Reporter 丨 Ning Xiaomin Trainee 丨 Tian Qi
Produced by 丨aotou finance (theSankei)
The goal of great wall motor (601633) equity incentive plan this year does not seem to be complete.
Aotou Finance found that the three major brands of Great Wall Motor Haval, WEY and Great Wall Pickup trucks experienced simultaneous sales declines in August, September and November.
In the first 11 months of 2021, Great Wall Motor completed 75% of the target of 1.49 million vehicles, and the target of the equity incentive plan may not be completed.
Moreover, Great Wall Motor's debt ratio continues to rise, as of the end of the third quarter of 2021, the company's total liabilities reached 107.767 billion yuan, and the asset-liability ratio was 64.63%.
On the sales side, the Great Wall Motor Euler brand sold 114,100 units in the first 11 months, an increase of 162.21% year-on-year, which is regarded as a new hope.
However, recently, the Euler brand has encountered a "crisis of trust", and some car owners have found that the model delivered by the manufacturer is equipped with an Intel quad-core 3940 chip released in 2016, which is inconsistent with the publicity.
Under the pressure of huge public opinion, the solution given by Euler Automobile has nothing to do with the "replacement chip" that the owner hopes.
The 1.49 million unit sales target is almost impossible to complete
Recently, Great Wall Motor released the November 2021 production and sales report, showing that the company's November sales reached 122,500 units, down 15.65% year-on-year; the total sales in the first 11 months reached 1.1186 million units, an increase of 16.34% year-on-year.
The Haval brand is Great Wall Motor's sales ace, with sales of 69,200 units in November, down 32.06% year-on-year, and sales in the first 11 months were 675,600 units, a slight increase of 4.79% year-on-year.
A few days ago, BYD (002594) transferred the trademark "Wei" to Great Wall Motors. Great Wall Motors has the "WEY" brand, which was founded with the surname of the company's founder Wei Jianjun and belongs to the company's high-end brand.
However, the WEY brand as a "face" partner has not sold well.
The WEY brand sold 48,300 units in the first 11 months, down 29.46% year-on-year; sales in November were 6,286 units, down 31.09% year-on-year.
Aotou Finance found that since April 2021, WEY brand sales have been declining, and it has been 8 months.
Great Wall Motors started with pickup trucks and occupied "half of the country" of the domestic pickup truck market. Great Wall pickup truck sales in November reached 207,900 units, a slight increase of 2.27% year-on-year; november sales were 20,800 units, down 7.96% year-on-year.
Aotou Finance found that the three major brands of Great Wall Motor Haval, WEY and Great Wall Pickup trucks have experienced sales declines in three months in 2021, namely August, September and November.
Previously, Great Wall Motor announced a short-term sales target of 1.21 million vehicles in 2021.
However, Great Wall Motor's 2021 version of the equity incentive plan shows that from 2021 to 2023, the company's sales assessment targets are 1.49 million, 1.9 million and 2.8 million, respectively.
As a result, in the first 11 months of 2021, Great Wall Motor completed 75% of the 1.49 million target and 92% of the 1.21 million target. At present, the short-term sales target is more reliable, and the goal of the equity incentive plan may not be completed.
At the end of June, Great Wall Motor released the 2025 strategy, proposing to achieve global annual sales of 4 million vehicles by 2025, of which 80% are new energy vehicles, with operating income of more than 600 billion yuan.
"Chinese auto brands, in order to achieve a real sense of transcendence, only in the past three to five years, rapidly amplify the advantages, it is possible to lead the new track of new energy and intelligence." Moreover, the opportunity for Chinese car brands is only once. Wei Jianjun, chairman of Great Wall Motor, said at the 2025 strategy conference.
2021 is the first year of Great Wall Motor's "5-year Plan".
Great Wall Motor's 2021 version of the equity incentive plan also makes "requirements" for net profit, with assessment targets of 6.8 billion yuan, 8.2 billion yuan and 11.5 billion yuan from 2021 to 2023, respectively.
