Sou Hu Cai Jing·2025-05-08 23:14Core Viewpoint - The salary of Dong Mingzhu, the chairman and president of Gree Electric Appliances, has attracted significant industry attention, especially in light of the company's financial performance and executive compensation trends [2][3][4]. Financial Performance - Gree Electric Appliances reported a total revenue of 1900.38 billion yuan for 2024, a year-on-year decline of 7.31%, marking a drop below the 2000 billion yuan threshold [4][10]. - The net profit attributable to shareholders was 321.85 billion yuan, reflecting a year-on-year increase of 10.91% [4][14]. - The company plans to distribute a cash dividend of 20 yuan per 10 shares, totaling 111.7 billion yuan, with Dong Mingzhu expected to receive approximately 200 million yuan due to her substantial shareholding [2][4]. Executive Compensation - Dong Mingzhu's pre-tax salary for 2024 was 14.372 million yuan, an 18% increase from 12.138 million yuan in 2023, making her the highest-paid executive among the company's 17 directors and senior management, whose total pre-tax compensation amounted to 45.0518 million yuan [2][8]. - Over the past three years, the total compensation for directors and senior management has shown a growth trend, increasing from 30.1582 million yuan in 2022 to 43.5431 million yuan in 2024, representing a cumulative increase of 44% [3][8]. Industry Comparison - Compared to its peers, Gree's executive compensation is among the highest in the home appliance sector, with Midea's chairman earning 13.78 million yuan and Haier's highest-paid executive earning only 3.45 million yuan [3][9]. - Gree's revenue decline contrasts with Midea's revenue growth of 9.47% to 4090.84 billion yuan and Haier's growth of 4.29% to 2859.81 billion yuan, highlighting Gree's challenges in maintaining its market position [10][11]. Market Position and Challenges - Gree's revenue has not only declined but has also lagged behind its competitors, with a significant gap in both revenue and net profit compared to Midea and Haier [13][14]. - The company's reliance on air conditioning, which constitutes 78.54% of its revenue, poses risks as it faces competition from diversified product lines of its rivals [18][19]. - Gree's research and development expenditure of 6.904 billion yuan is significantly lower than that of Midea and Haier, which may hinder its ability to innovate and compete in emerging markets [19][20].