As the boss of the former color TV industry, Sichuan Changhong is very curious about all these years.In the era of rapid technological change, it seems to have lost its way and its performance has been in a downturn.However, as a huge loss of 1.974 billion yuan in Changhong in 2015, However, according to the latest report released in Q3 2017, the company's net profit after deducting non-recurring profits was 75.76 million yuan, making it profitable for the whole year to make profit. Why did the giants of the household appliance industry step into the performance mire Difficult to extricate themselves? Changhong TV as a once-old user, observe the monarch to sort out some of the cause and effect.
The fall of the way the old home appliances Gangster
After its listing in 1994, Changhong, which started as a military, has experienced a golden period of development and ranks among the largest home appliance giants, ranking the same level as Qingdao Haier for some time. However, now it is getting farther and farther away from the latter. , Sichuan Changhong deducted non-post loss of 75.76 million yuan in the third quarter of 2017, while Qingdao Haier deducted non-profit of 49.65 billion yuan over the same period. Changhong now has a market capitalization of 18 billion yuan and Haier has already exceeded 100 billion yuan, a big difference. Hisense TV production camp television, the third quarter buckle non-profit is still 485 million yuan, the market value of 21.3 billion yuan, but also hang Changhong.
Changhong's abjection, there are two landmark events: First, its huge suck accounts with the American company APEX, so that Changhong vitals; First, strategic failures, huge amounts of money into the plasma TV project, the market abandoned.
The dispute with APEX took place in the heyday of Changhong. In early 2001, Changhong with overcapacity began to implement the strategy of "big market with big foreign trade" and selected the United States as the main sales market. APEX Company was the target of the cooperation and the credit sale was conducted in the United States Trade.
However, after Changhong provided products to APEX, its accounts receivable increased sharply. In early 2001, Changhong's accounts receivable was 1.82 billion yuan, up by 2.82 billion yuan by the end of the year, an increase of 58.2%. The end of 2003, Changhong accounts receivable has reached 4.98 billion yuan, of which APEX owed 4.45 billion yuan at the end of 2004, Changhong notice that 'US importers APEX companies involved in royalties due to anti-dumping and Poor management and other factors appeared a larger loss, there is a big difficulty in paying the company arrears, 'exposed to the outside world this amazing amount of bad debts.
According to Changhong 2004 annual report shows that this led to a bad debts Changhong loss of 3.681 billion yuan in the year that is, that year, Ni Runfeng retired chairman of Changhong, chairman Zhao Yong is now taken over, if in front of huge losses to blame APEX this 'Pig teammates', then behind the strategic failure, Changhong management is duty-bound.
At that time, the color TV industry was facing a fork in the road that was upgraded from CRT to plasma and LCD TVs.
In 2006, Zhao Yong formally announced at the 'Industry Strong Provincial Conference' in Sichuan Province that Changhong Investment decided to make a plasma screen. In the same year, Changhong invested 2 billion U.S. dollars to cover Korea's Orion plasma company and subsequently invested 720 million yuan to set up Sichuan Rainbow Display Devices Co., Ltd., the main production plasma panels.
However, we all know the back of things, the market eventually chose the LCD screen.
By the end of 2013, Changhong's investment in Hong Europe reached 1.72 billion yuan, but the result was an annual loss. By 2014, Changhong finally became unbearable. The announcement claimed that the company sold 61.48% of Hong Europe Co.'s stake of 64.2 million yuan. At this point, Completely failed .At this time, on the plasma project, Changhong has invested more than 40 billion yuan.
Can be seen that the decline of Changhong not only because of the encounter in front of the 'pig teammates', but also because there is behind a 'dizzy' management, bitter ah!
Blind diversification, artificial intelligence difficult to sustain future performance
After the plasma project ended in failure, seeing Changhong TV market in the revival has been basically hopeless, but as in 2014, the wave of networking, intelligent start sweeping the appliance industry, the major home appliance enterprises focus on intelligent transformation Haier, the United States , Gree three giant also successively threw out its intelligent strategy and establish their own intelligent ecology; Internet companies such as Ali, Xiaomi, Suning and other Internet giants, retail giants, also joined the battlefield.
For Sichuan Changhong, this is another chance of rejuvenation, but whether it can 'overtake a car' is not optimistic at the moment. The fundamental reason is that after losing the market hegemony in the television market, Changhong has long lacked its core products and has diversified Development is too blind.
