Financial Performance - Revenue from continuing operations for the year ended December 31, 2023, was $1,428.7 million, a decrease of 3.2% year-on-year[2]. - Gross profit from continuing operations was $486.6 million, down 9.3% compared to the previous year[2]. - Profit from continuing operations was $70.3 million, reflecting a significant decrease of 37.0% year-on-year, while total profit from both continuing and discontinued operations was $150.0 million, down 58.1%[2]. - Adjusted EBITDA from continuing operations decreased by 56.6% to approximately $83.9 million, while total adjusted EBITDA from both continuing and discontinued operations decreased by 41.0% to approximately $397.1 million[2]. - The basic earnings per share attributable to ordinary equity holders of the parent for the year was 3.8 cents, down from 9.7 cents in the previous year[4]. - The company reported a net loss in other comprehensive income of $28.2 million, compared to a loss of $75.1 million in the previous year[5]. - The company reported a net profit of $70.3 million for the year ended December 31, 2023, compared to $111.5 million in 2022, reflecting a decrease of 37.0%[109]. - Adjusted net profit for the year ended December 31, 2023, was $37.7 million, a decrease of 72.8% from $135.7 million in 2022[109]. Assets and Liabilities - Non-current assets totaled $381.4 million, a significant decrease from $2,053.7 million in the previous year[7]. - Current assets decreased to $1,021.9 million from $2,582.1 million in the previous year, primarily due to a reduction in inventory and accounts receivable[7]. - Total assets decreased to $708.53 million in 2023 from $3.04 billion in 2022, representing a decline of about 76.7%[8]. - Current liabilities decreased to $694.76 million in 2023 from $1.60 billion in 2022, a reduction of approximately 56.5%[8]. - Non-current liabilities dropped significantly to $10.37 million in 2023 from $976.14 million in 2022, a decrease of approximately 98.9%[8]. - Total equity decreased to $698.17 million in 2023 from $2.06 billion in 2022, reflecting a decline of about 66.2%[8]. Revenue Breakdown - Total revenue for the year ended December 31, 2023, was $1,428,706 thousand, a decrease of 3.2% from $1,475,506 thousand in 2022[18]. - The revenue from the China market was $1,037,566 thousand, down 20.6% from $1,307,225 thousand in 2022[16]. - The SharkNinja Asia Pacific segment generated revenue of $238,673 thousand, an increase from $150,200 thousand in 2022, reflecting a growth of 58.8%[14]. - Revenue from the Joyoung segment was $1,053.1 million, a decline of approximately 20.5%, accounting for about 73.7% of total revenue[81]. - Revenue from Japan increased to approximately $91.8 million, a year-on-year growth of 43.7%, driven by innovative cordless vacuum cleaners designed specifically for Japanese households[86]. - Other markets generated approximately $31.6 million in revenue, a year-on-year increase of 74.6%, primarily due to entry into new markets such as Singapore, Malaysia, and South Korea[86]. Expenses and Costs - The cost of goods sold for inventory was $942,122,000 in 2023, slightly up from $939,120,000 in 2022, reflecting a marginal increase[24]. - Research and development expenses for the year amount to $55,154,000, a decrease from $58,042,000 in 2022, reflecting a reduction of about 5%[24]. - Total financing costs increased to $19,860,000 in 2023 from $18,761,000 in 2022, marking an increase of approximately 6%[27]. - Administrative expenses increased by approximately 52.8% to about $216.0 million for the year ended December 31, 2023, from $141.4 million in 2022, primarily due to a significant increase in equity compensation and special professional service fees related to a spin-off project[102]. - Sales and distribution expenses decreased by approximately 2.7% to about $256.3 million for the year ended December 31, 2023, compared to $263.5 million in 2022, mainly due to reduced channel marketing expenses in mainland China[100]. Market and Strategic Developments - The company terminated operations of SharkNinja Group in July 2023, distributing all shares to shareholders[9]. - The company operates under the "Shark" and "Ninja" brands, focusing on floor care products and kitchen appliances[9]. - The company has focused on three core competencies: developing innovative products with design appeal, executing diverse marketing campaigns, and establishing an omnichannel sales network[68]. - The company plans to enhance brand awareness and influence through creative marketing activities and expand its sales network and product categories[124]. - The company is committed to launching innovative products tailored to local consumer needs, leveraging its R&D capabilities[127]. Employee and Governance - As of December 31, 2023, the group had approximately 2,745 employees, a decrease from 5,661 employees as of December 31, 2022[129]. - Employee costs for the year ended December 31, 2023, amounted to $391.2 million, down from $452.1 million in 2022[129]. - The company has established four board committees, including a strategy committee and an audit committee, to enhance corporate governance[131]. - The company has complied with all applicable provisions of the corporate governance code during the reporting period, with some exceptions noted[133]. Future Outlook - The company anticipates that global macroeconomic conditions will gradually recover, providing new growth opportunities in the consumer market[128]. - The overall economic performance in the Asia-Pacific region remains robust, benefiting from rapid recovery in the consumer market and accelerated digital transformation[128]. - The company aims to achieve sustainable growth through the development and commercialization of innovative small home appliances with strong technology and design[124].

