On January 23, as a listed company on the whole vehicle, Great Wall Motors took the lead in releasing the 2021 performance express.
According to the financial report, in 2021, Great Wall Motor's total operating income was 136.317 billion yuan, an increase of 31.95% year-on-year; net profit was 6.781 billion yuan, an increase of 26.45% year-on-year; Great Wall Motor achieved a net profit attributable to the company's shareholders of 6.782 billion yuan, an increase of 26.47% year-on-year.
Officials said that the increase in net profit year-on-year was mainly due to the increase in vehicle sales. In 2021, Great Wall Motor sold more than 1.28 million new vehicles, an increase of 15.2% year-on-year. Among them, the cumulative sales of new energy vehicles are 137,000 units, accounting for 10.7% of sales.
At the same time as the release of the financial report, Great Wall Motors also issued an announcement of personnel changes.
According to the announcement, Wang Fengying applied to resign as an executive director, vice chairman and member of the Strategy and Sustainable Development Committee of the company due to work needs, and she will continue to serve as the general manager of the company. At the same time as Wang Fengying, wang Fengying submitted his resignation report was also executive director Yang Zhijuan, who applied to resign as an executive director of the company and will continue to serve as assistant general manager in the company's production technology development center in the future.
At present, Great Wall Motors has 7 board members, and the chairman is Wei Jianjun, who is the actual controller of the company. Due to the small number of directors, Wang Fengying and Yang Zhijuan will continue to perform their duties. At the same time, Zhao Guoqing, deputy general manager of Great Wall Motors, and Li Hongshuo, financial director, are candidates for executive director of the seventh board of directors.
For the adjustment of board members, Great Wall Motors told Future Auto Daily that it is a normal change of directors, and the work for which they are responsible will not be adjusted.
It's all about change
Although she has been listed many times as an outstanding business woman in Forbes China, compared with the "Miss Dong" of Gree Electric Appliances, the 51-year-old Wang Fengying has a lot of low profile.
In 1990, 26-year-old Wei Jianjun contracted the Great Wall Industrial Company to enter the automotive industry, when the company had only 60 employees and debts of up to 2 million yuan. A year later, the 21-year-old Wang Fengying became a salesperson at Great Wall Motors, and because of her excellent work, she was able to continue to promote. Two months after joining the company, he was promoted to assistant manager, and then in two years, he was promoted to general manager of sales.
In the 1990s, there were not many models to learn from in China's auto marketing field. In order to sell the car, Wang Fengying led the team to learn from the home appliance company and explored a set of methodologies: change the agency system to the distribution system, and implement the "first payment and then departure" of the car. This method reduces the risk of payment collection, and at the same time, because of the focus on improving service quality, the Great Wall has exchanged a good reputation
Wang Fengying Source: Great Wall Motors
After the drastic reform, the Great Wall pickup quickly occupied the market and became the national sales champion. In 2001, Wang Fengying also went with the flow to serve as the general manager of Great Wall Motor Sales Co., Ltd., and two years later became the president of Great Wall Motors, becoming the company's veritable "second in command".
Great Wall Motor's 2020 financial report shows that Wang Fengying's salary in 2020 is 5.5058 million yuan, second only to Wei Jianjun's salary of about 5.74 million yuan.
Like Wang Fengying, Yang Zhijuan is also a veteran figure in Great Wall Motors, and since joining in 1999, she has successively served as the director of the comprehensive office of Baoding Great Wall North China Automobile Co., Ltd. and the director of the Great Wall Investment Management Department.
In fact, whether it is this adjustment or the adjustment of the organizational structure in the past two years, it is not difficult to find the heart of Great Wall Motors to change.
In the face of the menacing new energy wave, from the Haval Big Dog, Euler Cat series and tank series models, with novel naming, as well as explosive models, Great Wall Motors has been constantly out of the circle, and trying to extend the explosive strategy to other models.
At the same time as product marketing innovation, organizational structure adjustment has also become the key direction of great wall reform. In July 2020, as the Great Wall entered the "year of its establishment", Wei Jianjun expressed his "worries" and "anxieties" in an open letter entitled "A Letter to Great Wall Motors Partners: How Great Wall Motors Survive Next Year", and said that "change is a choice we have no choice." ”
Since then, Great Wall Motors has also embarked on a full range of changes. Specifically, Great Wall Motors has added the position of "rotating president", and at the same time, it has opened up the brand, commodity planning, research and development departments, set up a "combat unit" oriented to a single model, and also established a corporate digital center and a product digitalization center.
"As a traditional car company, Great Wall Motors is now facing many challenges, and elders like Wang Fengying and Yang Zhijuan are no longer adapted to the current changes in enterprises." Zhang Xiang, an analyst in the automotive industry, said that the automotive industry is developing in the direction of new energy and intelligence, and the future needs cross-border cooperation with the financial and technological industries, and the knowledge structure of some veteran leaders is more inclined to the management of the traditional industrial chain, which is not suitable for new development needs.
If you look at the seniority of the board candidates, Great Wall Motors is also seeking to rejuvenate the management. Zhao Guoqing, who is currently the deputy general manager of Great Wall Motors, is a post-70s generation, while Li Hongtuo is a post-80s and currently serves as a financial director.
