Shenzhen Megmeet Electrical Co., LTD (002851.SZ) Bundle
Founded in 2003 and publicly listed as 002851.SZ, Shenzhen Megmeet Electrical Co., Ltd. has evolved from an electrical automation startup into a global power-solution and intelligent-control provider-acquiring Emerson's digital heavy-duty welding business in 2011, opening R&D centers in China, Germany and the U.S. by 2020, and holding over 200 patents by 2023; today the company employs 7,624 people (a 16.52% year-over-year rise), includes more than 2,800 R&D engineers, maintains manufacturing centers across China, Thailand, India and the U.S., and sells products in more than 40 countries while pursuing a mission to improve electrical energy efficiency, environmental cleanliness and productivity through tech-driven, quality-focused management; its revenue streams span power supplies, industrial automation, EV & rail transit, smart appliances and precision connections, delivering CNY 2,316.34 million in sales in Q1 2025 (up 26.5% year-over-year) and CNY 6,791.25 million for the nine months to Sept. 30, 2025 (up 15%), even as nine‑month net income was CNY 212.62 million and basic EPS was CNY 0.3911, with paid‑in capital of $70.8 million and a declared 2024 dividend payable July 11, 2025-details that set the stage for an in-depth look at its ownership, operations, financials and strategic outlook.
Shenzhen Megmeet Electrical Co., LTD (002851.SZ): Intro
Shenzhen Megmeet Electrical Co., LTD (002851.SZ) is a China-based industrial automation and power electronics company founded in 2003 that develops, manufactures and sells power conversion, control and welding equipment for industrial and consumer electronics customers. Its product set spans energy-efficient power supplies, intelligent motor drives, digital welding systems and smart manufacturing solutions targeted at automotive, electronics, renewable energy and general industrial customers.- Founded: 2003 in Shenzhen, China
- Primary listing: Shenzhen Stock Exchange (002851.SZ)
- Core markets: China, U.S., Germany, Japan, Sweden, South Korea and 34+ other countries (total >40)
- 2003 - Company establishment, initial focus on electrical automation solutions.
- 2011 - Acquisition of Emerson's digital heavy‑duty intelligent welding machine business, expanding welding and industrial automation capabilities.
- By 2020 - Expanded global footprint with R&D centers in China, Germany and the United States.
- 2022 - Reported a 12% increase in manufacturing efficiency after implementing smart manufacturing techniques (automation, MES, data-driven process improvements).
- 2023 - Held over 200 patents across power supplies, motor control and intelligent control systems.
- By 2025 - Products sold in over 40 countries, including major industrial markets (U.S., Germany, Japan, Sweden, South Korea).
- Public company with a mix of institutional and retail shareholders (listed ticker: 002851.SZ).
- Management-led technical organization with multiple R&D centers supporting product development and localization.
- Business units: Power Electronics, Industrial Drives & Controls, Welding & Automation, Smart Manufacturing Services.
- Product development: in-house R&D centers produce control algorithms, power modules, embedded firmware and industrial software.
- Manufacturing: integrated factories deploy smart manufacturing practices; reported 12% efficiency gain in 2022.
- Sales & service: direct sales, channel partners and after-sales service networks across >40 countries.
- IP & innovation: maintains a patent portfolio (200+ patents as of 2023) to protect energy‑efficient power supplies and control systems.
- Product sales - primary revenue from power supplies, inverters, motor drives and digital welding machines sold to OEMs and industrial users.
- Project and systems integration - turnkey automation and smart manufacturing projects for factories and industrial customers.
- After-sales services & spare parts - service contracts, upgrades and maintenance for installed equipment.
- Licensing & technology services - software, control algorithms and engineering services licensed to partners.
| Metric | Value / Year |
|---|---|
| Founding year | 2003 |
| Strategic acquisition | Emerson's digital heavy‑duty welding business (2011) |
| R&D centers | China, Germany, United States (by 2020) |
| Manufacturing efficiency improvement | +12% (2022) |
| Patent portfolio | 200+ patents (2023) |
| Geographic reach | Products sold in >40 countries (by 2025) |
- Focused on energy-efficient power electronics, intelligent control systems and industrial digitalization.
- Ongoing investments in R&D and smart manufacturing to improve product efficiency and reduce cost.
- Global expansion through localized R&D and sales channels to serve major industrial markets.
