When it comes to "Supor", everyone must be familiar with it, thinking that "the light of domestic products is reliable in quality".
In fact, everyone has been "deceived"!
Supor is no longer surnamed Su, and 2 years after its listing, Supor was sold by the founder to the French SEB company for 4 billion yuan.
After Supor was taken over by the French SEB company, it quickly opened up the overseas market, and its revenue and net profit also increased year by year, and its market value increased by 10 times, once as high as 70 billion yuan, firmly occupying the leading position in the industry.
However, from July 2020 the share price of Supor increased from 85 per share58 yuan high all the way**, down nearly 40% so far, the total market value has evaporated nearly 30 billion yuan.
The glorious achievements of the year have gradually faded away, and recently Supor has frequently rushed to the hot search due to product quality problems.
Supor, who is only 29 years old, seems to have fallen into a "midlife crisis".
Regarding the birth of Supor, we have to start from the 80s of the last century.
At that time, in order to support the development of township enterprises, the state encouraged state-owned enterprises to subcontract some businesses to township enterprises in the form of contracting or joint ventures.
At that time, the pressure cooker had just entered the public eye, especially the Shenyang "Double Happiness" brand pressure cooker was deeply loved by everyone, and the sales were extremely hot, and 70% of the market share was occupied by "Double Happiness".
At that time, Yuhuan Pressure Cooker Factory was a small factory that made accessories for "Double Happiness", and the director at that time, Su Zengfu.
Seeing that there was money to be made in the pressure cooker market, Su Zengfu entrusted the relationship, found acquaintances, and went to Shenyang many times to talk about cooperation, and finally became one of the joint ventures of Double Happiness Company.
Although Yuhuan pressure cooker has stable orders from Double Happiness every year, it is only for OEM processing, and the products can only be sold on an OEM basis.
Looking at the hot pressure cooker market at that time, Su Zengfu felt quite uncomfortable about the survival under the fence.
So Su Zengfu wanted to build a production line by himself to produce the whole pot. But the people around him didn't support him, and the bank refused to lend him money, so he really had no choice, so he secretly went to Shanghai and found a Shanghai bank to borrow 2 million.
The production line was obtained, but the Yuhuan factory could not get the production approval for a long time, and it could only be OEM "double happiness" production.
On the other hand, the state implements a "dual-track system" for aluminum ingots. That is to say, state-owned enterprises can be purchased at the lowest price, while private enterprises can only be bought at a price several times higher than the market.
The same processing of a pot, Yuhuan costs 30 yuan, and double happiness is less than 6 yuan, the difference is four or five times, for Yuhuan factory, it is undoubtedly an egg touching a stone, and it is not competitive at all.
It was not until 1992 that the market fully liberalized the control of raw materials.
Su Zengfu immediately realized that this was an opportunity to turn over, and he began to add the word "Yuhuan" in front of the product information "Double Happiness" to consciously infiltrate his own brand.
Stepping on the dividends of the times, backed by the big tree of "double happiness", coupled with Su Zengfu's high-standard and high-quality work attitude.
Soon, the production scale of "Yuhuan Double Happiness" has become the largest in the country, and the annual output value is more than double that of "Double Happiness", becoming the boss of the national pressure cooker industry.
At this time, Shenyang's "Double Happiness" stopped doing it, so it was determined to terminate the cooperation with "Yuhuan", and also took back the right to use the "Double Happiness" trademark.
In the hot pressure cooker market, without the well-known signboard of Double Happiness, Su's "Yuhuan" pressure cooker was unpopular and suddenly cut off sales.
After falling into a desperate situation, Su Zengfu, who was desperate, decided to set up his own business on his own.
At first, they registered the trademark "super", but it was rejected by the industrial and commercial bureau. So the "e" was changed to "o", and so far, Supor was born.
At that time, the state had new regulations on the product standards of pressure cookers, but no enterprises implemented them, so that pressure cooker incidents occurred frequently.