In the first three quarters of 2021, Great Wall Motor's net profit reached 4.945 billion yuan, an increase of 91.13% year-on-year. With the company's sales falling sharply, it is difficult to achieve the target of 6.8 billion yuan.
Moreover, in recent years, Great Wall Motors' debt ratio has been rising.
As of the end of the third quarter of 2021, Great Wall Motor's total liabilities reached 107.767 billion yuan, and the asset-liability ratio was 64.63%.
At the end of 2019 and the end of 2020, Great Wall Motor's total liabilities were 58.697 billion yuan and 96.670 billion yuan, respectively, and the asset-liability ratio was 51.90% and 62.77%, respectively.
From this point of view, Great Wall Motors' liabilities are in a trend of rapid growth in recent years.
The "core changing door" compensation scheme was accused of lack of sincerity
On the sales side, what are the highlights of Great Wall Motors? According to the Production and Sales Express, Great Wall Motor's new energy vehicle Euler brand sold 114,100 units in the first 11 months, an increase of 162.21% year-on-year; sales in November reached 16,100 units, an increase of 39.2% year-on-year.
However, the Euler brand is currently experiencing a "crisis of trust".
Recently, there are Euler good cat owners complained that the manufacturer said in the publicity that its vehicle intelligent service processing platform uses Qualcomm chips, has strong computing power and processing capabilities, and can quickly deploy efficient AI, automatic driving, intelligent visual integration and vehicle networking infotainment products.
However, Euler car owners found that the model delivered by the manufacturer was equipped with an Intel quad-core 3940 chip released in 2016, which was backward in performance and poor compatibility compared to the advertised Qualcomm chip, which seriously affected the user experience.
Miss Ding, the owner of the Euler car in Shanghai, introduced that she bought the Euler good cat top version in mid-2021, but the clerk introduced that the vehicle used an eight-core Qualcomm chip, and until recently reminded by the riders, she found that her chip was "stolen beams and columns".
On December 6, the incident was reported by CCTV Finance, and the next day, "Euler Automobile was exposed to suspected of defrauding consumers" was on the hot search.
In the face of the continuous fermentation of the topic of "Euler Good Cat Suspected of Defrauding Consumers", on the evening of December 7, Dong Yudong, general manager of Euler Automobile, said in an interview that he apologized for the troubles caused by the problem of Euler Good Cat chips to the majority of users, and promised to seriously investigate the ins and outs, properly handle related matters, and give consumers a satisfactory answer.
On December 9, under the pressure of huge public opinion, Euler Automobile gave a solution: the owner of the car ordered the Euler good cat model before December 31, 2021, and gave away a 7200 yuan worth of "like a tiger adding wings" equity package.
At the same time, the owners of the pre-car and the next order on the date of this announcement will enjoy the blessing rights. The blessing rights include: the first car owner is upgraded from the lifetime warranty of sandian provided in the "Like Tiger Add Wings" equity package to the lifetime warranty of the whole vehicle; the first car owner enjoys 10,000 yuan of charging rights.
In this regard, many car owners have expressed difficulty in accepting. "Obviously there is a problem with the chip, but it gives us the right to charge, which is not a donkey's lip against the horse's mouth, and it has not solved the real problem at all." Miss Ding, the owner of the car, said.
Mr. Ma, the owner of the Shanghai Euler car, said that the latest solution given by Euler avoids the heavy and the light, on the one hand, the compensation plan lacks sincerity, and more importantly, the compensation scheme does not solve the actual problems of the owner.
However, on December 11, in response to reports that Euler Automobile used Qualcomm 8155 chips and actually carried Intel 3940 chips, Great Wall Motors said that "the company did not mention in any channel that Euler Good Cat is equipped with 8155 chips."
Some insiders told Aotou Finance that in the Euler "core door replacement" incident, the vehicle itself had no quality defects, could not be recalled, and only affected the driving experience of the owner, and could not meet the requirements of "one refund and three losses", "However, this matter is suspected of consumer fraud, and the owner can make a claim."
Another thing to note is that the incident caused the great wall motor brand to be bruised. ”
In the secondary market, Great Wall Motor's stock price has fallen by about 16.5% since November.