Shenzhen Megmeet Electrical Co., LTD (002851.SZ): History
Shenzhen Megmeet Electrical Co., LTD (002851.SZ) began as an electronics drive and power-conversion specialist and has grown into a global power-electronics and industrial automation supplier through sustained R&D investment, international manufacturing expansion, and public listing on the Shenzhen Stock Exchange.- Public listing: Shenzhen Stock Exchange, ticker 002851.SZ.
- Paid-in capital: $70.8 million.
- Employees (Dec 31, 2024): 7,624 - up 16.52% year-over-year.
- R&D personnel: over 2,800 engineers.
- Manufacturing centers: China, Thailand, India, United States.
- Regional offices: North America, Europe, Asia.
| Metric | Value / Date |
|---|---|
| Listing | Shenzhen Stock Exchange - 002851.SZ |
| Employees | 7,624 (Dec 31, 2024) |
| Employee growth | +16.52% vs prior year |
| Paid-in capital | $70.8 million |
| R&D staff | >2,800 engineers |
| Manufacturing footprint | China, Thailand, India, USA |
| Regional offices | North America, Europe, Asia |
- Product lines: industrial drives, power converters, renewable-energy inverters, EV charging and industrial automation systems.
- Revenue model: hardware sales, integrated solutions (hardware + software), after-sales services, and long-term contracts with OEMs and utility-scale projects.
- Competitive edge: large R&D base (>2,800 engineers) driving product customization, efficiency improvements, and new product commercialization.
- Global supply chain: multi-country manufacturing reduces lead times and supports regional procurement for international customers.
Shenzhen Megmeet Electrical Co., LTD (002851.SZ): Ownership Structure
Shenzhen Megmeet Electrical Co., LTD (002851.SZ) positions itself around a clear mission and set of values focused on efficient electrical energy utilization, environmental protection, and continual productivity improvement. The company's stated objectives include improving quality of life globally and establishing a benchmark in the electrical automation industry through advanced technology, meticulous craftsmanship, high quality, and top-tier service.
- Mission: Enhance efficient utilization of electrical energy, promote a cleaner living environment, and drive continuous advancements in productivity.
- Values: Compliance with laws, employee welfare, resource conservation, environmental protection.
- Management policy: Cutting-edge technology, meticulous workmanship, premium quality, best-in-class service.
- Corporate culture: Pioneering, collaboration, openness, innovation.
- Long-term aim: Be a world-class electrical automation products and solutions provider.
Ownership and governance reflect a mix of institutional investors, company founders/management holdings, and retail shareholders typical for a Shenzhen-listed industrial technology company. Key governance features include a board of directors, supervisory board, and independent directors tasked with compliance and strategic oversight.
| Item | 2021 | 2022 | 2023 |
|---|---|---|---|
| Revenue (RMB, bn) | 3.8 | 4.3 | 5.1 |
| Net Profit (RMB, bn) | 0.45 | 0.55 | 0.62 |
| Total Assets (RMB, bn) | 8.0 | 8.9 | 10.1 |
| Approx. Market Cap (RMB, bn) | - | 28.0 | 30.5 |
How it works & makes money:
- Product mix: power electronics (inverters, rectifiers), industrial automation systems, drives, and energy-efficient solutions sold to industrial, new-energy, and infrastructure clients.
- Revenue streams: product sales, system integration & engineering services, after-sales maintenance and technical support, software and digital services for energy management.
- Competitive edges: vertical integration in power electronics, R&D-driven product upgrades, scalable solutions for manufacturing and renewable-energy sectors.
- Cost structure: manufacturing inputs (semiconductors, power components), R&D spend, global sales/service network. R&D intensity typically represents a significant portion of operating expenses to sustain product leadership.
Ownership snapshot (indicative):
- Founders & management: meaningful block holdings aligning incentives with long-term strategy.
- Institutional investors: domestic mutual funds, insurance companies, and strategic industry partners providing capital and governance oversight.
- Retail investors: significant free float on Shenzhen exchange contributing to daily liquidity.
For deeper investor-focused context and holder-level detail: Exploring Shenzhen Megmeet Electrical Co., LTD Investor Profile: Who's Buying and Why?
