.
Business Summary
Financial Highlights
| Dec 2019 | CNY | USD |
| Revenue | 198,965.34M | 28,794.43M |
| Gross Profit | 55,354.79M | 8,010.99M |
| Operating income | 27,147.43M | 3,928.79M |
| Income before tax | 29,373.69M | 4,250.98M |
| Net income | 24,696.64M | 3,574.11M |
| EBITDA | 30,302.38M | 4,385.38M |
| Diluted EPS | 4.10 | 0.59 |
| Dividends Per Share | 1.20 | 0.17 |
| Total Assets | 282,972.15M | 40,623.64M |
| Total liabilities | 170,683.99M | 24,503.49M |
| Total equity | 110,153.57M | 15,813.71M |
| Operating cash flow | 28,320.63M | 4,098.58M |
| Currency in CNY | Currency in USD |
Historical Data
| Dec 2015 | Dec 2016 | Dec 2017 | Dec 2018 | Dec 2019 | |
| Revenue | 99,812.55M | 108,682.69M | 148,506.51M | 198,282.10M | 198,965.34M |
| Gross Profit | 33,142.45M | 35,703.40M | 48,747.22M | 60,001.93M | 55,354.79M |
| Operating income | 12,537.67M | 13,708.28M | 25,750.96M | 29,548.78M | 27,147.43M |
| Income before tax | 14,906.17M | 18,565.03M | 26,609.24M | 31,272.94M | 29,373.69M |
| Net income | 12,532.44M | 15,463.62M | 22,400.48M | 26,202.78M | 24,696.64M |
| EBITDA | 13,855.40M | 15,524.96M | 27,783.96M | 32,659.11M | 30,302.38M |
| Diluted EPS | 2.08 | 2.57 | 3.72 | 4.35 | 4.10 |
| Dividends Per Share | 1.50 | 1.80 | 0 | 2.10 | 1.20 |
| Total Assets | 161,698.01M | 182,373.99M | 214,987.90M | 251,116.49M | 282,972.15M |
| Total liabilities | 112,996.83M | 127,249.75M | 148,006.98M | 158,353.15M | 170,683.99M |
| Total equity | 47,521.37M | 53,972.18M | 65,614.91M | 91,209.42M | 110,153.57M |
| Operating cash flow | 44,463.02M | 15,124.68M | 16,735.64M | 27,520.28M | 28,320.63M |
| Dec 2015 | Dec 2016 | Dec 2017 | Dec 2018 | Dec 2019 | |
| Revenue | 15,880.77M | 16,359.10M | 21,974.20M | 29,965.50M | 28,794.43M |
| Gross Profit | 5,273.16M | 5,374.13M | 7,213.02M | 9,067.83M | 8,010.99M |
| Operating income | 1,994.81M | 2,063.39M | 3,810.31M | 4,465.57M | 3,928.79M |
| Income before tax | 2,371.66M | 2,794.44M | 3,937.31M | 4,726.14M | 4,250.98M |
| Net income | 1,993.98M | 2,327.61M | 3,314.55M | 3,959.91M | 3,574.11M |
| EBITDA | 2,204.47M | 2,336.84M | 4,111.13M | 4,935.62M | 4,385.38M |
| Diluted EPS | 0.33 | 0.38 | 0.55 | 0.65 | 0.59 |
| Dividends Per Share | 0.23 | 0.27 | 0 | 0.31 | 0.17 |
| Total Assets | 24,901.13M | 26,242.74M | 33,014.11M | 36,575.51M | 40,623.64M |
| Total liabilities | 17,401.26M | 18,310.63M | 22,728.34M | 23,064.38M | 24,503.49M |
| Total equity | 7,318.18M | 7,766.34M | 10,076.00M | 13,284.79M | 15,813.71M |
| Operating cash flow | 7,074.33M | 2,276.59M | 2,476.33M | 4,159.01M | 4,098.58M |
Valuation Measures
| Dec 2019 | |
| PER | 15.97 |
| ROA | 9.24% |
| ROE | 24.52% |
| Operating margin | 13.64% |
| Profit margin | 12.41% |
Key executives
- Chairman & President: Ming Zhu Dong
- CFO, Board Secretary & Vice President: Jing Dong Wang
- Chief Engineer & Vice President: Jian Ming Tan
- Vice President: Pei Zhuang
Shareholders
- Zhuhai Gaoling Equity Investment Management Co. Ltd. (15.1%)
- Hebei Jinghai Guaranty & Investment Co. Ltd. (8.2%)
- Zhuhai State-Owned Assets Supervision & Admin. Commission (3.2%)
- China Securities Finance Corp. Ltd. (3.0%)
- Gree Electric Appliances, Inc. of Zhuhai (2.0%)
- Qian Hai Life Insurance Co., Ltd. (1.6%)
- E Fund Management Co., Ltd. (1.4%)
- China Investment Corp. (Investment Management) (1.4%)
- Hillhouse (Beijing) Advisory Ltd. (0.7%)
- China Southern Asset Management Co., Ltd. (0.6%)
Contact Details
- Website:http://www.gree.com.cn
- Address: Jinji West Road, Qianshan, Zhuhai, 519070, China
- Phone: +86.756.8614883
Related Companies
- Gelan Environmental Protection Technology (Shaoguan) Co., Ltd.
- Gree Rongzhu Copper (Nanjing) Co., Ltd.
- Gree E-commerce Co., Ltd.
- Huzhou Landa Compressor Co., Ltd.
- Gree Material Supply (Chongqing) Co., Ltd.
- Gree Material Supply (Zhengzhou) Co., Ltd.
- Gree Material Supply (Hefei) Co., Ltd.
- Gree Material Supply (Wuhan) Co., Ltd.
- Handan Yingdong New Energy Technology Co., Ltd.
- Zhuhai Hengqin Gree Huatai Energy Development Co., Ltd.
- Luoyang Lianmei Real Estate Co., Ltd.
- Guangdong Guochuang Intelligent Technology Co., Ltd.
- Zhuhai Gree Green Resources Recycling Co., Ltd.
- Gree (Anji) Precision Mold Co., Ltd.
- Guochuang Energy Internet Innovation Center (Guangdong) Co
- Gree (Luoyang) Washing Machine Co., Ltd.
- Zhuhai Gree Electrical & Mechanical Engineering Co., Ltd.
- Gree (Chengdu) Precision Mold Co., Ltd.
- Hefei Kinghome Electrical Co., Ltd.
- Zhuhai Gree Lvkong Technology Co., Ltd.
- Zhuhai Gree Material Supply Co., Ltd.
- Zhuhai Zero Boundary Integrated Circuit Co., Ltd.
- Zhuhai Lianyun Technology Co., Ltd.
- Zhuhai Gree Transportation Co., Ltd.
- Zhuhai Gree CNC Machine Tool Research Institute Co., Ltd.
- Zhuhai Gree Info Technology Co., Ltd.
- Zhuhai Gree Energy Environment Technology Co., Ltd.
- Zhuhai Gree New Material Co., Ltd.
- Gree (Wu'an) Precision Equipment Manufacturing Co., Ltd.
- Gree (Wuhan) Precision Mold Co., Ltd.
Competitors
- Shanghai Highly (Group) Co., Ltd. Class B
- Johnson Controls International plc
- Chigo Holding Limited
- Airmate (Cayman) International Co., Ltd.
- Carrier Global Corp.
- Dnake (Xiamen) Intelligent Technology Co. Ltd. Class A
- Nirmitee Robotics India Ltd
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Last Updated on 5 Mar, 2021
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