Strong market position and extensive distribution network. Good profitability and operating efficiency. Concentration in the highly competitive home appliances market in China. Less established brand name in overseas markets than global peers. Minimal debt leverage. Positive free operating cash flow. Disciplined capital spending. The stable outlook on Midea Group Co. Ltd. reflects our expectation that the company will maintain its strong market position in China's home appliances industry over the next 24 months despite intense competition. We also expect Midea to remain debt free on an adjusted basis and generate positive free operating cash flows, supported by the company's strong profitability, good working capital efficiency, and disciplined financial management. We could lower the rating if Midea's market position, cost competitiveness,
