Is Gree Electric Appliances profitable in 2025?

Yes. Gree reported FY2025 attributable net profit of RMB 29.00 billion on revenue of RMB 170.45 billion, both down 9.89% YoY due to subsidy withdrawal and export pressure, per its 2026-07-15 filing summary. Q1 2026 returned to growth at +3.01% profit.

Who owns Gree Electric Appliances?

Gree has no controlling shareholder since its 2019 mixed-ownership reform. As of 2025-2026, Hillhouse Investment Management holds about 16.3%, and Chairwoman Dong Mingzhu plus her affiliated vehicle Zhuhai Mingjun hold roughly 18% combined, per investing.com (2026-04-13).

Could AI replace Gree's manufacturing jobs?

AI-driven robotics is already displacing factory labor: Gree's Zhuhai smart factory launched a fully unmanned third production line in December 2025 using over 2,000 robots, cutting staffing from 70+ to about 20 workers per line, with plans to extend this to 13 more plants.

Who is Gree's biggest competitor?

Midea Group leads China's air conditioner market with 29% retail volume share in 2025, ahead of Gree, per Euromonitor. Together Midea, Gree, and Haier hold 71% of the domestic market in a stable oligopoly, with Gree currently number two or three by share.

Is Gree a safe company to join in 2026?

Gree is a 30-year-old, profitable Shenzhen-listed incumbent (RMB 29 billion net profit in FY2025) with a 7.8-10% dividend yield and buybacks, but faces two years of revenue decline and active US product-liability lawsuits over dehumidifiers filed in 2026.

Does Gree Electric Appliances pay dividends?

Yes, Gree paid roughly RMB 3 per share combined interim and final dividends for 2025, implying an estimated yield around 7.8-10% depending on share price date, per a 2026-07-15 financial forecast report.

Manufacturing companies · China

Gree Electric Appliances

gree.com ↗

Gree makes air conditioners and appliances, and is China's number two AC maker by volume.

Hard to displace

Assessed 26 July 2026 · Evidence as of 26 July 2026

Strong structural protection; the business model survives ai pressure.

On the recordSince 26 July 2026 · Checkable from around Aug 28, 2026 · Every call on the record Checkpoint: Q2 2026 earnings release, which will show whether Q1's growth rebound holds

The call

Gree remains a large, profitable AC maker facing pressure from Midea and a slow post-subsidy market, not from AI or software rivals.

Gree Electric is one of China's two biggest air conditioner makers, controlling about one-fourth of the market after 30 years in business. It is hard to copy because it owns 14 factories, has trusted relationships with thousands of stores, and holds many patents, but Midea (the market leader with 29% share) competes fiercely on cost and technology, and no AI company can replace physical factories overnight. The company returned to growth in early 2026 after a tough 2025, pays shareholders well, and holds massive cash, but the real question is whether Midea's cost advantages will slowly squeeze Gree's slice of a market that is not growing much anymore.

Why

AI pressure: None apparent. AI helps Gree run smarter factories and smart-home features, but no AI product replaces air conditioners or appliances. Could AI do the core job? Unlikely.

Bigger players: Midea. Midea holds about 29% of China's AC market versus Gree's roughly 23%, and leads on automation and cost, squeezing Gree's position. Could a giant copy it? No, they are blocked.

What protects it. Three decades of brand trust, 14+ factories, deep distributor networks, and a large patent base that are hard to copy fast.

What would change this call

Gree's Q2 2026 earnings release around Aug 28, 2026 shows revenue growth or renewed decline. Confirms whether Q1 2026 recovery is durable or a one-off blip.
Midea's domestic AC share crosses 35% while Gree's falls below 20% in market trackers. Would show the oligopoly is tilting decisively toward Midea, not staying stable.
Geely-Gree automotive electrification venture ships a product or discloses capex by mid-2027. Shows whether diversification beyond AC is real or a stalled side project.

