Midea has over 400mn billion rmb revenue in 2024.
Xiaomi is climbing over 400 billion rmb revenue in 2025.
Midea’s typical gross margin is ~25%+, Xiaomi is also over 20%.
Midea net income margin is higher at ~9-10%, Xiaomi is now ~8-9%.
Both have over CNY 40bn net income in 2025.
Both have diversified business lines. And Xiaomi is entering the core home appliance segment globally.
Both have potential in future robotics business. [Xiaomi’s robot] [Midea’s robot]
Due to Xiaomi cars, Xiaomi is revenue growth is fast, projected to be ~30% in 2025. Midea revenue growth rate in 2025 is ~10%.
Xiao may compound faster, as
1/ Midea has ~70% dividend payout, while Xiaomi doesn’t pay any.
2/ Xiaomi has higher growth momentum, driven by cars.
3/ Xiaomi employees are more software and AI-focused.
Meanwhile, Gree has a smaller revenue base of ~below 200 bilion rmb, less than half of Xiaomi or Midea.
Gree does enjoy a higher net income margin of high-teens in 2024, but that may turn out to be a sign of underinvestment in talents and future development.