May 31 was the last day of the appointment of Chairman Dong Mingzhu of Gree Electric Appliances. However, Gree Electric did not change the board of directors on schedule. The overtime service of 64-year-old Miss Dong was a foregone conclusion. Over the years, Gree and Dong Mingzhu have been firmly established. Bundled together, the company has deeply marked the personal imprint of Dong Mingzhu. There is no doubt that her leaving is undoubtedly a hot topic.
Extension: Missing Shareholders' Meeting
Since joining the company in 1990, Dong Mingzhu has been working in Gree for 28 years. In 2012, she took the retired Zhu Jianghong, served as Chairman of Gree Electric Appliances, and served as Chairman of Gree Group. Gree has since entered the 'Dong Mingzhu era' .
The Gree Electric Appliances annual report shows that Dong Mingzhu’s chairmanship is from May 25, 2012 to May 31, 2018. With the approaching of the transition time, Dong Mingzhu’s own attention is to stay, it’s very worrying about the outside world. Although there were hot discussions outside the company, Gree Electric Appliances did not want to change the term immediately. The general meeting of the board of directors was supposed to be held yesterday. The company has neither issued an announcement in advance nor released any sounds about the change of the term. So many 3. It is speculated that Gree Electric's postponement of the eighteen-year extension is ten.
Regarding the reasons for the postponement of the change, the reporter contacted Jing Lidong, the director of Gree Electric Appliances, but the other party did not answer the phone and did not reply to the confirmation SMS. A staff member of Gree Electric stated that he had not heard of the change of the board of directors. .
It is not uncommon for the board of directors of a listed company to postpone a change. Every year, a large number of companies postpone the change for various reasons. For example, Vanke once had to postpone the election of the board of directors until the parties reached an agreement because the share strife has not yet been resolved. The industry believes that there will be no irregularities in the deferral of the term of office. The current board of directors can continue to perform its duties before the reelection. This is also the performance of the company's normal operations and accountability to all shareholders.
Replacement: Dong Mingzhu stays with a high probability
According to the annual report, Gree Electric Appliances reported a revenue of 148.2 billion yuan in 2017, an increase of 36.92% year-on-year, and a net profit of 22.4 billion yuan, a year-on-year increase of 44.87%. Both indicators broke the record. The dazzling performance of the company is undoubtedly a bonus for Dong Mingzhu’s stay. item.
However, Dong Mingzhu's ability to stay in office will depend on the attitude of Gree Group and its actual controller Zhuhai SASAC. Gree Group is the largest shareholder of Gree Electric Appliances. As of the end of last year, Gree Group held 18.22% of the shares of the listed company. According to the company's articles of association, the company's board of directors, board of supervisors, and shareholders who individually or jointly hold more than 3% of the company's shares have the right to nominate directors and supervisor candidates.
However, the relationship between Gree Group and Gree Electric Appliance Co., Ltd. has always been delicate, and the conflict between 'father and son' is not a secret. Dong Mingzhu has disclosed 'Tucao' in Zhuhai City SASAC: 'When Gree faced difficulties, it had to look for SASAC, SASAC. If we don't understand it, let us solve it ourselves. But when it comes to interest problems, their hands reach out.'
In October 2016, the SASAC announced that it removed the chairmanship of Dong Ming Zhu Gree Group because it was the head of the group and the listed company and it was not in compliance with the relevant provisions of the state-owned enterprise reform on part-time jobs. However, the outside world interpreted it as saying that this is only for Dong Mingzhu. Instead of an up-front bedding.
But now it seems that these speculations may not have been important. On May 16th, the Gree Dream Festival invited a special guest platform - the Zhuhai Municipal Committee Secretary Guo Yonghang who had just served three months. In front of the 30,000 Gree employees Dong Mingzhu, a distributor at home and abroad, still said in a polite manner that 'retirement is a natural law, but I think I am still young today. Although I am already in my 60s, my heart is like 25 years old.'
Guo Yonghang also said in his speech: 'I hope 'young' Dong Mingzhu will lead the young Gree to go better'. Many people think that this is the recognition of Dong Mingzhu’s continued leadership of Gree.
Future: Gree Diversification Dilemma to be solved
From the perspective of Gree, Dong Mingzhu and Gree and Gree and Dong Mingzhu have relatively deep bindings. The value of the two brands is combined into one, and everyone will also consider the risk of her not being re-elected. Expert Hong Shibin believes that although the current situation is not particularly clear, Dong Mingzhu’s re-election opportunities are relatively large. In addition, referring to Zhu Jianghong’s 67-year-old retirement age, Dong Mingzhu should have been able to do another two or three years.
Another issue that is of concern to the outside world is that even if Dong Mingzhu stays in office, Gree can get out of the dilemma of diversified development. 'Let's talk about doing a mobile phone, talking about building a car for a while, talking about doing a robot for a while, and now saying to be a chip, Excuse me, what has been done in addition to the old air-conditioning line?” Some investors have questioned Gree’s ups and downs in the diversification of its development in recent years.
As the leading domestic air-conditioning industry leader, Gree actually encountered the ceiling of the industry. Diversification has become an inevitable choice for Gree. Since 2014, Gree has been trying to expand its category, such as Jinghong refrigerator series, Dasong series small household appliances, and Gree mobile phones. Judging from the effect, the product line is slightly more abundant, but Gree's revenue exceeding 90% still comes from the air-conditioning sector. The air-conditioner business has not changed its situation. In 2017, the air-conditioning revenue accounted for 83.22% of the total, and other household appliances accounted for Only 1.55%, intelligent equipment accounted for 1.43%.
Gree mobile phone was tepid, except that it had been caused by Tucao's "traffic," which had little market share. It was considered to be a major failure of Gree's cross-border. Gree planned to acquire Zhuhai Yinlong as a new energy vehicle, but it was The shareholders' meeting rejected the proposal. In the end, Dong Mingzhu had to invest in his personal capacity. Recently, Dong Mingzhu claimed to enter the field of chips. 'If you vote for 500 billion yuan, you have to succeed!' But Miss Dong's vacillating diversity can't help but Let people knead sweat.