However, Su Zengfu did not hesitate to invest a lot of money in research and development, and finally quickly occupied 40% of the market share with his high-standard new pressure cooker, and directly sat on the seat of the cooker boss.
Subsequently, Supor continued to expand non-stick pans, rice cookers, electric kettles, water heaters and other fields. Supor's product range is becoming richer and more popular.
Supor, which is on the fast track, urgently needs a lot of money to invest in R&D and expansion. Going to the capital market to raise funds is undoubtedly the best option. In 2004, Supor was successfully listed on the Shenzhen Stock Exchange.
Only two years after listing, Su Zengfu began to sell his shares to the French SEB company one after another, and finally completely gave up his controlling stake in Supor.
"The Light of Domestic Products" has become a foreign brand? For a while, doubts arose, and many people said they couldn't understand it.
But Su Zengfu said: "I don't regret it, this is the result of my careful consideration."
Once went to South Korea to investigate, he found that the low threshold of the small household appliance industry, the current situation of high cost investment, made him very worried about the future development of Supor, rather than fending for himself in his own hands, it is better to find the best backer for Supor.
Turning Supor over to SEB, the world's most powerful company, is undoubtedly the best choice for its future development and internationalization.
With the help of SEB's overseas influence, Supor has opened overseas markets as desired, and its products are sold to many countries and regions around the world, and its revenue and net profit have also increased year by year, and its market value has increased by 10 times today.
Now, after more than 10 years of rapid development, Supor, who is close to 30 years old, seems to be in a "mid-life crisis".
With the rise of the Internet, e-commerce platforms are becoming more and more abundant, and more and more consumers choose to buy online, and the lower unit price of small household appliances is easier to become popular.
However, Supor's "sense of smell" has become no longer sensitive, and it has not been adjusted in time in the sales channel.
According to the data of Aowei cloud network, the online coverage rate of Xiaoxiong Electric is as high as 90%, and Midea Group and Joyoung are also more than 70%.
By 2020, online sales accounted for about 60% of total revenue, only on par with the industry level.
Joyoung was the first company to carry out online sales, seized the opportunity to overtake in the corner, and finally overtook Supor.
Nowadays, the number of people living alone is increasing, and small household appliances with complete functions and space-saving have become the favorite of consumers.
This puts forward higher requirements for the research and development of new products and appearance design of small household appliances.
In particular, the new generation who have grown up under the Internet not only prefer to buy online, but also love these small household appliances with low unit price, full functions, and beautiful and cute.
In terms of catering to the preferences of young people and meeting the needs of young people, compared with Midea Group, Joyoung, and Xiaoxiong Electric, Supor has fallen into a "middle-aged thinking".
In the entire home appliance industry, there are small household appliance companies such as Xiaoxiong, Joyoung, and Xinbao catching up, and there are challenges from Haier, Gree, Midea and other full-category home appliance giants in front, and Supor is embattled.
In the face of the current market situation, Supor did not prescribe the right medicine, but continued to increase the investment in marketing expenses and reduce the investment in new product research and development.
The data shows that from 2020 to 2022, Supor's sales investment was 212.4 billion yuan, 191 billion yuan, 215.6 billion yuan. Among them, the marketing expenses are as high as 155.3 billion yuan, a year-on-year increase of 1411%。
In the face of declining performance, it is understandable that Supor wants to drive performance growth through strong promotion.
However, its R&D expenses have fallen again and again, from 4$4.2 billion reduced to $4 in 20221.4 billion yuan, and the R&D expense ratio has also increased from 238% down to 206%。
Although the market value of Beiding shares, Joyoung shares and Xiaoxiong Electric Appliances in the same industry is not as much as Supor, the R&D expenses far exceed those of Supor.
The untimely research and development of new products has led to fierce competition in homogeneous products in the industry, and at the same time, there are many hidden dangers in quality control.