Investment Rating - The report assigns an "Overweight" rating to the company [1] Core Views - The company's fundamentals are solid, and its overseas market expansion is expected to bring new growth opportunities [3] - The company is expected to achieve net profits of $75 million, $90 million, and $103 million for 2023-2025, with year-on-year growth rates of +20% and +14% for 2024 and 2025, respectively [3] - The company is increasing its investment in overseas markets, which is expected to accelerate market share growth [3] Company Overview - JS Global Lifestyle (1691) is the parent company of Joyoung, responsible for the global operation of the Joyoung brand and the Asia-Pacific operation of Shark and Ninja brands [6] - In 2023H1, the company's revenue from continuing operations was approximately $574 million, with Joyoung, Shark, and Ninja contributing 85%, 8%, and 1% respectively [6] - The company focuses on expanding its presence in the Asia-Pacific region, with a strategic shift towards direct operations in key markets such as Australia, New Zealand, Singapore, and Malaysia [10] Overseas Market Potential - The urbanization rate in several Asia-Pacific countries remains low, indicating significant potential for new home appliance demand [13] - Countries like Thailand, Malaysia, Vietnam, the Philippines, Cambodia, India, and Indonesia have urbanization rates ranging from 24% to 78%, suggesting room for growth in home appliance penetration [14] - The rapid growth of cross-border e-commerce platforms like Temu and TikTok provides new opportunities for Chinese companies to expand in the Asia-Pacific region [17] Product and Brand Strategy - Shark and Ninja brands have strong overseas influence, with a rich product portfolio and strong capabilities in launching new products [13] - Shark is a well-established brand in North America, with a diverse product range including vacuum cleaners, steam mops, and air purifiers [26] - Ninja has a strong presence in the kitchen appliance market, particularly in the US, with a 30% market share in the blender segment [31] - The company is leveraging its product innovation capabilities to introduce new products, such as the Ninja cordless blender, which is expected to drive growth in the Asia-Pacific market [31] Domestic Market Growth - Joyoung's product portfolio includes essential kitchen appliances like rice cookers, pressure cookers, and soy milk machines, which are expected to remain stable in the long term [37] - The company is actively promoting product iterations to stimulate replacement demand and innovate in traditional product categories [37] - Joyoung's market share in the rice cooker segment increased to 14.1% in 2023, up by 0.6 percentage points year-on-year [41] Financial Performance - The company's revenue in 2022 was $5.04 billion, with a slight year-on-year decline of 2% [4] - Net profit in 2022 was $332.27 million, a year-on-year decrease of 21% [4] - The company's PE ratio in 2022 was 9.99, and the PB ratio was 2.22 [4] Future Outlook - The company is expected to achieve revenue growth of +9% and +11% in 2024 and 2025, respectively [47] - The gross margin is expected to remain stable at around 37.5% and 37.7% in 2024 and 2025 [48] - The company's net profit is forecasted to grow by +20% and +14% in 2024 and 2025, reaching $90 million and $103 million, respectively [48]

Financial Performance - For the third quarter ended September 30, 2023, the operating revenue was RMB 2,463,572,007.10, representing an increase of 11.24% compared to RMB 2,214,588,864.01 in the same period last year[4] - The net profit attributable to shareholders of Jiuyang was RMB 116,354,565.00, a decrease of 26.42% from RMB 158,189,969.70 in the same period last year[4] - The net profit attributable to shareholders after deducting non-recurring gains and losses was RMB 112,352,748.80, down 29.48% from RMB 159,359,269.72 year-on-year[4] - The basic and diluted earnings per share were both RMB 0.16, a decrease of 23.81% compared to RMB 0.21 in the same period last year[4] - The weighted average return on net assets was 3.41%, down 