Many places to promote consumption drive home appliance market to pick up

  Financial News

  Guangzhou Daily News (all media reporter Xu Xiaofang) "During the May 1st holiday, many customers came to buy mid-to-high-end home appliances, including OLED color TVs, six-door refrigerators, inverters, etc. Mid-to-high-end home appliances such as heating and cooling air conditioners are more popular." The relevant person in charge of Guangbai Department Store Beijing Road Store said that with the further improvement of consumers' pursuit of quality of life, the requirements for the quality of home appliances are also increasingly updated.

Aowei Cloud said that during the May Day holiday, the home appliance market in some areas recovered well, and there were even some small climaxes of concentrated purchases.

  Double growth in revenue and profit of the three white goods giants

  According to the "2021 Annual Report on China's Home Appliance Industry" jointly released by the China Household Appliances Research Institute and the National Household Appliances Industry Information Center, the retail scale of the home appliance industry in the domestic market in 2021 will be 754.28 billion yuan, a year-on-year increase of 3.4%.

  Combined with the 2021 annual reports released by various home appliance companies recently, Midea, Gree, and Haier's "Big Three" of white goods all achieved double growth in revenue and profit.

According to the financial report data, Midea Group achieved a total operating income of 343.4 billion yuan in 2021, a year-on-year increase of 20.18%; net profit attributable to the parent was 28.57 billion yuan, a year-on-year increase of 4.96%.

Gree Electric achieved a total operating income of 189.7 billion yuan, a year-on-year increase of 11.24%; a net profit attributable to the parent company of 23.06 billion yuan, a year-on-year increase of 4.01%.

The operating income of Haier Zhijia was 227.6 billion yuan, a year-on-year increase of 8.50%; the net profit was 13.07 billion yuan, a year-on-year increase of 47.10%.

 Promotion of consumption measures in many places

  The recovery of the home appliance market, in addition to the increase in demand for products such as refrigerators and freezers, air-conditioning fans, etc. due to reasons such as the rise in temperature, many governments and distributors have introduced corresponding consumption promotion measures, especially for household appliances and other customers with relatively high unit prices. Commodities, many places stimulate consumption through shopping coupons and other methods, and speed up the economic cycle.

  For example, on April 28, Guangdong Province issued a number of measures to further promote consumption, including promoting household appliance consumption, etc., encouraging local and municipal household appliance production and sales enterprises to launch activities to benefit the people and promote consumption, focusing on encouraging more green smart household appliances. Profits are made to promote the upgrading of home appliances.

  Tianfeng Securities Research Report predicts that all parts of the country are expected to gradually strengthen the activities of consumer coupons, trade-in, and home appliances to the countryside, and the coverage of home appliances will gradually shift from major appliances to emerging home appliances, promoting home appliance renewal and the release of new demand.

On the category side, with the easing of the domestic epidemic, the stimulation of household appliance consumption continues to land. It is expected that major household appliances with high penetration rate in China (such as air ice washers, smoke stoves, color TVs), major small household appliances (such as rice cookers, microwave ovens) and the current inventory Relatively low emerging categories (such as sweepers, projectors) are expected to benefit.