Since joining Great Wall Motor in 2000, Zhao Guoqing has successively served as the director of the Lean Promotion Headquarters, the vice president of the Technology Research Institute, the director of the Supporting Management Headquarters, and the deputy director of the Technology Center, etc., and is familiar with the business of technology and procurement. Li Hongshuo led the construction and reform of the financial organization of the holding group, the construction and landing of the financial system and risk control system.
The company aims to sell 1.9 million units in 2022
In 2021, the chip and battery shortage crisis runs through the automotive industry for almost a whole year, and the sales and profits of many OEMs have encountered no small challenge. Judging from the final sales volume, Great Wall Motors cannot stand alone.
In 2021, Great Wall Motor's new vehicle sales were 1.28 million units, an increase of 15.2% year-on-year, but only 86% of the annual target. Among them, the cumulative sales of new energy vehicles are 137,000 units, accounting for 10.7% of sales. Overseas sales increased by 103.7% y/y to 143,000 units.
For the full year of 2021, Haval brand sales of 770,000 vehicles, electric brand Euler annual sales of 135,000 units, an increase of 140% year-on-year. The hard-to-find tank brand delivered 85,000 units in the whole year, and the sales of the Wei brand with high positioning were 58,000 units. The Great Wall pickup truck still maintains its head position, with sales reaching 233,000 units in 2021.
Source: Great Wall Motors
With the rapid pace of Great Wall Motors' expansion, behind the sales growth, hidden worries have gradually emerged.
According to the financial report, in 2021, the total operating income of Great Wall Motor was 136.317 billion yuan, an increase of 31.95% year-on-year, and the net profit attributable to the shareholders of the listed company after deducting non-deduction was 4.289 billion yuan, an increase of 11.8% year-on-year. It is worth noting that net profit in the fourth quarter fell 33.8% year-on-year to 1.837 billion yuan.
For the fourth quarter of the large profit decline, in the performance of the release of the communication meeting, the Great Wall said that it is mainly due to three reasons, the company's scale has further increased, the salary has increased, the total amount of year-end bonuses has increased; Euler users charging rights and interests are accrued 400 million to 500 million yuan; equity incentive expenses affect 500 million to 600 million yuan. Ping An Securities analyzed in the research report that the shortage of supply chain and the rising cost of raw materials are intertwined, which also affects the scale and profitability of product production.
In addition, the SUV market bet by Great Wall Motors is also facing competition in the Red Sea, and the championship status of its phenomenon model Haval H6 has been challenged. In September 2021, the haval H6's championship position was taken away by the Tesla Model Y. Among them, the high-end Wei brand is also unsatisfactory in terms of sales, with 58,000 wei brands sold 58,000 vehicles in 2021, while Geely's high-end brand Lynk & Co sold more than 220,000 vehicles in the same period.
In the face of more competitors in the market, Great Wall Motors must look for new increments.
On July 10, 2018, Great Wall Motors and BMW Group officially signed a joint venture agreement, which is the bmw group's first pure electric vehicle joint venture project in the world, and a key part of Great Wall's new energy vehicle integration with international standards.
"It's not that the Great Wall didn't want to have a joint venture before, but the joint venture with internationally renowned car companies can't be used by us." At that time, Wei Jianjun sighed and said that the joint venture of private car companies had taken an important step.
According to the plan, the beam automobile production base may be completed in 2022, which is the first joint venture project of Great Wall Motors with foreign car companies, which is undoubtedly of great significance to Great Wall Motors, and the head of Beam Automobile is Zhao Guoqing.
At the same time, the circle of friends of the Great Wall is also expanding. Following Russia, Thailand and India, Great Wall also exports vehicles to Pakistan. "Great Wall Motors is playing a big game, whether it is acquiring companies or investing in new power companies, the future action may be even greater." In Zhang Xiang's view, the next Great Wall Motor will make up for its shortcomings, first of all, to internationalize, and then to establish a relevant new energy company such as the hive, to develop intelligently and comprehensively.
In addition, Great Wall Motors' restart car project has also been on the string. In 2021, Great Wall Motors has released news such as entering overseas markets, adding motorcycle manufacturing, betting on hydrogen energy and self-developed batteries.
According to the plan, in 2022, Great Wall Motor's new energy models will also apply Dayu battery technology and carry cobalt-free batteries. And lemon hybrid DHT, hydrogen energy related technologies will also land.
In 2022, as the big year of Great Wall Motors' products, including Euler Ballet Cat, Lightning Cat, Punk Cat; Tank Brand Tank 700 and 800; pickup trucks, new platform models such as King Kong Gun are launched, and the average bicycle price is expected to further increase.
For the more competitive 2022, the Great Wall also gave a higher goal, and will achieve annual sales of 1.9 million vehicles in 2022, an increase of about 48.32% compared with 2021. And in 2025 to achieve annual sales of 4 million vehicles, new energy vehicles accounted for 80%, operating income of more than 600 billion. This also means that the revenue and sales of new energy vehicles of the Great Wall will increase to 4.4 times and 23 times in 2021 respectively.
The author | Qin Zhangyong
Edit the | Wang Yan