Midea Group - A Kuka may be the headline, but the B2B re-rating is the trade

Research evidence excerpt

Midea Group - A Kuka may be the headline, but the B2B re-rating is the trade

J P M O R G A N Asia Pacific Equity Research

01 July 2026

This material is neither intended to be distributed to Mainland China investors nor to provide securities investment consultancy services within the territory

of Mainland China. This material or any portion hereof may not be reprinted, sold or redistributed without the written consent of J.P. Morgan.

Midea Group - A Overweight

000333.SZ, 000333 CH

Kuka may be the headline, but the B2B re-rating is the Price (30 Jun 26):Rmb75.53

trade Price Target (Jun-27):Rmb105.00

What happened? Bloomberg reported that Midea is weighing a potential China Co-Head of Asia Pacific Consumer

listing of Kuka as soon as 2027, although discussions remain in early stages and Research and Head of Asia Gaming/

no decision has been made. Kuka is one of the world’s “Big Four” industrial robot Leisure Research

makers alongside ABB, Fanuc and Yaskawa, and is also China’s largest industrial DS Kim AC

robot company by revenue. Midea bought control of Kuka a decade ago in a c. (852) 2800-8597

€4.3bn transaction (c.RMB32bn) — controversial at the time, but increasingly ds.kim@jpmorgan.com

strategic as robotics, automation and AI-enabled manufacturing move to the centre Yibo Wu

of China’s industrial agenda, if not the world’s. (852) 2800-8559

yibo.wu@jpmorgan.com

J.P. Morgan Securities (Asia Pacific) Limited/ J.P.

How big could this be? This is not a small asset buried in a footnote. Kuka Morgan Broking (Hong Kong) Limited

effectively represents Midea’s robotics & automation revenue base, which will

generate RMB35bn/US$5.1bn revenue in FY26E (c.30% from China and c.70%

from overseas), accounting for 7%+ of group revenue. Industrial automation assets