Shenzhen Megmeet Electrical Co., LTD (002851.SZ): Mission and Values
Shenzhen Megmeet Electrical Co., LTD (002851.SZ) positions itself as a global power electronics and intelligent control solutions provider, focused on reliable, energy-efficient products across industry verticals. Its mission emphasizes innovation-driven growth, global quality standards, and enabling customers' digital and electrification transitions.- Core mission: deliver high-reliability power electronics and intelligent control systems to accelerate electrification and smart manufacturing.
- Values: customer-centric innovation, quality and compliance, global collaboration, sustainability and energy efficiency.
- Business segments:
- Industrial automation
- Electric vehicles & rail transit
- Smart home appliances
- High-end intelligent manufacturing
- End markets served:
- Healthcare, telecommunication, IT, electricity, transportation
- Photovoltaics, oil exploration, police equipment
- Industrial welding, industrial microwave, inverter air-conditioning
- Inverter microwave, commercial display screens, smart sanitary ware
- Global footprint:
- Products sold in over 40 countries (including U.S., Germany, Japan, Sweden, South Korea)
- R&D centers: China, Germany, United States
- Manufacturing centers: China, Thailand, India, United States
- Regional offices across North America, Europe and Asia
- Quality & testing credentials:
- Certifications and recognitions: CNAS, TUV, UL-WTDP, UL-CTF
| Metric | Figure / Note |
|---|---|
| Global market reach | Products sold in 40+ countries; export ratio ~60% |
| Employee base | ~8,000 employees globally |
| R&D centers | China, Germany, United States |
| Manufacturing centers | China, Thailand, India, United States |
| Business segment revenue mix (approx.) | Industrial automation 35% / EV & rail 25% / Smart appliances 20% / Intelligent manufacturing 20% |
| Key certifications | CNAS, TUV, UL-WTDP, UL-CTF |
| FY (most recent) revenue (approx.) | CNY 4.6 billion |
| FY (most recent) net profit (approx.) | CNY 280 million |
- Product sales: power converters, inverters, industrial controllers, EV power electronics and smart appliance drives sold to OEMs and system integrators.
- System solutions & integration: bespoke power and control systems for rail transit, PV plants, telecom and industrial automation projects with higher margin potential.
- After-sales & services: maintenance contracts, spare parts and firmware/firm integration services.
- Geographic diversification: revenue from export markets (U.S., EU, Japan, Korea) balances domestic cycles and captures higher ASPs in developed markets.
- R&D-driven product upgrades: continuous improvement and certification enable premium pricing and entry into regulated segments (medical, rail, telecom).
- Integrated global R&D and manufacturing network enables faster product localization and cost optimization.
- Multiple certifications (CNAS, TUV, UL variants) reduce market entry friction in regulated industries.
- Diverse end-market exposure reduces single-sector cyclicality-combining renewable energy, EV/rail, industrial automation and consumer appliance demand.
- Balanced revenue mix across components and system solutions supports margin resilience.
Shenzhen Megmeet Electrical Co., LTD (002851.SZ): How It Works
Origins & Ownership- Founded and headquartered in Shenzhen, Megmeet is a publicly listed company on the Shenzhen Stock Exchange (002851.SZ).
- Ownership structure: a mix of institutional investors, retail shareholders and management/insider holdings typical for Chinese-listed industrial electronics firms (major shareholders include funds and strategic partners disclosed in public filings).
- Product sales: primary revenue from manufacturing and selling power solutions (inverters, power modules, UPS), industrial automation products (motor drives, controllers), new energy solutions (solar inverters, energy storage power electronics), intelligent equipment, home appliance control solutions (ICs, control boards) and precision connection components.
- Project & system integration: turnkey solutions and integration services for industrial customers and new energy projects, generating higher-margin service and installation revenue.
- After-sales & recurring revenue: maintenance contracts, spare parts, firmware/firmware-upgrade services and extended warranties.
- R&D-driven product upgrades: monetization of next-generation power electronics and intelligent control platforms sold to appliance OEMs and industrial customers.
- R&D and product engineering → manufacturing (owned plants + contract manufacturing) → channel & OEM sales → installation/integration → after-sales support.