According to the black cat complaint platform, netizens think that Supor is a big brand, and both quality and service should be the most guaranteed, but the non-stick pan that I bought home has a coating that falls off after not long after use, not only sticking to the pan, but also the fried dishes cannot be eaten.
In addition, there are quality problems such as water heater **, electric kettle leakage, etc.
In addition, there are many quality problems on the Internet about Supor's water heater**, electric kettle leakage, etc.
False advertising" "no delivery" and "no return".'The words "unqualified quality" frequently appeared in the public eye, which seriously affected Supor's reputation.
Affected by the "quality gate" incident, in the first half of 2023, the financial statements of Supor Cookware are not optimistic, and the main business revenue is 251.6 billion, down 1795%。Export sales fell by 13 percent year-on-year45%。
If Supor does not make strategic adjustments, there is little hope of overcoming the mid-life crisis.
In addition, Supor's largest shareholder, the French Cyber Group, is also a major customer of its overseas business, but it has been controversial.
It can be seen from Supor's financial report data that from 2015 to 2021, the amount of Supor's related party transactions with Cyber Group was 306.8 billion yuan, 302.9 billion yuan, 352.4 billion yuan, 424.9 billion yuan, 457.5 billion yuan, 528.8 billion and 66$7.9 billion;
The proportions of its total revenue for the current period are: 43% and 3094%。
It is not difficult to see from the data that 20% of Supor's total annual revenue comes from the headquarters of Cyber Group.
However, in the past two years, in order to regulate and manage the inventory level of various local channels, the number of orders has plummeted, and over-reliance on large customers is one of the reasons for the decline in its performance.
Secondly, judging from the financial report data from 2020 to 2022, the gross profit margins of Supor's domestic business are: 32%, and the gross profit margin of foreign business was respectively. 48%。
It is not difficult to see that Supor is just a contract processing plant of the French company Cyber.
And it can also be seen in its balance sheet that from 2020 to 2022, the book balance of Supor's arrears from the French company Cyber is 161.5 billion yuan, 199.7 billion yuan, 100.7 billion yuan, accounting for the company's accounts receivable balance at the end of the period. 14%。
Although the amount of business orders of the French Cyber Company is large, the gross profit margin is not high, and it has always been sold on credit, which is the road of borrowing chickens and laying eggs.
In addition, since its listing, Supor has received a large amount of high dividends every year.
In 2022, Supor's net profit attributable to the parent company will be 206.8 billion yuan, with a dividend yield of up to 865%, that is to say, as its largest shareholder, the French Cyber Company, Guangzhen Jin**, took 2 billion yuan.
It has to be said that Supor just has a beautiful financial statement, but in fact he has an empty pocket.
Of course, for investors, mature companies can only make the capital market develop healthily by paying generous high dividends every year.
However, some people believe that in the face of fierce online competition, companies should invest more in R&D, and it is the key to cross the "mid-life crisis" first.
At just 29 years old, Supor is not only slow to respond to the online market, but also seems to have gone in the wrong direction in terms of marketing strategy.
The end result is that its revenue and net profit and other financial data are growing sluggishly.
According to the data, in the field of small household appliances, Midea Group's online share accounts for 243%, with an offline share of 387%, has surpassed Supor and become the new favorite of the market.
Xiaoxiong Electric, which was only established in 2007, has quickly become popular through online channels and is well-known to everyone. Although the revenue is not the same as Supor, the threat to Supor cannot be ignored.
For Supor, the most difficult problem in front of him is the external environment.
At present, the scale of China's small household appliance market is close to saturation, and under the stock game, if Supor does not increase investment in research and development, it is difficult to stand out.
It is easy to fight the country, but it is difficult to defend the country. In the past ten years, Supor small household appliances have also been regarded as a glory on the leading throne, but now this glory has become a thing of the past.
Whether Supor can restore the confidence of consumers and investors and successfully overcome the mid-life crisis will take time to answer.