Recently, Dong Mingzhu, Chairman of Gree Electric Appliances, responded to the company's failure to be listed on the Fortune Global 500 in an interview program:
"What's so sad about me? I'm not at all upset. Seeing the company (Gree Electric Appliances)" I am very happy about being so healthy, what's so sad about? It's better than the top 500 with explosive mines. What's the point of wanting that Fortune 500? Because it only looks at sales revenue, I have a clear understanding of whether the company is good or not, and whether there is any illness or not. No matter how beautifully you dress, it's just the appearance. What are the benefits of the Fortune 500? I have asked, the first is that the government will give you a high glance during reception; The second is to get a good loan from the bank. But what does the real development of enterprises rely on? Relying on your inner strength, innovation ability, talent accumulation, and management level
But when Gree first entered the list in 2019, Dong Mingzhu's response at the time was a "faint smile.". At that time, the company made its debut on the Fortune Global 500 list with a revenue of 2005 billion yuan, ranking 414th, and its return on equity ranked first among Chinese listed companies.
At that time, Dong Mingzhu said in a media interview, "When I heard this news, I just smiled faintly. Because I think, like all Fortune 500 companies, Gree Electric's entry into the Fortune 500 is an inevitable result of corporate development." She also said, "Whether it's 100, 50, or first place, whether the company can achieve sustainable development and whether it has real vitality is the most important thing."
From 2020 to 2022, Gree Electric Appliances ranked 436th, 488th, and 487th on the Fortune Global 500 list, respectively. At the same time, Dong Mingzhu herself was also listed in the 2020 Top 50 Most Influential Business Leaders in China, ranking tenth.
2019 is indeed a relatively special year. The Fortune Global 500 list is based on the release of the previous year's corporate revenue. In 2018, Gree Electric's revenue exceeded 200 billion yuan, winning the "gambling game" set by Dong Mingzhu and Lei Jun in 2013. In 2019, its revenue slightly increased to 2005 billion yuan. 2018 is still the third year for Gree Electric Appliances to diversify its business. According to its 2018 financial report, the company's household appliances and intelligent equipment sectors achieved growth of 64.9% and 46.19%, respectively.
In 2019, Dong Mingzhu was re elected as the Chairman of Gree Electric Appliances and began a channel reform led by "Gree Dong Mingzhu Store", breaking away from the previous solid distribution system established with offline suppliers and focusing on online channels to directly sell to consumers.
After 2019, the pandemic brought challenges and diversified investment did not show significant improvement. Gree Electric Appliances' revenue has once again fallen below 200 billion yuan in the past three years. From 2020 to 2022, the company's revenue growth rates were -14.97%, 11.24%, and 0.26%, respectively; The growth rates of net profit attributable to the parent company were -10.21%, 4.01%, and 6.25%.
