Changhong's "selling houses" back blood, why did the former "color TV king" fall here?

Wen | Ningwen

Sichuan Changhong (600839.SH) is planning to sell a house to "cross the robbery".

On the evening of August 24, 2022, Changhong in Sichuan announced that in order to revitalize the stock assets, the company's Mianyang, Wuhan City and other places have 31 units of stock real estate and sold them on the Western Stock Exchange. The reserve price of 31 sets of real estate was 166 million yuan. According to low -cost calculations, after deducting the book value and various taxes, the 31 sets of real estate is expected to have a net profit of the company's consolidated caliber of 40 million yuan.

Behind the sale of real estate is Sichuan Changhong's sluggish performance over the years. On the same day of the announcement of the "Selling House" announcement, Sichuan Changhong also disclosed the financial report in the first half of 2022. Its operating income was 43.948 billion yuan, a year-on-year decrease of 10.71%; net profit was 152 million yuan, and the non-net profit was -2411.34 million yuan.

The horizontal contrast can be found that the net profit that 31 real estate may bring is close to the net profit of Sichuan Changhong in the first half of 2022. As the former "color TV king", Sichuan Changhong's "selling land" survival, on the one hand, shows the distress on its financial data. On the other hand, it may also imply that it has not found a strong "new story".

Color TV king's slump is all showing

The predecessor of Changhong in Sichuan is a state -owned Changhong Machine Factory. As one of the six national technology innovation pilot companies, it has accumulated many cutting -edge technologies. This also makes Sichuan Changhong have a certain first -mover advantage in the subsequent television popularization boom.

According to official information, in December 1972, Sichuan Changhong went to Malaysia TV project; in March 1985, Sichuan Changhong launched China's first domestic color TV CJ37A.

At that time, with the reform and opening up, consumers had high income, and televisions became "national consumer goods". According to data from the National Bureau of Statistics, in 1990, the output of Chinese color TVs was 10.23 million units, an increase of 8.8%year -on -year.

On the one hand, the product has core competitiveness; on the other hand, the market is growing rapidly, and Sichuan Changhong has also become China's "color TV king" in one fell swoop. Investigation data shows that in 1997, Changhong TV's market share was as high as 35%. Since the first time in 1990, it has become a sales champion of the Chinese color TV market. In the next two decades, Changhong color TV has been the sales champion of the Chinese color TV market.

The financial report shows that thanks to the driving of TV revenue, from 2002 to 2011, Sichuan Changhong's revenue growth rates exceeded 20%, and even reached about 33%at the highest.

This also makes Sichuan Changhong the darling of capital. In 1994, Changhong landed in the Shanghai Stock Exchange and became a "first blue chip stock" in Shanghai at that time. The highest stock price reached 15.09 yuan/share. Qian Changhong Chairman Ni Runfeng once said: "You sell Changhong at any time, and you are right to buy Changhong at any time."

However, Sichuan Changhong's performance myth has not continued to this day. As mentioned at the beginning, in the first half of 2022, the revenue data of Changhong in Sichuan declined, which is largely caused by its TV business.

According to the data of Ovi Cloud Network, in the ranking of Chinese color TV sales in 2021, Sichuan Changhong's market share was only 7.55 %, ranking sixth, and there was a significant gap between the top three giants. According to the financial report, in 2021, Sichuan Changhong's TV business revenue was 13.842 billion yuan, accounting for only 13.89%of the total revenue.

Picture source: Ovi Cloud Network

Lost to the era, or lost to yourself?

Sichuan Changhong's television business is in trouble, part of the reason because the TV industry has entered the "downward era".

According to the data of Ovi Cloud Network, in 2021, the market retail volume of the Chinese color TV industry was only 38.35 million units, a year -on -year decrease of 13.8%, a record of the lowest record in twelve years.

Picture source: Ovi Cloud Network

Not only Changhong, Konka and Skyworth's TV business, who used to be a strong competitor of Changhong, has also shrunk. Taking Skyworth as an example, in 2013, with the strategy of "All in OLED", he stood the first position in the Chinese lottery electricity sales list.