0.77 percentage points from 4.18% in the same period last year[4] Assets and Net Worth - The total assets as of September 30, 2023, were RMB 7,144,806,864.66, an increase of 0.98% from RMB 7,074,762,950.69 at the end of the previous year[4] - The net assets attributable to shareholders of Jiuyang were RMB 3,467,063,655.79, an increase of 4.63% from RMB 3,313,074,235.88 at the end of the previous year[4] Cash Flow - The net cash flow from operating activities was RMB 427,086,101.85, a significant decrease of 53.06% compared to RMB 909,813,991.63 in the same period last year[4] Non-Recurring Items - Non-recurring gains and losses totaled RMB 25,015,013.89 for the nine months ended September 30, 2023[5] - The company reported a government subsidy of RMB 21,375,614.32, which is closely related to Jiuyang's business operations[5]

Company Overview - JS Global Lifestyle's mission is to enhance daily life quality through innovative smart home products, maintaining a leading position in the global small appliance market with brands like Shark, Ninja, and Joyoung[16]. - The company focuses on three core competencies: developing innovative design-driven products, diverse brand marketing, and establishing a global omnichannel sales network[16]. - The company aims to create market anticipation for new products by continuously innovating and expanding its product categories[16]. Financial Performance - In the first half of 2023, the company achieved a revenue of $573.6 million, a decrease of 18.5% compared to $703.4 million in 2022[26]. - The gross profit for the same period was $213.4 million, down 14.7% year-on-year, with a gross margin of 37.2%, an increase of 1.6 percentage points from the previous year[25]. - The adjusted EBITDA for the reporting period was approximately $78.9 million, a decrease of 18.7% year-on-year[25]. - The adjusted net profit for the reporting period was approximately $52.0 million, a decrease of 27.8% compared to the previous year[25]. - Total revenue from external customers was $539.5 million, down from $667.1 million in the previous year, reflecting a decline of approximately 19.2%[29]. - The overall decline in revenue is primarily due to a slow recovery in consumer markets and a downward trend in the home appliance industry[28]. Segment Performance - The revenue from the Joyoung segment was $490.9 million, a decrease of approximately 23.2% year-over-year, accounting for about 85.6% of total revenue[28]. - SharkNinja's revenue in the Asia-Pacific segment increased to $48.6 million, representing a growth of approximately 73.0% year-over-year, contributing about 8.5% to total revenue[28]. - The Japanese market recorded revenue of $37.4 million, an increase of 29.9% year-over-year, driven by continuous innovation in the cordless vacuum cleaner category[32]. - The Shark brand generated revenue of $47.7 million, an increase of 48.6% year-over-year, due to market share growth in cleaning appliances and entry into new hair care appliance categories[30]. - The cooking appliances category generated $268.7 million in revenue, accounting for 49.8% of total sales, while food preparation appliances contributed $155.6 million, or 28.8%[33]. Market Challenges - In the first half of 2023, the company's ongoing operations, including the Joyoung segment and SharkNinja Asia business unit, experienced a decline compared to the first half of 2022, primarily due to challenges in the Chinese market[18]. - Revenue from the China region was $482.3 million, a decrease of 22.6% year-over-year, attributed to weak overall demand and intense competition[31]. - Consumer spending in mainland China showed signs of downgrade, with over half of 15 small appliance categories experiencing a decline in average prices according to AVC[83]. Strategic Initiatives - The company is focusing on enhancing its O2O digital marketing operations to improve retail sales capabilities and reach consumers more effectively[21]. - The company aims to strengthen its brand value in the "home kitchen," "public welfare kitchen," and "space kitchen" segments, adapting to market changes and consumer