I asked you to save a bankrupt factory and you became the richest man in the world.

Chapter 356 Chapter 009-010: 2013 Annual Review!

It's been ten years!
It has been ten years since Gao Huaijun reincarnated into this era!

From a small electric fan factory that was overloaded and on the verge of bankruptcy, it has led to a company that has stably reached the top 500 in China, and has two R&D centers in Xicheng and Modu, as well as three major ones: Didu, Modu and Xicheng. It only took Gao Huaijun ten years to build a large-scale enterprise spanning the electronic technology and automobile industries with a production base.

By 2013, the entire Hillhouse Magic City R&D sub-center also completed the construction and delivery of the second phase of 'Tang Zhihua', and has started the construction of the third phase of 'Han Palace'.

Hillhouse Magic City R&D sub-center is a grand project written by Gao Huaijun.

There are seven phases in total, in addition to the three phases that have been completed and launched.

The four phases of Ming Dance, Qin Yin, Xia Zhiwen and Zhou Zhili will be completed one after another in the next eight years.

By then, the Hillhouse Magic City R&D Base will become a large monster that can accommodate 30 people and has a building volume of more than 400 million square meters!

For such a large-scale project and the gradual completion of an R&D center with the highest value content, even at the beginning of the first phase, I was very disdainful to a small Kalami like Hillhouse at that time and felt that they were cheating on subsidies and bank loans. Ordinary employees of the Shanghai Municipal Government were deeply shocked by this.

Most of the other companies are big scammers. It's all just for fun and subsidies, but you're actually serious about it?

Although it looks a bit eclipsed by the extremely stunning Hillhouse P1.

Hillhouse Technology, which was originally expected to go public in two years, encountered certain obstacles in sorting out internal relationships.

The mate series of mobile phones, as the most classic product of Hillhouse and the product with the longest research and development time, is the flagship product of Hillhouse Technology. It has now developed to the eighth generation product Hillhouse mate8.

Therefore, during the report export period in 2013, Gao Huaijun also hired Ernst & Young Hua Ming to conduct a thorough accounting.

Now we have gradually reduced the sales of low-priced models priced at more than 3000 yuan, and slowly shifted to high-end mobile phones priced at 4000-6000 yuan, which is also the most profitable range of mobile phones.

The sudden appearance of such a company in China is really awesome!

You must know that folding screen mobile phones are niche mobile phones with a unit price of more than 2024 yuan. Although they are lucrative, they will still not become mainstream even by . They are mainly the choice of business people and some people who need large screens.

Hillhouse has slowly emerged from the price war with ordinary competing products, and has established an image of high-quality domestic products in the minds of consumers!

Due to the success of Hillhouse P1.

However, within one year, 425 million mate series mobile phones were still sold, setting a record high!

It can be said that the Magic City R&D sub-center is no longer a small sub-center!

Hillhouse technology sector.

Moreover, this year is a critical year for Hillhouse Technologies.

You know, there are an astonishing more than 30,000 R&D personnel here alone. Plus some auxiliary personnel, the R&D sub-center has more than 50,000 people. It can be called a small city.

After going through a series of asset integration and divestitures, especially the straightening out of relationships with Hillhouse Chip, Hillhouse Battery, Hillhouse Artificial Intelligence, Hillhouse Derivatives, four internal related transactions, it is expected that assets will be divested in 2014. Listed!
Therefore, under such circumstances, the 2013 inventory is particularly critical.

Hillhouse Technology launched the folding screen product X2012 in 1. So far, in 2013, it has re-launched the new folding screen mobile phone X3 and X3mini. Although the overall folding screen mobile phone X1 is only a slight innovation, it still maintains sales. Stable, in the 2013 natural months of 12, sales directly exceeded 52 units!
The sales value of foldable screen mobile phones has also reached an astonishing 59 billion.

While Hillhouse was able to develop this market a few years in advance, other mobile phone manufacturers are currently unable to follow Hillhouse's actions. It can be said that this narrow market is still monopolized by Hillhouse!
Hillhouse has also received very generous rewards for its risks, and this reward will continue until next year.

This is the most important basis for judging asset prices before Hillhouse Technology goes public.