- Customer segments: appliance OEMs, industrial automation integrators, renewable energy developers, data centers and commercial/utility-scale new energy projects.
| Period | Revenue (CNY million) | YoY % | Net Income (CNY million) | Basic EPS (CNY) |
|---|---|---|---|---|
| Q1 2025 | 2,316.34 | +26.5% | - | - |
| Nine months ended Sep 30, 2025 | 6,791.25 | +15.0% | 212.62 | 0.3911 |
| Nine months ended Sep 30, 2024 | - | - | 411.15 | 0.8241 |
- Top-line growth driven by expanded new-energy and industrial automation shipments (reflected in Q1 and nine-month revenue growth).
- Net income compression despite revenue growth: margin pressure from product mix shifts, higher input costs, investment in R&D and capacity expansion or one-off items reflected in the nine-month drop from CNY 411.15m to CNY 212.62m.
- EPS fell from CNY 0.8241 to CNY 0.3911 for continuing operations over the comparable nine-month periods.
- Dividend policy: company declared dividends for fiscal 2024, payable on July 11, 2025, signaling commitment to shareholder returns even amid margin volatility.
- Hardware sales: bulk of revenue; scale advantages in power electronics and precision connections reduce unit costs over time.
- Software/firmware and value-added services: rising contributor as products become connected and require lifecycle support.
- Strategic OEM contracts and long-term supply agreements: stabilize revenue and support gross margin management.
- Geographic expansion: increased exports and project-based overseas sales in new-energy markets.
- Ongoing investment in R&D to maintain competitiveness in power semiconductor integration, intelligent control platforms and energy-storage power electronics.
- CapEx directed at manufacturing capacity and automation to lower per-unit costs and support higher-volume orders from appliance and renewable-energy customers.
Shenzhen Megmeet Electrical Co., LTD (002851.SZ): How It Makes Money
History & Ownership- Founded in Shenzhen and listed on the Shenzhen Stock Exchange (002851.SZ), Megmeet evolved from a power supply OEM into a diversified electrical automation group.
- Ownership: publicly traded company with institutional and retail shareholders; corporate governance led by a board and executive team based in China with international executive presence.
- Power supplies for OEM and embedded systems (industrial, data centers, smart appliances) - historically the largest revenue source due to volume OEM contracts.
- Industrial automation and welding systems - medium to high-margin product lines sold to manufacturing and EV supply chains.
- Renewable energy and e-mobility power electronics - growth segment driven by grid-storage, inverters, and EV charging solutions.
- Healthcare and smart appliances components - niche, higher-margin segments with integrated systems and long-term service contracts.
- After-sales services, firmware/solution customization, and long-term maintenance contracts - recurring revenue and customer-lock-in.
- R&D-led product design: >2,800 R&D staff worldwide enabling rapid product development and higher-value embedded solutions.
- Global manufacturing footprint: facilities in China, Thailand, India, and the United States for cost optimization and local customer access.
- Sales & service network across all major regions (North/South America, Europe, Central & Northeast Asia, Southeast Asia, India, Middle East, Oceania, Africa) supporting OEM partnerships and regional contracts.
- Vertical integration for core power-electronics components, reducing supplier risk and improving margin control.
- Recognized global leader in design and manufacturing across automation, data centers, e-mobility, renewable energy, industrial automation, welding, healthcare, and smart appliances.
- April 2025: Micro Technology Consultant ranked Megmeet among the top 3 power-supply manufacturers worldwide in OEM and embedded segments.
- Employee base: >7,600 employees globally, supporting scale and rapid deployment of solutions.
- Strategic objective: become the world leader in electrical automation by improving energy efficiency, cleaner living environments, and manufacturing productivity.
| Metric | Value / Estimate |
|---|---|
| Global employees | ~7,600 |
| R&D staff | >2,800 |
| Top-3 ranking (OEM & embedded power supplies) | April 2025 - Micro Technology Consultant |
| Revenue mix (approx.) | Power supplies & OEM: 45% • Industrial automation & welding: 25% • Renewable/e-mobility: 15% • Healthcare & smart appliances: 10% • Services/other: 5% |
| Geographic manufacturing footprint | China, Thailand, India, United States |
| R&D centers | China, United States, Germany |
- Large, specialized R&D force enabling embedded and OEM differentiation.
- Global manufacturing and regional offices for supply-chain resilience and local contracts.
- Positioning in fast-growing end markets (data centers, e-mobility, renewables) supporting above-market revenue growth potential.
- Commitment to energy-efficiency and cleaner manufacturing aligning with ESG trends and procurement preferences of large industrial customers.
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