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Consumer Durables

Gree Electric Appliances, Inc. of Zhuhai

  • 47.83 CNY
  • -0.02
  • -0.04%
  • China
    Apr 20, 2018
  • Ticker
    SHE(000651)
  • Prev. close
    47.85
  • Market cap (CNY)
    287,853M
  • Market cap (USD)
    45,770.10M
  • Shares
    6,015.73M

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

Gree Electric Appliances, Inc. of Zhuhai engages in the research and development, manufacture, and sale of air conditioners. Its products include residential and commercial air conditioners, air to water heat pumps, home appliances, refrigerators, smartphones, and industrial products. The company was founded by Jiang Hong Zhu on December 13, 1989 and is headquartered in Zhuhai, China.

Financial Highlights

Dec 2016 CNYUSD
Revenue108,682.69M16,359.10M
Gross Profit35,703.40M5,374.13M
Operating income13,662.33M2,056.47M
Income before tax18,523.15M2,788.13M
Net income15,420.96M2,321.19M
EBITDA15,457.90M2,326.75M
Diluted EPS2.560.38
Dividends Per Share1.800.27
Total Assets182,369.70M26,242.13M
Total liabilities127,274.02M18,314.12M
Total equity53,863.95M7,750.76M
Operating cash flow15,124.68M2,276.59M
Currency in CNYCurrency in USD

Historical Data

 Dec 2012Dec 2013Dec 2014Dec 2015Dec 2016
Revenue 99,520.15M 119,086.90M 138,642.96M 99,812.55M 108,682.69M
Gross Profit 26,086.14M 38,208.73M 49,910.75M 33,142.45M 35,703.40M
Operating income 7,338.56M 10,417.83M 15,804.16M 12,537.67M 13,662.33M
Income before tax 8,753.97M 12,889.06M 16,756.03M 14,906.17M 18,523.15M
Net income 7,379.66M 10,870.67M 14,155.16M 12,532.44M 15,420.96M
EBITDA 8,316.94M 11,647.99M 17,161.03M 13,855.40M 15,457.90M
Diluted EPS 1.23 1.80 2.35 2.08 2.56
Dividends Per Share 0.50 0.75 1.50 1.50 1.80
Total Assets 107,566.89M 133,706.40M 156,230.94M 161,698.01M 182,369.70M
Total liabilities 79,986.69M 98,199.81M 111,011.05M 112,996.83M 127,274.02M
Total equity 26,743.13M 34,582.81M 44,152.65M 47,521.37M 53,863.95M
Operating cash flow 18,462.94M 13,211.18M 18,983.86M 44,463.02M 15,124.68M
 Dec 2012Dec 2013Dec 2014Dec 2015Dec 2016
Revenue 15,772.47M 19,371.02M 22,500.76M 15,880.77M 16,359.10M
Gross Profit 4,134.26M 6,215.14M 8,100.15M 5,273.16M 5,374.13M
Operating income 1,163.05M 1,694.59M 2,564.90M 1,994.81M 2,056.47M
Income before tax 1,387.37M 2,096.57M 2,719.38M 2,371.66M 2,788.13M
Net income 1,169.56M 1,768.25M 2,297.28M 1,993.98M 2,321.19M
EBITDA 1,318.11M 1,894.69M 2,785.11M 2,204.47M 2,326.75M
Diluted EPS 0.19 0.29 0.38 0.33 0.38
Dividends Per Share 0.07 0.12 0.24 0.23 0.27
Total Assets 17,265.12M 22,085.99M 25,182.29M 24,901.13M 26,242.13M
Total liabilities 12,838.33M 16,220.91M 17,893.46M 17,401.26M 18,314.12M
Total equity 4,292.43M 5,712.48M 7,116.80M 7,318.18M 7,750.76M
Operating cash flow 2,926.10M 2,148.97M 3,080.94M 7,074.33M 2,276.59M

Valuation Measures

Dec 2016
PER9.61
ROA8.96%
ROE30.42%
Operating margin12.57%
Profit margin14.18%

Key executives

  • Chairman & President: Ming Zhu Dong
  • Chief Executive Officer & Director: Hui Huang
  • CFO, Board Secretary & Vice President: Jing Dong Wang
  • Chief Engineer & Vice President: Jian Ming Tan
  • Vice President: Pei Zhuang

Shareholders

  • Zhuhai State-Owned Assets Supervision & Admin. Commission (18.3%)
  • Hebei Jinghai Guaranty & Investment Co. Ltd. (8.9%)
  • Qian Hai Life Insurance Co., Ltd. (4.1%)
  • E Fund Management Co., Ltd. (1.4%)
  • China Investment Corp. (Investment Management) (1.4%)
  • Harvest Fund Management Co., Ltd. (1.2%)
  • China Securities Finance Corp. Ltd. (1.0%)
  • China Life Asset Management Co., Ltd. (0.9%)
  • China Universal Asset Management Co., Ltd. (0.9%)
  • Bosera Asset Management Co., Ltd. (0.9%)

Contact Details

  • Website:http://www.gree.com.cn
  • Address: Jinji West Road, Qianshan, Zhuhai, 519070, China
  • Phone: +86.756.8614883

Related Companies

  • Gree (Shijiazhuang) Small Home Appliances Co., Ltd.
  • Zhengzhou Landa Compressor Co., Ltd
  • Gree Electric Appliance (Wuhu) Co. Ltd.
  • Gree Electric Appliances (Shijiazhuang) Co. Ltd.
  • Zhuhai Gree Daikin Device Co., Ltd.
  • Gree Electric Appliances (Zhengzhou) Co. Ltd.
  • Gree Electric Appliances (Wuhan) Co., Ltd.
  • Gree Electric Appliance Hefei Co. Ltd.
  • Zhuhai Kaibang Motor Manufacture Co., Ltd.
  • Gree Electric Appliances Chongqing Electronic Tech Co., Ltd.
  • Gree Electric Appliances (Chongqing) Co., Ltd.
  • Zhuhai Gree Household Electric Appliance Co. Ltd.
  • Zhuhai Gree Xinyuan Electronic Co. Ltd.
  • Zhuhai Gree Electric Enterprises Ltd.
  • Zhuhai Landa Compressor Co. Ltd.

Competitors

  • Shanghai Highly (Group) Co., Ltd. Class B
  • Midea Group Co. Ltd. Class A
  • Chigo Holding Limited
  • Rechi Precision Co. Ltd.
  • Sichuan Changhong Electric Co., Ltd. Class A
  • Johnson Controls International plc
Last Updated on 20 Apr, 2018

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