Midea Group spent about 4 billion yuan to buy back shares. It was passed at the general meeting of shareholders today (July 23). In response to questions from investors, Fang Hongbo, chairman and president of Midea Group, said that the number of future employees in the US There will be no adjustments, but the staff structure will be further optimized to increase the proportion of R&D and technical staff.
Previously, Midea Group announced on the evening of July 4 that it intends to repurchase with no more than 4 billion yuan. If it is fully implemented, it will become the largest repurchase in the history of A shares.
On July 5, Midea Group issued an update announcement stating that it intends to repurchase the company's shares with its own funds of no more than RMB 4 billion. The repurchase price does not exceed RMB 50/share. The announcement shows that the repurchase amount is estimated based on the upper limit of the repurchase amount. The number of shares is not less than 80 million shares, accounting for more than 1.2% of the company's current issued total share capital. At the same time, the repurchase method is a centralized bidding transaction, and the repurchase period is 12 days from the date of review and approval of the share repurchase plan by the shareholders' meeting. Within a month.
According to public information, in 1980, the 'beauty' predecessor officially entered the home appliance industry. In 1981, the registered beauty brand was officially marketed. Since its development, Midea Group's products involve air conditioners, kitchen appliances, ice washing and other home appliance industries, and have relatively complete domestic small household electrical appliances. Group and kitchen appliances group, owns more than ten brands including Midea, Little Swan, Welling, Hualing, Ande, Meizhi.
Since 1980, Midea Group has developed into a giant in the white goods industry after 38 years of ups and downs in China's home appliance industry. According to the recent financial report of Midea Group, Midea Group achieved operating income of 240.712 billion yuan in 2017, compared with The growth was 51.35%; the net profit was 17.284 billion yuan, up 17.70% year-on-year; the net profit after deduction was 15.614 billion yuan, up 15.72% year-on-year. In the first quarter of 2018, Midea Group achieved operating income of 69.738 billion yuan, up 16.70 year-on-year. %; realized net profit of 5.256 billion yuan, an increase of 20.76%; net profit after deduction was 5.078 billion yuan, an increase of 19.11%.
Midea Group said that the repurchase is based on the confidence of the company's future development prospects, taking into account the company's recent stock secondary market performance, and based on the company's operating conditions, the main business development prospects, the company's financial status and future profitability, etc. According to Midea Group's operations, finances and future developments, the company believes that the 4 billion yuan share repurchase amount will not have a significant impact on operations, finance and future development.
In response to the investor's question, Fang Hongbo said that although the profit of the US robot business is not higher than that of the US original home appliance business, compared with other robot companies, the profit margin is not low. This reflects the beauty group's presence. The layout of the intelligent manufacturing field is further accelerating. In 2016, Midea Group's acquisition of KUKA Group, one of the world's four largest robotics companies, enabled Midea Group to complement the robotics industry segment. At the Midea Group's annual strategy conference on March 7, 2018 Midea Group released its 2018 annual strategy, which is driven by digital and artificial intelligence to create a beautiful version of the industrial Internet. It has launched a new strategy of 'human-machine new generation', and introduced robots to create smart factories, focusing on big data-based Analyze and open up, let all businesses connect and make greater efforts to build an industrial Internet ecosystem. Three months later, from June 12th to 13th, Midea Group showed the latest development of the company's intelligent manufacturing and production line for the first time, including its robot manufacturing. Company KUKA's intelligent equipment and intelligent logistics business of cleaning appliances.
For the application of robots, Fang Hongbo believes that the future automotive industry will gradually become saturated, and the Chinese robot market has the advantage of diversified business structure, and the robot penetration rate is low, so the US robot business will have a large market space in the future. As mentioned in the opening paragraph, in order to realize the 'human-machine new generation' strategy, Fang Hongbo revealed that there will be no adjustment in the number of future employees of the United States, but the staff structure will be further optimized to increase the proportion of R&D and technical personnel.