On August 30, Gree Electric announced the semi-annual report for 2018. The report shows that Gree Electric has achieved very good growth in the first half of 2018, and the momentum remain very strong.
The revenue reached 92.05 billion yuan, a year-on-year increase of 31.4%, and net profit was 12.806 billion yuan, an increase of 35.48% over the same period of the previous year.
The growth rate was still higher than income.
The gross profit margin of sales continued to remain at a historically high level of over 30%, and the gross profit margin of air-conditioning products reached 34%.However, some hidden concerns are also seen in the financial statements.
The following table is part of the data of Gree Electric in manufacturing:
1. The proportion of air-conditioning business in the manufacturing industry has further expanded, and the development of the other three businesses is not satisfactory.
(Four business segments of Gree: air conditioning, high-end equipment, lifestyle categories and communications equipment)
2. Domestic sales accounted for 82.54%, while export sales accounted for 17.46%. The domestic market is highly dependent and the degree of internationalization is not high.
3. The gross profit margin of domestic sales is 39.18%, which is more than five times than that of foreign trade gross profit margin of 7.29%. Isn't Gree good enough for Chinese people in terms of price?
