Core Insights - The performance of the three major white goods giants, Midea, Haier, and Gree, has shown significant divergence in the first half of the year, influenced by national subsidy policies and intense industry competition [2][3] Group 1: Financial Performance - Midea reported the highest revenue of approximately 251.1 billion yuan, a year-on-year increase of 15.6%, and a net profit exceeding 26 billion yuan, up 25% [3] - Haier's revenue reached about 156.5 billion yuan, with a year-on-year growth of over 10%, while its net profit was 12.03 billion yuan, also up 15.6% [3] - Gree experienced a revenue decline to 97.32 billion yuan, a year-on-year decrease of about 2.5%, although its net profit increased nearly 2% to 14.4 billion yuan, marking the slowest growth among the three [3] - Gree maintained the highest net profit margin at 14.7%, surpassing Midea by 4.35 percentage points and Haier by 7 percentage points [3] Group 2: Dividend Distribution - Gree announced no interim dividend for this year, while Midea declared a cash dividend of 5 yuan per 10 shares, totaling nearly 3.8 billion yuan, and Haier proposed a cash dividend of 2.69 yuan per 10 shares, amounting to 2.5 billion yuan [3] Group 3: Leadership Changes - Midea appointed Wang Jianguo as the executive president, marking a significant step in the succession plan as current chairman Fang Hongbo approaches retirement [4] - Haier's chairman Zhou Yunjie is nearing retirement age, while Gree's chairman Dong Mingzhu has been a focal point for succession discussions [5] Group 4: Market Competition - The competitive landscape in the air conditioning market has intensified, particularly affecting Gree, which faced a decline in its consumer electronics revenue due to aggressive pricing strategies from competitors [6][7] - The market share of low-end air conditioners has increased, with over 50% of online sales falling below 2,100 yuan, putting pressure on mid-to-high-end demand [6] Group 5: B2B Market Development - The B2B market has become a crucial growth engine for the three companies, with Midea leading in B2B revenue, which accounted for 25.7% of its total revenue, reaching 64.54 billion yuan [8] - Haier's B2B revenue from equipment and channel services grew nearly 35% to 18.72 billion yuan, representing 12% of its total revenue [9] - Gree's B2B revenue remains the lowest among the three, with only 11.52% of total revenue coming from industrial products and green energy [10]

Core Viewpoint - The three major white goods giants, Midea Group, Haier Smart Home, and Gree Electric Appliances, reported significant year-on-year growth in revenue and net profit for Q1 2024, indicating a positive start for the home appliance industry despite their stock prices declining on April 30, 2024 [2][3]. Financial Performance - Midea Group led with a revenue of 127.8 billion yuan, 1.6 times that of Haier Smart Home and three times that of Gree Electric Appliances [3]. - Midea Group also ranked first in net profit with 12.4 billion yuan, while Gree's net profit was approximately 5.9 billion yuan, surpassing Haier by about 400 million yuan [3]. - In terms of net profit margin, Gree Electric Appliances had the highest at 14.2%, followed by Midea Group at nearly 10% and Haier Smart Home at around 7% [3]. International Market Engagement - Gree Electric Appliances had a foreign sales revenue of approximately 28.2 billion yuan in 2023, accounting for about 15% of its total revenue, with a year-on-year growth of around 13% [3]. - Haier Smart Home's overseas revenue accounted for 50% of its total, while Midea Group's overseas revenue made up 41% [3]. - Midea Group completed the acquisition of European kitchen appliance manufacturer Teka Group on April 29, 2024 [4]. Air Conditioning Market Dynamics - Gree Electric Appliances' reliance on air conditioning contributes to its higher profitability, benefiting from competitive advantages in cost management and brand premium [5]. - The air conditioning market showed resilience in Q1 2025, with retail volume and value increasing by 0.22% and 5.22% year-on-year, respectively, driven by government policies and product upgrades [6]. - Gree's consumer electronics revenue, including air conditioning, was approximately 148.6 billion yuan in 2023, a decline of 4.29% year-on-year, indicating challenges in the air conditioning sector last year [6]. B2B Market Expansion - Midea Group's revenue from B2B sectors, including new energy and industrial technology, reached 11.1 billion yuan in Q1 2024, a 45% increase year-on-year, contributing to 22% of its total revenue [8]. - Haier Smart Home reported 32.4 billion yuan from its equipment and channel services, accounting for 11.3% of total revenue [8]. - Gree Electric Appliances' B2B business, including industrial products and green energy, accounted for nearly 10% of its revenue, with significant investments in upstream supply chains [9].