needs[21]. - The company plans to launch new product categories in existing markets, such as kitchen appliances and personal care products, which have proven successful in other markets[80]. - The company emphasizes digital operations by utilizing a self-built digital platform to extract big data value and establish a comprehensive O2O digital marketing operation system[80]. Ownership and Governance - The board of directors underwent changes, with Mr. Xu Ning Wang serving as both Chairman and CEO, which the board believes is beneficial for business development[95]. - The company has adopted the standard code of conduct for securities trading, ensuring compliance among all directors and relevant employees[96]. - The company has a complex ownership structure involving various holding companies and trusts, indicating a high level of control by key individuals[115]. Cash Flow and Investments - Cash flow from operating activities before tax profit was $176,915,000, down from $229,260,000 in the previous year, indicating a decline of about 23%[175]. - Cash flow used in investing activities totaled $(115,979) thousand, compared to $(94,390) thousand in the previous year, indicating a 22.9% increase in investment outflows[177]. - The company acquired a 12.09% stake in Sogou Technology (Beijing) Co., Ltd. for $3,520,000, enhancing its investment portfolio[173]. Employee and Shareholder Information - Employee costs for the group amounted to USD 221 million for the reporting period, an increase from USD 200.2 million in the previous year[135]. - The board has proposed an interim dividend of HKD 0.0392 per share for the six months ended June 30, 2023, compared to no dividend in the same period last year[136]. - The company has implemented an employee stock ownership plan (ESOP) with a maximum funding amount of RMB 208 million, allowing for the purchase of up to 8 million shares[131].

Financial Performance - Revenue from continuing operations for the six months ended June 30, 2023, was $573.6 million, a decrease of 18.5% year-over-year[2]. - Gross profit from continuing operations was $213.4 million, down 14.7% compared to the previous year[2]. - Profit from continuing operations was $46.2 million, reflecting a 30.2% decrease year-over-year[2]. - EBITDA from continuing operations decreased by 19.9% to approximately $73.1 million[2]. - Adjusted EBITDA from continuing operations was approximately $78.9 million, a decrease of 18.7% year-over-year[2]. - Total profit from both continuing and discontinued operations was $139.5 million, down 22.9% year-over-year[2]. - The adjusted profit attributable to equity holders of the parent from continuing operations decreased by 24.7% to approximately $40.5 million[2]. - The group reported a net profit for the six months ended June 30, 2023, of $139.5 million, compared to $180.9 million in 2022, reflecting a decline of about 23%[92]. - Adjusted net profit for the six months ended June 30, 2023, was approximately $52.0 million, down from $72.0 million for the same period in 2022[89]. Revenue Breakdown - Total revenue for the six months ended June 30, 2023, was $573,618 thousand, a decrease of 18.4% compared to $703,435 thousand for the same period in 2022[21]. - Sales to external customers for 九陽 were $490,866 thousand, down from $639,005 thousand in the previous year, representing a decline of 23.1%[21]. - Sales to external customers for SharkNinja 亚太 were $48,608 thousand, compared to $28,086 thousand in the prior year, showing an increase of 73.2%[21]. - The Joyoung segment generated revenue of $490.9 million, a decline of approximately 23.2% year-over-year, accounting for about 85.6% of total revenue[58]. - SharkNinja Asia Pacific segment revenue from external customers was $48.6 million, an increase of approximately 73.0% year-over-year, representing about 8.5% of total revenue[58]. - Revenue from the China region was approximately $482.3 million, a decrease of 22.6% year-over-year due to weak overall demand and intense competition[63]. Assets and Liabilities - Non-current assets as of June 30, 2023, totaled $309.2 