The US group that is taking out the real money and repurchasing is not in the secondary market.
The announcement on the evening of August 7, 2018 showed that the repurchase action of Midea Group (stock code: 000333.SZ) had accumulated a total of 1.25 billion yuan as of the 7th, which had reached the total repurchase amount of 4 billion yuan declared on July 5. In the repurchase plan, Midea Group declared that the purpose of the share repurchase is to 'match the stock price with the company value' and 'maintain investor interests'.
Recalling the 2015 repurchase action, Midea Group did succeed in stabilizing the stock price. But this time, the situation has been greatly different.
It is not an exaggeration to say that he is on the road to internal and external troubles.
Source: Wind
Source: Wind
Source: Wind
As of December 31, 2017, the total assets of the United States were 248.1 billion yuan, the balance of monetary funds was 4.8 billion yuan, the net assets attributable to shareholders of listed companies was 73.7 billion yuan, and the asset-liability ratio was 67%. In 2017, it became a shareholder of listed companies. The net profit was 17.3 billion yuan. Assuming that the repurchase funds of 4 billion yuan were all used up, the repurchase funds accounted for 1.6% of the total assets of the US group, accounting for 5.5% of the net assets.
The purpose of this repurchase of shares: to be written off, thereby reducing the company's registered capital, thereby increasing the level of earnings per share.
tips
According to the "Company Law", there are four kinds of situations in which stocks are allowed to be repurchased: 1. Reduce the registered capital of the company; 2. Consolidate with other companies holding shares of the company; 3. Award the shares to employees of the company; 4. Shareholders Due to the merger of the company made at the shareholders' meeting, the resolution of the division disagreed and asked the company to acquire its shares.
The repurchase price: no more than 50 yuan per share
Total funds for this repurchase of shares: no more than 4 billion yuan
Estimated number of shares repurchased: not less than 80 million shares, accounting for about 1.2% of the company's total share capital
Source of funds for repurchase shares: corporate self-use funds
Source: Wind
As can be seen from the above table, 4 billion yuan is a piece of cake for Midea Group's huge self-owned funds project, which only accounts for about 7%. In the month after the announcement of the repurchase, Midea Group has achieved the repurchase target. 31%, is expected to reach its commitment to the stockholders, no longer repeat the same as Vanke. Vanke once announced in 2015 to repurchase 10 billion company A shares, but only repurchased 160 million yuan.
This year, the A-share company that used the repurchase shares to write off to stabilize the stock price also has Junsheng Electronics. Junsheng Electronics has already repurchased 53 million shares and paid more than 1.3 billion yuan. Since the release of the repurchase plan, the share price of Junsheng Electronics It has been maintained at a fairly stable level, and the repurchase has stopped immediately.
However, from the recent performance of Midea Group, it seems that it is still not too optimistic. Since the beginning of this year, under the attack of Gree Electric Appliances, the problems of the US group itself have begun to emerge.
Source: Wind
Source: Industry Online
Source: Industry online industry, China's home appliance industry is now beautiful, Gree and Haier are three-point world, both competition and monopoly. Although the US market value has always ranked first, 2018 first quarter revenue is still far ahead, but net profit However, it is almost the same as Gree Electric Appliances, only 20.5% year-on-year, and was slammed by Gree's 39% year-on-year.
Haier's revenue was 13% year-on-year and net profit was 15% year-on-year. Midea Group's 2018 first-quarter earnings report showed that the total operating cost was as high as 63.9 billion yuan, indicating that the company's internal operating and management costs were high; The acquisition of KUKA and Toshiba, the implementation of the equity incentive plan and other major actions led to the US's vitality, so it has not yet made its own report look good. It and Gree's 'cutting constantly, reconciling' the lawsuit also on corporate reputation and Reputation also has a certain impact.
In terms of the economic environment, the intensification of trade friction between China and the United States has also worried investors. Although the United States has repeatedly stated that its export to the United States is not high, the overall performance has not been affected, but the high trade tax and the depreciation of the RMB have brought pressure to the A-shares. The decline in the broader market is also one of the reasons why the US stock price has not recovered since the announcement of the repurchase.
Source: Wind In the face of increasingly fierce market competition, in addition to increasing R&D investment and improving channel efficiency, Midea entered the field of artificial intelligence by acquiring KUKA last year, which is expected to become a new growth point for the US. But according to KUKA 2018 According to the mid-year report, KUKA's operating income for the first half of the year was 1.597 billion euros, compared with -11.2%, but management fees and sales expenses still increased, resulting in a net profit of -16.6% year-on-year. Development still needs to wait and see.
US 2012-2017 sales, operating income net interest rate
Source: Wind
Source: Wind
Since the listing, the production and sales volume of the US has increased every year, but the quality of revenue has declined. The net profit margin of operating income has dropped from 9.92 in 16 years to 7.69 in 17 years. The data of Ovi Cloud shows that even the monopolistic small household appliance industry of Lianmei There are always latecomers who have seized a lot of market share. For example, Supor, Jiuyang has occupied 50% of the small household appliance market in 17 years. Xiaomi, which is listed in Hong Kong and the bear in the IPO process, are also potential competitors. Therefore, the transformation path of the United States is much more difficult than expected.
Although the move of repurchasing shares reflects the sense of corporate responsibility and self-confidence of its own stock price, the stock price is still far from the 50 yuan declared in the plan. The repurchase amount of 4 billion yuan is compared with the group's 241.9 billion yuan camp last year. In addition, it seems that there is not enough sincerity. The Sino-US trade friction has heated up the entire A-share market. The United States wants to regain the confidence of the stockholders. I am afraid it will take time.