Key numbers

FY2025 revenue fell 9.89% to RMB 170.45 billion (2025-12-31)
Q1 2026 revenue grew 3.52% to RMB 42.97 billion (2026-03-31)
Operating cash flow rose 57.93% to RMB 46.38 billion (2025-12-31)

Named risks

Active US product-liability lawsuits over dehumidifiers filed in Wisconsin, Illinois, Alabama in 2026. Severity: medium
Two consecutive years of revenue decline (FY2024 -7.26%, FY2025 -9.89%) before Q1 2026 recovery. Severity: medium
Chairwoman Dong Mingzhu succession uncertainty with no controlling shareholder since 2019. Severity: medium
Geely automotive electrification venture (signed July 2026) could consume capex without shipped product. Severity: low
Reputational fallout from Dong Mingzhu's 2025 remarks restricting hiring of overseas-educated staff. Severity: low

Rivals, as read in July 2026

Rival	Direction	Evidence
Midea	losing to	Midea holds 29% China AC retail volume share, market leader ahead of Gree, 2025 per Euromonitor
Haier	contesting	Haier is third in China's stable AC oligopoly, part of 71% combined top-3 share, 2025
Daikin	contesting	Daikin is both a Gree joint-venture component partner and a global AC competitor

Questions people ask

Is Gree Electric Appliances profitable in 2025?: Yes. Gree reported FY2025 attributable net profit of RMB 29.00 billion on revenue of RMB 170.45 billion, both down 9.89% YoY due to subsidy withdrawal and export pressure, per its 2026-07-15 filing summary. Q1 2026 returned to growth at +3.01% profit.
Who owns Gree Electric Appliances?: Gree has no controlling shareholder since its 2019 mixed-ownership reform. As of 2025-2026, Hillhouse Investment Management holds about 16.3%, and Chairwoman Dong Mingzhu plus her affiliated vehicle Zhuhai Mingjun hold roughly 18% combined, per investing.com (2026-04-13).
Could AI replace Gree's manufacturing jobs?: AI-driven robotics is already displacing factory labor: Gree's Zhuhai smart factory launched a fully unmanned third production line in December 2025 using over 2,000 robots, cutting staffing from 70+ to about 20 workers per line, with plans to extend this to 13 more plants.
Who is Gree's biggest competitor?: Midea Group leads China's air conditioner market with 29% retail volume share in 2025, ahead of Gree, per Euromonitor. Together Midea, Gree, and Haier hold 71% of the domestic market in a stable oligopoly, with Gree currently number two or three by share.
Is Gree a safe company to join in 2026?: Gree is a 30-year-old, profitable Shenzhen-listed incumbent (RMB 29 billion net profit in FY2025) with a 7.8-10% dividend yield and buybacks, but faces two years of revenue decline and active US product-liability lawsuits over dehumidifiers filed in 2026.
Does Gree Electric Appliances pay dividends?: Yes, Gree paid roughly RMB 3 per share combined interim and final dividends for 2025, implying an estimated yield around 7.8-10% depending on share price date, per a 2026-07-15 financial forecast report.

Timeline

2026-07-06Geely and Gree sign strategic cooperation agreement on automotive electrification and smart manufacturing
2026-04-17Gree exhibits 130 products at 139th Canton Fair, largest-ever booth
2026-04Gree announces CNY 1,000 million equity buyback program
2026-03-31Q1 2026 revenue RMB 42.97bn (+3.52% YoY), net profit RMB 6.08bn (+3.01%)
2025-12-31FY2025 revenue RMB 170.45bn and net profit RMB 29.00bn, both down 9.89% YoY
2025-12-11Zhuhai smart factory launches fully unmanned third production line with 2,000+ robots
2025-02Gree completes acquisition/merger with compressor maker DunAn
2021US DOJ deferred prosecution agreement and roughly $91 million CPSC settlement over dehumidifier defects
2019Zhuhai Gree Group sells most of its stake in mixed-ownership reform, ending state control
1996Gree lists on the Shenzhen Stock Exchange as 000651

Revision history

26 July 2026

First assessed. Hard to displace. The text above is fixed as of this date and is not edited afterwards.

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