Household Appliance Business Forecasts in the First Half Year

The topic of “money shortage” and “policy weaning” has not been reunited. In 2013, the financial statements of China’s home appliance listed companies will be released in the first half of the year. In the short term, people in the industry are relishing the many companies listed in the first half of the year who have earned "full coverage." The market's concerns have also attracted widespread attention.

Zuo Yanjun, Brand Director of China Yikang, believes that the semi-annual report soon to be released may present the following features: First, benefit from the impact of the first half of the project on energy-saving and people-friendly projects, and promote the sales and profitability of home appliance listed companies. The performance of most listed companies will increase. In a flashing red, some listed companies with smaller funds may grow by more than 50%. Second, the product structure of listed companies has been further optimized. Energy-saving and high-efficiency products have been continuously strengthened to help upgrade and upgrade the product structure. Third, the degree of industry concentration It is said that large-scale home appliance companies will grow stronger, and small and medium-sized home appliances may not be able to escape the integration of fate in the second half of the year.

Zhong Yikang predicts that in the second half of 2013, the decline in sales of the home appliance industry is expected to be between 10% and 20%, and the decline rate of some categories will reach 40%. The industry's decline is now a foregone conclusion. This shows that in the past, the era of over-reliance on policies to boost the rapid growth of the market has passed. In the future, the home appliance industry should prevent blind investments from aggravating excess production capacity.

Zuo Yanlu believes that in the second half of the year, the liquidity of corporate money brought about by bank capital credit will be solidified, and the circulation rate of funds will be slowed down, which will cause many hidden troubles such as the purchase of raw materials, the turnover rate of current assets and the increase of advance receipts in household appliances manufacturing. In particular, with the current recovery of the domestic real estate market, the current large amount of funds to abandon the real economy and switch to real estate will bring serious challenges to traditional manufacturing. Zhong Yikang believes that with the expected lowering of the home appliance market in the second half of the year, it will further accelerate the increase in market concentration and the differentiation of the SME camp, resulting in the formation of a situation in which “big fish eat small fish and small fish eat shrimp”.