What are the second-quarter performance expectations for Midea Group Co.,Ltd.? As of June 5, 2026, data from the quarterly performance forecast indicates a projected net profit of 142.56 billion yuan, representing a year-on-year change of 4.9%. Investors will be watching to see if the actual results exceed these forecasts, with the data serving as a benchmark for performance evaluation.

Latest Analyst Views on Midea

Analyst UBS maintains that Midea Group has upheld its business guidance for 2026, anticipating robust growth in its 2B and overseas 2C businesses during the second quarter of 2026. Despite facing pressures from rising raw material costs and weakening demand in the domestic 2C segment, the 2B business is expected to be a key growth driver for the year. The company shows promising growth prospects in building technologies, the KUKA Group, and new energy sectors, particularly in gaining market share for its building technologies and KUKA operations.

Business Segment Breakdown

For the building technology business, growth is projected in the high single-digit to 10 percent range for 2026. Overseas market growth is expected to benefit from heat pump sales and synergies with the Arbonia acquisition. Domestically, the elevator business has significant room for expansion due to its currently small market share. The company has mature products for data centers, such as chillers and CDUs, and is developing liquid cooling equipment like cold plates. Capital expenditure for a new liquid cooling manufacturing base is projected to exceed 1 billion yuan, with an expected output value of 25-30 billion yuan by 2027-28 and a long-term target of 100 billion yuan.

The KUKA Group is forecast to grow in the high single-digit to double-digit percentage range for 2026, with KUKA China aiming to become the market leader in both sales volume and value share, having already reached the second position in the first quarter of 2026. One-time expenses for KUKA are expected to decrease year-on-year in 2026, which should help improve profit margins.

The new energy business, while starting from a smaller base, is anticipated to be the fastest-growing segment within the 2B operations.

Long-Term Business Outlook and Growth Drivers

UBS notes that Midea Group's 2B business contributed 27% to revenue in 2025 and is projected to grow at twice the rate of the 2C business between 2025 and 2030, with a compound annual growth rate of 13% compared to 6% for 2C. This is expected to increase its contribution to 33%. The company's new flagship assets include HVAC, robotics, and new energy.

Midea Building Technologies, primarily HVAC, is expected to see sales grow at a five-year CAGR of 14% to reach 70 billion yuan by the 2030 fiscal year. This growth is largely attributed to synergies with European acquisitions like Arbonia, the key driver of heat pump sales, and rapid expansion in emerging markets. In China, there is potential upside through integrated sales solutions and services combining elevators and energy management, as well as expanding downstream applications like AIDC.

The robotics business, primarily KUKA, is forecast to grow sales at an 11% five-year CAGR to 52 billion yuan, with sales growth in China and the US offsetting weakness in the European market.

Midea's ambitions in the new energy sector are gaining momentum, with sales projected to grow at a 30% five-year CAGR to reach 50 billion yuan by the 2030 fiscal year, primarily driven by organic growth in energy storage.

(Note: The relevant profit forecast data in this article is sourced from the profit forecast database.)

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