In the annual summary of Hillhouse Group's sales in 2013, the performance of Hillhouse Technology and Hillhouse Vehicles was a big step forward compared to 2012.

At the same time, the entire Hillhouse vehicle R&D team, the Hillhouse chip R&D team, one-third of the Hillhouse Technology R&D team, and the entire Hillhouse artificial intelligence R&D team have all been relocated to the Hillhouse Magic City R&D sub-center.

Rather, it can be regarded as another core R&D headquarters base of Hillhouse!

The total value of goods also reached an unprecedented 185 billion.

This achievement has already set a new sales record for high-end mobile phones in China.

Hillhouse P1, as a newly launched high-end brand this year, relied on its excellent performance in the first month. Although it only sold for six months, it still reached sales of 311 million units, setting a new sales record. Well, it also reached a terrifying and astonishing 143 billion.

When Gao Huaijun was working on the Hillhouse P1, he really didn’t expect that this product, customized for young people and adding a fast charging function, would actually bring such a differentiated competitive advantage!

The matepad series products, as part of Hillhouse’s 1+N ecosystem, are also considered old products.

However, due to the size of this product, perhaps because the popularity of online courses is not high in this era, its sales have not increased.

However, MatePad 8 and MatePad Mini 3, these two products, still improved the texture of the screen, increased the memory level, and added software ecology such as beauty cameras. Based on the sales volume in 2012, they have seen steady growth. In 2013, a total of more than 330 million pad products were sold, which was an increase of almost 2012% compared to 210 million units in 50.

Sales increased from 2012 billion in 42 to an astonishing 63 billion!

After the first product was launched, Gao Huaijun didn't have much control over it, and it was just a normal iteration of the product. It can be considered very good to be able to struggle to this level.

Honor magic has been changed to the seventh generation product, Honor magic7.

This product is a mid-range hexagonal warrior.

Although it has always been a guinea pig, often used to run Hillhouse's own low-end chips and test the practicality and functions of Hillhouse chips, this product has reached its seventh generation.

Except for the shortcomings of the previous generations of coarse-grain mobile phones that get hot after being used for a long time, there are basically no big problems.

Therefore, from generation to generation, most of the old customers have not been lost!

Except for some old customers who converted to Hillhouse P1 and Hillhouse mate series, most customers silently chose to purchase again!

After all, they are all familiar with the ecology and usage of this phone, and the inertia will keep them using it. Unless Hillhouse commits suicide, it will be difficult for them to change their consumption inertia.

This is why many manufacturers hope to compete for new customers, because acquiring new customers is a very difficult process in the oligopoly era after customers are divided.

Therefore, the overall sales volume has increased significantly to 2012 million units compared to 132 million units in 280. Although the report card is not as eye-catching as the Hillhouse P1 or Hillhouse mate series products, it is still very good.

Not only was it good, it was a blast! After all, the sales volume of 280 million units has nearly doubled, which is also the driving advantage of Hillhouse P1.

I can’t afford the Hillhouse P1, so can I still afford the Hillhouse Honor Magic?
In this way, although Hillhouse Honor Magic does not have much buzz, its sales have increased significantly!
Low-end phones like the Hillhouse Honor Magic are very important for the layout of third- and fourth-tier cities, as well as markets in poor countries such as Southeast Asia or Eastern Europe.

Because they can only accept such a total price range, the sales volume of low-end phones also determines Hillhouse's layout for third- and fourth-tier and even lower-tier cities.

Otherwise, like now, after ten years of working in electronic technology, it would be very embarrassing if the channels still mainly exist in first- and second-tier cities, supplemented by third- and fourth-tier cities.

And these 280 million units have an output value of nearly 72 billion.

The current glory magic cannot be underestimated!

Hillhouse nova products.

After experiencing the Hillhouse nova generation, sales have now returned to normal due to the introduction of the beauty tool.

Compared with the impressive sales performance of 2012 million units in 163, the sales performance of 2013 million units in 236 was slightly worse than the performance of Honor Magic.

However, as a two-year-old sub-brand, and as a low-end brand that runs chips for Hillhouse chips, this result is already very good!

Overall sales reached 51 billion.

With such excellent results, Hillhouse Technology’s sales of all mobile phones have reached an unprecedented 1304 million units.