In fact, Changhong has long diversified the way, such as batteries, air conditioners, and even into the cell phone, IT products industry in 2005. After 2008, it is even into the fiery real estate in 2017 into the year, Changhong diversified road is still going.According to the 2017 semi-annual report shows that Changhong launched smart home application solutions, intelligent control, security, media, energy, health and other five business breakthroughs to achieve scale IPO.
Energy? Health? Changhong in these two areas very powerful? Look at the humble opinion, so full of nets on the current Changhong is really inappropriate.
In addition, semi-annual report of the company in 2017 shows that the turnover of intermediate products of Changhong Main Products is the largest, at RMB8.88 billion, followed by IT products at RMB8.41 billion. The revenue of white goods and black appliances are respectively 78 Among them, black home appliances in the battery, set-top boxes, communications products operating income was 530 million yuan, 440 million yuan, 100 million yuan. In addition, the transport processing industry, real estate contributed 480 million yuan for the company, 3 Billion yuan revenue.From the above data also can be found, Changhong, although the shop paved large, but not the core competitiveness.
In contrast, Haier mentioned earlier, which has been focused on the production of home appliances, rarely involved in other areas.According to its 2017 semi-annual report shows Haier refrigerators turnover is much higher than other products, which is that it has the core competitiveness Hisense appliances as well, its main product is only the TV, but the performance 'spike' Changhong.
If there is bright spot in Changhong, that is to start early enough in the field of artificial intelligence .2012 years, Changhong began the basic research related technologies 2016 is the first to launch the world's first artificial intelligence television, but for now, Its competitors such as Hisense, TCL, Skyworth, etc. have also quickly followed up.Although the start early, in the field of artificial intelligence television, Changhong did not show obvious advantages, the introduction of artificial intelligence television, but also only to make some achievements in 2016 Turnaround: After entering the year in 2017, it will be in a state of exhaustion and the alarm of loss will be sounded again.
Although the early bird has the worm to eat, but the wings are not hard enough, the lack of core skills, after all, grab the eagle.
Lost money earned, supported by subsidies live long?
In fact, from the financial statements, this year, Changhong turnover is growing trend in the first three quarters, operating income increased 12% to 54.4 billion yuan, but net profit but fell 68% to 160 million yuan, and Non-deduction, the loss of 75.76 million yuan.
In this regard, Changhong did not give a clear explanation in the three quarterly reports, but according to its disclosure in the semi-annual report, the reason for the decline in profits stemmed from the fact that the price of bulk materials such as copper, steel and panel materials rose rapidly and caused a profit margin for the related industries A certain squeeze, refrigerator (freezer) business profit decreased year on year; subject to the impact of commercial projects settlement, resulting in real estate business profits fell 200 million yuan year on year; Indian market environment led to reduced set-top box shipments and so on.
According to the three quarterly shows, Changhong apparently got a lot of 'extra money', there will be a net profit of 160 million This is the Changhong through the disposal of non-current assets received 130 million yuan from government grants, 140 million Yuan, after deducting the two huge sums of money, Changhong profit-loss from profit also taken for granted.
In fact, as early as 2014 and 2015, Changhong deducted a loss of 1.68 billion yuan and 480 million yuan respectively. Without the allowance of 260 million yuan and 240 million yuan, it would have been a 'hooded' at that time. , Changhong book data in recent years, largely rely on the government subsidies, but this is not a long-term plan. Relying on government subsidies to live, which makes the face of the old TV boss put aside? But this is fact.
The performance of Changhong was originally improved in 2016. Unfortunately, this trend is difficult to sustain in 2017. On the other hand, the share price of other home appliance manufacturers such as Gree, Midea, Haier and Boss Electric Soaring, Sichuan Changhong is still hovering in the range of 3. In the moment of the value of investment is popular, the capital market is so indifferent to it, combined with the above analysis, presumably own its own reason.Previous blue-chip stocks fell to this situation, Of course, in recent years, Changhong has introduced CHiQ series of TVs, refrigerators, air conditioners and other products, a strong desire to change. Although failed to reproduce the glory of the past, at least not out of the market trend, be regarded as the future to retain a first-line rejuvenation Hope it