However, due to the high price of the product and the gradually attracted by consumers' attention, it is difficult for Skyworth TV to grow. According to Loto Technology data, in 2021, Skyworth TV's shipments in the Chinese market were about 5 million units, a year -on -year decrease of 15.9%, ranking fourth.

Although the general trend determines that it is difficult for the TV industry to bring more dividends to the industry players, but this is not an excuse for the gradually weakening market influence of Changhong and Skyworth, because in the "downward era" of the TV industry The power has become a leader in the industry.

Taking Xiaomi as an example, it launched the first smart TV product in September 2013 and officially entered the TV industry. According to the financial report, in 2021, Xiaomi TV's global shipments were 12.3 million units, ranking top five in the world for three consecutive years.

Picture source: Xiaomi

Therefore, Changhong's TV business is in trouble. In addition to the narrowing of the industry dividends, a part of the larger part is due to its strategic decision -making errors.

Around 2005, the display technology of the TV industry has obvious forks. The industry players in the industry are arguing about the future of the ion or LCD representing TV. Sichuan Changhong chose to stand in a stand -up plasma TV and spent a $ 2 billion production line in an attempt to dominate the plasma upstream industrial chain.

However, due to the complicated structure, heavy weight, and the fatal shortcomings such as heat, plasma technology has not successfully innovated the TV industry. Around 2010, Hitachi, Panasonic, Samsung and other home appliance giants successively withdrew from the plasma track. In November 2014, Sichuan Changhong sold 61.48%of Hongou Company at a price of 64.2 million yuan. This also means that Changhong's plasma strategy has failed. During the period of Sichuan Changhong's "ALL in" plasma technology, Internet TV manufacturers represented by Xiaomi and LeTV rose. With the interaction of human nature, high cost performance and other fine operation methods, curve overtaking traditional TV manufacturers became the Chinese television industry. Leader.

Changhong has no new "story"

In the context of the fall of TV business, Sichuan Changhong did not sit still, but actively expanded new businesses. For example, in 2005, Sichuan Changhong entered the mobile phone and IT industry. In 2008, it even entered the fiery real estate industry.

Although Sichuan Changhong's main revenue pillar is no longer a traditional home appliance business such as television, air conditioning, refrigerator, it has not depicts a strong "second curve".

According to the financial report, in 2021, Sichuan Changhong ICT product revenue was 37.738 billion yuan, accounting for 37.88%of the total revenue, ranking first. But unfortunately, the gross profit margin of the business is only 3.09%, which is the lowest in all businesses.

In addition, although it is a home appliance company, the gross profit margin of traditional home appliances such as TV, air conditioning, and refrigerators in Sichuan Changhong is not dazzling. And 21.78%gross profit margin.

Picture source: Changhong

From the perspective of time, Sichuan Changhong entered mobile phones, real estate and other industries, and even proposed smart home application solutions, which actually catered to the trend of the times to some extent. However, in the process of practical operation, the crazy mergers and acquisitions did not expand the broader market of Sichuan Changhong. Instead, it lost its clear development direction in specific operations and became a "chaser."

The above predicament of Changhong in Sichuan is manifested in the specific business, which is "more but not fine". Compared with the company that focuses on a segmentation track, Changhong is difficult to bring "comparative advantages". Taking kitchen and bathroom products as an example, in 2021, Sichuan Changhong's business revenue was 1.33 billion yuan, a year -on -year decrease of 10.43%.

In comparison, in 2021, Fangtai Group's revenue focusing on kitchen and bathroom products was 15.5 billion, a year -on -year increase of 29%. As of the end of 2021, Fang Tai had nearly 6,400 authorized valid patents, of which more than 1,400 invention patents.

Sichuan Changhong, which has a poor profitability of the main business, is too wide to attract investors' attention. As of the close of August 26, 2022, Sichuan Changhong's stock price was only 2.8 yuan/share, a decrease of 81.45%from the high point of 15.09 yuan/share in 2015.

Selling real estate can revitalize the stock assets and increase the company's net profit in the short term, but if it does not completely reverse the dilemma of the traditional home appliance business, or find the "second curve", the stock price of Sichuan Changhong will probably go further in the future. Go down.

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