This sales volume accounted for 2013% of China’s annual mobile phone sales in 1.6!

It is also the first time that it has occupied LG's position and entered the top six of China's mobile phone rankings!

You know, the pattern of TOP6 carving up the entire market has already been initially formed.

Hillhouse Technology has developed to the present level, not like Sansang, relying on a large number of low-end button function machines to become TOP1.

Instead, we use the higher-level Hillhouse mate series and Hillhouse P series to occupy the main transaction volume of the Hillhouse brand. The profits here are not comparable to Sansang!
This achievement can be said to be truly capable of shaking up industry peers in China's electronic technology industry.

Even among the four companies of China Cool, none of them has extended from high-end to low-end like Hillhouse Technology and slowly occupied the top position in sales.

This is definitely an unprecedented victory among Chinese local mobile phone companies.

In the 1+N system, other auxiliary product lines have also achieved good results.

Like the third generation of Hillhouse Smart Screen, although this product has changed from the initial core traffic position to the current auxiliary position, in 2013, the sales growth of Huaguo TV has begun to slow down, but in comparison In 2012, the sixth generation of Hillhouse Smart Screen products came at a time when Hillhouse Entertainment’s built-in software was becoming more and more perfect.

Achieved good and stable growth.

Compared with the TV sales of 2012 units in 59, there was a steady increase in 2013, growing to 72 units, achieving sales of 37 billion.

Although the current 37 billion Hillhouse smart screen costs tens of billions compared to the Mate series and P series, which doesn’t look like much, it is 37 billion after all!

This achievement is something that cannot be underestimated by any TV manufacturer.

Hillhouse Smart Screen can be regarded as a very complete supplementary part of the ecosystem.

In other words, Hillhouse Technology, the founding company of Hillhouse Group, has achieved an astonishing sales of 12 billion yuan within 610 months!

You know, in 2012, Hillhouse Technology's sales were only 302 billion.

Now, due to the strong layout of Hillhouse P series and the increased sales of Hillhouse Honor Magic and Hillhouse Nova brought by Hillhouse P, Hillhouse Technology has not only directly exceeded the 400 billion master plan formulated by Gao Huaijun at the beginning of the year mission, and also directly passed the 600 billion integer level, which was an increase of 2012% compared to 302 billion in 101.

amazing!

It's really amazing!
And it wasn't just sales that hit new highs.

Due to the existence of Hillhouse P.

Compared with last year's profit margin of 18%, profits are relatively more generous.

In 2013, the overall profit rate also shot up to 27%!
Hillhouse Technology also made a profit of nearly 2013 billion in 164, which was twice as much as the 2012 billion in 54!
Horror!
It's so scary!
After ten years of steady development, Hillhouse Technology finally had a breakthrough year in 2013.

You know, the total fiscal revenue of Boning City in Jiangsu and Zhejiang Province in 2013 was 1650 billion yuan.

This city is not an ordinary city. It is the second largest city in Jiangsu and Zhejiang Province, a wealthy province, and a national-level separately planned city.

The annual profit of Hillhouse Technology, which is only one subsidiary of Hillhouse Technology, can account for one-tenth of the total fiscal revenue of Boning City.

What a terrifying existence this is!

You know, in this era, the most profound impression everyone has on the manufacturing industry is Jiangnan Leather Factory, Fu Shikang and other large traditional manufacturing companies.

The profits of these companies are extremely low.

A few percent of profits are earned very hard.

Where can one be like Hillhouse, easily earning tens of billions of profits a year?

Technology changes destiny, it really doesn’t deceive people!
The gradually rising profit margin is actually one of Hillhouse Technology’s moats.

Otherwise, where would Gao Huaijun get the money to buy basic insurance for his employees’ parents?
Fu Shikang's kind of sweatshop, does he dare to play like this?
It’s not that I don’t want to, it’s that I am really powerless!

The gradual increase in employee wages will make it easier to attract better talents, and it can also increase internal competition and optimize the talent structure. Instead, in some companies, the internal brain drain rate exceeds 100%.

In other words, within one year, 100 of 100 employees left.

If you are all playing like this, you are a damn talent in optimizing!
Not even if you are a time traveler!

(End of this chapter)