Gree boosts commercial air-conditioning projects

The 189 million A shares publicly issued by Gree Electric Appliances will be listed on February 3rd. After the completion of this public offering, the company’s total share capital will be expanded to 3.007 billion shares and raised capital of 3.195 billion yuan. Since the second half of 2011, Gree Electric Appliances has maintained a strong growth momentum of more than 30% in the overall slowdown in the growth rate of the home appliance industry. In the first three quarters of 2011, the return on net assets remained above 23%.

It is reported that Gree will raise funds to invest in the headquarters of commercial air-conditioning technology expansion, Wuhan commercial air-conditioning construction, Zhengzhou home air-conditioning construction, annual output of 6 million new energy-saving environmental protection household air-conditioning compressors and energy-saving environmental protection refrigeration equipment engineering and technology research center Technological transformation and construction of 5 projects. Gree Electric Appliances expects that after the project is put into production, it will realize an annual sales income of 7.106 billion yuan and realize a net profit of approximately 1.013 billion yuan, of which the commercial air-conditioning project will generate a total annual sales revenue of 3.261 billion yuan and realize a net profit of 482 million yuan.

Gree Electric vice president and director secret secretary Wang Jingdong said that Gree has always insisted on the specialization of the air-conditioning industry, in the future will be both breadth and depth efforts. In breadth, extending from home air conditioners to central air conditioners, central air conditioning will be the new profit growth point. In terms of depth, Gree has mastered the upstream core technology through technology research and development and continuously enhanced its own technical control capabilities. The policy of home appliances to rural areas that once contributed 100 billion yuan in revenue to home appliance companies has slowly come to an end. Some industry analysts believe that with full market competition, Gree Electric Appliances can gradually erode with its cost advantage and brand value due to its leading technology. The market share of other SMEs, and home appliances to the countryside and other policies in the past few years to some extent eased the market competition, weakened Gree's advantage in this regard.

As one of the pillar industries of China's economy, how to upgrade the image of the industry and promote China's transformation from a large household appliance manufacturing country to a large home appliance company is an important issue in the industry. Gree Electric Appliances, as a leader in China's air-conditioning industry, has been leading the industry in technological innovation. On December 17, 2011, after two years of efforts, Gree independently developed a two-stage high-efficiency permanent-magnet synchronous frequency centrifugal chiller. The high-efficiency DC inverter centrifugal unit gathers the latest technological achievements of Gree's central air-conditioning units, owns 100% independent intellectual property rights, saves more than 40% energy than conventional centrifugal chillers, and increases the unit efficiency by more than 65%. It also contributes to China's large-scale construction energy conservation and even energy strategy. has great significance. In addition, Gree high-efficiency centrifugal chillers, which were successfully developed at the end of 2009, have also received extensive attention as the core equipment for the “Eleventh Five-Year” National Science and Technology Support Plan Major Project “Temperature and Humidity Independent Control System”. According to calculations, if China's 500 million square meters of large-scale public buildings use this unit, it can save 7.9 billion kwh of electricity and reduce 7.88 million tons of carbon dioxide emissions each year.