There are more than 300 inverter equipment manufacturers in China, but the strength and scale are uneven, and the main brands are 20 to 30. According to the statistics of Frequency Converter Branch of China Electrical Appliance Industry Association, in 2013, the total industrial output value of 15 enterprises in the frequency converter industry was 6.38 billion yuan, the industrial sales output value was 5.49 billion yuan, and the main operating income was 4.646 billion yuan.
In recent years, after years of accumulation, the local inverter brand has gradually expanded its market share, and the market share of imported products has been surpassed by domestic inverter enterprises. However, China's inverter supporting industry is relatively weak, lacking technical advantages, and the high-end market share still lags behind foreign brands.
The insiders believe that while consolidating the position in the medium and low voltage market, domestic inverter enterprises are accelerating the transformation of high-end product structure. At present, although foreign capital accounts for more than 80% of the high-end market share of low-voltage inverter, domestic capital is in the transition phase from providing a single inverter product to providing comprehensive solutions, and the market share and profitability are expected to increase significantly in the future.
As a leading enterprise of medium and low voltage domestic frequency converters, INVENTON still maintained stable growth in the market environment of slow growth of industry development and sluggish demand in 2014. In the first half of 2014, INVITAM achieved an operating revenue of 498 million yuan, a year-on-year increase of 23.33%, and a net profit attributable to shareholders of listed companies of 76 million yuan, a year-on-year increase of 43.23%. Among them, the operating income of inverter products was RMB 365 million, with a year-on-year growth of 24.91%, and the gross profit margin was 43.93%, with a year-on-year growth of 0.9%.
While Huichuan Technology, another leading enterprise, performed mediocrely in the first three quarters of 2014, slightly lower than the market expectation, but its profit quality was high, and its subsequent operations remained stable. In the first three quarters of 2014, the revenue of frequency converter products of Huichuan Technology was RMB 970 million, up 12% year on year. Among them, the growth rate of general inverter orders slowed down, and the revenue growth in the first three quarters was about 5%; The sales scale of high-voltage inverter products has gradually expanded. The revenue in the first three quarters was flat on a year-on-year basis, but the order growth rate exceeded 100%.
The downstream customers of high-voltage inverter are mainly concentrated in the power, steel, coal, cement and other industries. Some customers are in industries that are greatly affected by the boom. As the growth rate of domestic industrial investment continued to decline in 2014, the market demand declined, and the growth was lower than expected. Taking Hekang inverter, the leading brand of high-voltage inverter, as an example, the company's order amount of high-voltage inverter in the first half of 2014 was 272 million yuan, a year-on-year decrease of 9.09%; The situation remained unchanged in the third quarter. From January to September, the amount of high-voltage inverter was 412 million yuan, a year-on-year decrease of 16.82%. In the first three quarters of 2014, Hekang Variable Frequency achieved an operating revenue of 449 million yuan, a year-on-year decrease of 7.86%; The net profit attributable to shareholders of the listed company was 22 million yuan, down 58.26% year on year.
In contrast, the performance of Leader Huafu in 2014 was quite outstanding. Since joining Schneider Electric, the company has adjusted its sales strategy and focused on improving product quality. At present, it has transformed into a life cycle service expert of high-voltage inverter and has been recognized by the market. In the second and third quarters of 2014, the number of orders of Reed Huafu increased significantly. From June to August, the number of orders was 150, 177 and 204 respectively; The cumulative sales volume exceeded 11000 sets.
The industry survey report shows that the growth rate of the inverter market in China has been kept at 12%~15%, and the potential market space is about 120 billion~180 billion yuan. The market scale of medium and low voltage inverters has increased by 10%~15%, and the market scale is expected to be close to 20 billion yuan; The market demand growth rate of high-voltage inverter is more than 40%. With the continuous increase of demand, the market scale is expected to reach 12.1 billion yuan.