Haier Smart Home (600690) H2 2024 earnings summary

Executive summary

• Achieved record revenue of RMB285.98 billion in 2024, up 4.29% year-over-year, and net profit attributable to shareholders of RMB18.74 billion, up 12.92%.

• Operating profit rose 15.8% to RMB20.22 billion; net cash flow from operating activities reached RMB26.54 billion.

• Strengthened market leadership in core categories in China and expanded high-end product lines, with Casarte and Leader brands showing strong growth.

• Overseas revenue grew 5.43% to RMB143.81 billion, with notable gains in India, Europe, and emerging markets.

• Completed strategic acquisitions of Carrier's commercial refrigeration business and South Africa's Kwikot, expanding global presence.

Financial highlights

• Revenue: RMB285.98 billion (+4.29% YoY); Net profit attributable to shareholders: RMB18.74 billion (+12.92% YoY).

• Net profit after deduction of non-recurring items: RMB17.80 billion (+12.52% YoY).

• Gross profit margin improved to 27.8% (+0.3pp YoY); basic EPS: RMB2.02 (+12.85% YoY).

• Net assets attributable to shareholders: RMB111.37 billion (+9.97% YoY); total assets: RMB290.11 billion (+11.13% YoY).

• Cash dividend proposed: RMB9.65 per 10 shares, totaling RMB8.99 billion (48.01% payout ratio).

Outlook and guidance

• Expects continued growth in 2025, driven by digital transformation, AI integration, and global supply chain optimization.

• Anticipates gradual recovery in real estate and home appliance demand in US and Europe; emerging markets to benefit from urbanization and demographic trends.

• Focus on high-end product innovation, digital marketing, and localized operations to enhance competitiveness.