China News Agency, Beijing, April 20: Title: China's economic war "epidemic" record: Chinese home appliance companies strive to get out of the "darkest moment"

　　Author Wang Qingkai

　　The haze of the new crown pneumonia epidemic continues to shroud, and the Chinese home appliance industry is facing a difficult time for poor domestic sales and obstructed export.

　　Gree Electric ’s first-quarter performance forecast for 2020 is expected to have a net profit of 1.33 billion yuan (RMB, the same below) to 1.71 billion yuan, a year-on-year decrease of 70% to 77%.

　　"The impact of this epidemic is greater than the impact of SARS. It involves too wide a range. One of the biggest impacts is that the home appliances industry, such as air conditioners, cannot provide on-site services, all stores are closed, and the upstream and downstream chains are not smooth. This impact is for us. It is extremely serious, "said Dong Mingzhu, chairman of Gree Electric.

　　In addition to Gree, Midea, Haier, Hisense and other Chinese home appliance giants also "really felt pain."

　　Hisense's first-quarter performance forecast shows that it is expected to earn 0 million yuan to 12649.35 million yuan, a decrease of 70% to 100% from the same period last year; Konka's first-quarter performance also shows that due to the epidemic, the net profit loss attributed to shareholders of listed companies 220 million to 240 million yuan.

　　The relevant person in charge of the brand department of Hisense Group told the China News Service that Hisense ’s overseas revenue accounted for more than 40%. If the overseas epidemic continues, the pressure will be particularly great.

　　According to the latest statistics from AVC, affected by the epidemic, the market sales scale of China's white goods (referred to as electrical products that can replace household chores, mainly including air conditioners, washing machines, refrigerators and some kitchen appliances) was seriously affected by the epidemic. The overall retail sales fell by about 45%.

　　"The entire home appliance industry is in a very severe state. This situation can be said to have not happened in the past 20 years." Liu Buchen, a senior analyst in the home appliance industry, bluntly told the reporter of China News Service.

　　Liu Buchen believes that the spread of the new coronary pneumonia epidemic worldwide is an important short-term factor. The epidemic has already had a significant impact on the global economy, making it difficult for the home appliance industry to be alone. This is an important reason for the larger decline in home appliance sales.

　　More than half of the world ’s TVs, refrigerators, washing machines, air conditioners, and small home appliances come from China. This not only shows the dependence of the global market on China, but also shows the significance of the international market for Chinese home appliance companies. Changes in the international market directly determine the rise and fall of Chinese home appliance companies.

　　Liu Buchen said that China's home appliance industry is entering the era of the stock market. The most significant feature of the stock era is the lack of incremental space. Like the past 30% annual growth, it is no longer possible.

　　How long will the darkest moment in the home appliance industry last? People in the industry are generally not optimistic.

　　Analysts believe that this depends on how long the epidemic overseas lasts. The data shows that the Gree, Midea, Haier and Hisense companies accounted for over 40% of their overseas business revenue.

　　Under the premise that the epidemic prevention and control situation abroad is not optimistic, it is difficult for China's household appliance exports to be optimistic. "This year is not optimistic." Survival "is the key word for home appliance companies this year."

　　Industry insiders believe that some second- and third-tier home appliance brands may go bankrupt. According to the data from Tianyan, there are currently more than 1.84 million companies in China whose names or business scope include "home appliances, air conditioners, refrigerators, freezers, and washing machines." The proportion of enterprises with a registered capital of less than 1 million yuan is 63.21%. Among them, there are 330,000 air-conditioning-related enterprises.

　　Liu Buchen believes that cost reduction is an issue that all current home appliance companies need to consider. Therefore, companies will see pay cuts and layoffs.

　　Home appliance manufacturers and channel platforms are also actively helping themselves through group heating. Offline stores are deserted, and online has become the main battlefield for enterprises to "fight". Suning increased the video one-to-one sales service; Gome Retail issued 120 million yuan home appliance consumption vouchers to Beijing residents, and also cooperated with Pinduoduo to issue the first phase of 500 million yuan in consumption through direct price reductions, consumption subsidies, and joint profits. Spree.

　　Some local governments are also reaching out to restart "home appliances to the countryside." Recently, the Guangdong Provincial Department of Industry and Information Technology sent a letter requesting cities at all levels to provide a list of alternative production enterprises and products for home appliances to the countryside, and plans to restart the policy of home appliances to the countryside to boost domestic demand consumption.

　　According to Zeng Chan, an analyst with GF Securities, from the perspective of the demand for home appliances, passenger traffic has fallen sharply due to the epidemic, and offline consumption scenarios have almost stopped. However, in the medium and long term, the epidemic may promote the upgrade of home appliance consumption. "And" quality life "will become the new main line of home appliance consumption.

　　Liang Zhenpeng, a senior analyst in the home appliance industry, told reporters from China News Service that Chinese home appliance companies should stabilize the domestic market through upgrading and transformation. Products should be high-end, high-quality and intelligent. "Accelerate the upgrading of household appliances." (End)