Haier Smart Home publishes financial report for Q3 2023: steady revenue growth with overseas business outperforming industry

Haier Smart Home publishes financial report for Q3 2023: steady revenue growth with overseas business outperforming industry

• Total revenue of RMB198.66 billion (9M 2022: RMB184.81 billion (restated))
• Casarte still No. 1 among premium brands
• Upgrade to A in MSCI ESG Rating

Qingdao / Shanghai / Hong Kong / Frankfurt, 30 October 2023 - Haier Smart Home Co., Ltd. ("Haier Smart Home" or "the Company", D-share 690D.DE, A-share 00690.SH, H-share 06690.HK), today published its financial figures for the first nine months of 2023. Since the second half of 2023, Haier Smart Home has continued to open up new growth space through its three-level brand strategy and accelerated its digital transformation.

In the first nine months of 2023, Haier Smart Home achieved a revenue of RMB 198.66 billion, representing an increase of 7.5% YoY. The revenue increase in the third quarter was 6.1% YoY. Net profit attributable to the shareholders of the parent company amounted to RMB13.15 billion, up 12.7% YoY in the first nine months, and 12.9% YoY in the third quarter.

Casarte remains the leader among premium brands

As a result of the strategy of always putting customers at the centre, Haier Smart Home was also able in the third quarter of 2023 to continue to capitalise on the growth opportunities in the smart home market and to increase its share in each product category.

The Casarte brand was revamped in the third quarter, strengthening the brand's competitiveness and securing its position as the absolute leader in the high-end appliance market. The market shares of Casarte’s high-end price products have further increased in the first three quarters of the reporting year. According to GfK China Market Monitor, the Casarte brand ranked first in the high-end market in various categories, including a retail sales share of 83.5% in the market of washing machine over RMB10,000.

The market shares of refrigerator and washing machine of all Haier Smart Home brands continued to grow significantly with an increase for refrigerators by 45.4% and the share of washing machines increasing by 46.7%.

The smart-building segment has also developed new growth points such as intelligent building control, heat pump heating and industrial environment. In addition, the share of kitchen appliances continued to increase, ranking TOP3 offline in the industry.

Overseas business continued to outperform the industry

Haier Smart Home continued to develop its high-end brand strategy and achieved steady growth by improving the brand image and defining new business segments.

In Europe, Haier brand launched new embedded high-end set design products, achieving a 35% increase in revenue of high-end products. Regarding brand development, Haier upgraded the Candy brand and promoted a new brand image: the Company launched a new high-end set of new Candy products at the IFA exhibition, the world's largest consumer electronics and home appliances trade show, in September 2023, including A-class energy-efficient smart refrigerator Fresco, A-class energy-efficient dishwasher Rapidò and a new series of intelligent ovens.

Moreover, Haier Smart Home laid out the eco-park in Egypt and the kitchen appliance factory in Pakistan, strengthened the zero-distance interaction with users, and became a partner of the prestigious Roland Garros tournament and the ATP Tour, enhancing the brand's image and popularity.

Efficiency further improved through ongoing digital transformation

In the first nine months of 2023, Haier Smart Home continued to deepen its digital transformation through the reconstruction of goals, organizations, mechanisms and processes, and continued to reduce costs and improved efficiency. Company´s expense rate was optimized by 0.3 percentage points in the first three quarters of 2023.

Moreover, Sustainability and ESG matters continue to be of great importance for Haier and are one of the fundaments of the Company´s corporate strategy. Since 2020, Haier´s ESG performance has been rated by Morgan Stanley Capital International (MSCI) and this year, the Company achieved an upgrade of its ESG rating to the highest grade of A in the domestic industry.

SAN YI NIAO has entered into more than 340,000 Chinese households

In the era of the Internet of Things, smart home business is in a stage of rapid development. In recent years, the industry scale has maintained double-digit growth.

In this context, Haier’s SAN YI NIAO (former Three-Winged Bird), the exclusive smart home scenario brand, has seized the opportunity of the era to accelerate its continuous implementation in China. Haier continued to enhance the one-stop customized smart home ability, and continuously accelerated the popularization of smart lifestyle. Specifically, through upgraded digital stores, SAN YI NIAO enables users to experience and customize intelligent scenes at home and can also interact in real time 24 hours a day. With the full integration of AI-Generated Content Technology into the design tool “Nesting Design Platform 2.0”, the ability of SAN YI NIAO to customize smart homes has been further enhanced. Regardless of the whole-house or partial renewal, users can immediately see the actual simulation effect picture through the 3D-VR model room.

2023 marks the 30^th anniversary of Haier Smart Home's A-share listing. Looking back to the first nine months of the reporting year, Haier Smart Home has accelerated the implementation of its smart home global strategy with its ongoing digital transformation and looks forward to a smarter and more sustainable future.

The Q3 report as of 30 September 2023 is available online at https://smart-home.haier.com/en/.

IR Contact:
Haier Smart Home Hong Kong
T: +852 2169 0000
Email: ir@haier.hk

Press Contact:
CROSS ALLIANCE communication GmbH
Sara Pinto
Sven Pauly
pi@crossalliance.de
T: +49 (0) 89 1250903 35

About Haier Smart Home Co., Ltd.:
Haier is one of the world’s leading manufacturers of household appliances with a focus on smart home solutions and customized production. Haier Smart Home Co., Ltd. develops, produces and distributes a wide range of household appliances. These include refrigerators, freezers, washing machines, air conditioners, water heaters, kitchen appliances as well as small household appliances and an extensive range of intelligent household appliances. The Company distributes its products through leading household brands such as Haier, Casarte, Leader, Candy, GE Appliances, AQUA and Fisher & Paykel. Haier Smart Home Co., Ltd. has launched Smart Home Experiential Cloud, which connects homes, users, enterprises and ecosystem partners, and facilitates the integration of Haier’s online, offline and micro-store businesses and supports user interaction to further optimize the user experience.