million, significantly down from $2,053.7 million as of December 31, 2022[9]. - Cash and cash equivalents were $244.7 million, down from $504.1 million at the end of 2022[9]. - As of June 30, 2023, total current liabilities amounted to $2,457,295 thousand, an increase of 54% compared to $1,595,028 thousand as of December 31, 2022[10]. - Current assets net value reached $1,826,376 thousand, up from $987,101 thousand, indicating a significant growth[10]. - Total non-current liabilities decreased to $10,122 thousand from $976,138 thousand, reflecting a substantial reduction[10]. - The total equity as of June 30, 2023, was $2,125,470 thousand, compared to $2,064,649 thousand at the end of 2022, showing a slight increase[12]. Expenses and Costs - Sales and distribution expenses from continuing operations decreased by approximately 10.5% year-on-year to about $106.5 million for the six months ended June 30, 2023, compared to $119.0 million for the same period in 2022[79]. - Administrative expenses from continuing operations decreased by approximately 5.3% year-on-year to about $63.5 million for the six months ended June 30, 2023, compared to $67.0 million for the same period in 2022[81]. - Financing costs from continuing operations increased by approximately 121.8% year-on-year to about $14.1 million for the six months ended June 30, 2023, compared to $6.4 million for the same period in 2022, primarily due to an increase in average interest rates[85]. - Employee costs amounted to $221.0 million in the reporting period, up from $200.2 million in 2022[112]. Market and Strategic Focus - SharkNinja operates two reportable segments: Joyoung, focusing on kitchen appliances, and SharkNinja Asia Pacific, which offers a range of floor care products and kitchen appliances[18]. - The company focuses on three core competencies: developing innovative products with design appeal, implementing diverse brand marketing, and establishing a global omnichannel sales network[45]. - The company is focusing on digital marketing strategies, particularly targeting Gen Z consumers through platforms like Douyin and Xiaohongshu, to enhance retail performance[49]. - SharkNinja's growth strategy focuses on expanding in the top 25 cities in the Asia-Pacific region, including entering new countries like Australia, New Zealand, Singapore, and Malaysia[107]. Corporate Governance and Shareholder Actions - The company remains committed to maintaining good corporate governance practices and has complied with all applicable code provisions during the reporting period[115]. - The board proposed an interim dividend of HKD 0.0392 per share for the six months ended June 30, 2023, compared to no dividend for the same period in 2022[124]. - The company repurchased a total of 20,040,500 shares at a total cost of HKD 160,362,425, with the highest and lowest purchase prices being HKD 8.34 and HKD 7.76 respectively[119].

Financial Performance - Total revenue for 2022 was $5,041,210 thousand, a decrease of 2.1% compared to $5,150,593 thousand in 2021[9] - Gross profit for 2022 was $1,880,186 thousand, down from $1,924,383 thousand in 2021, reflecting a decline of 2.3%[9] - Adjusted EBITDA for 2022 was $673,035 thousand, a decrease of 8.2% from $733,533 thousand in 2021[9] - Net profit for the year was $357,503 thousand, a decrease of 22.3% compared to $460,702 thousand in 2021[9] - Total assets as of 2022 were $4,635,815 thousand, down from $4,808,811 thousand in 2021, representing a decline of 3.6%[11] - Total equity for 2022 was $2,064,649 thousand, slightly down from $2,088,895 thousand in 2021[11] - Non-current liabilities decreased to $976,138 thousand in 2022 from $1,096,519 thousand in 2021, a reduction of 11%[11] - Adjusted net profit for the fiscal year 2022 decreased by 15.3% to approximately $426 million, leading the board to recommend no final dividend distribution[14] - The group's profit for the year ended December 31, 2022, decreased by approximately 22.4% to about $357.5 million, down from approximately $460.7 million in 2021[55] - The adjusted net profit for 2022 was $425.6 million, compared to $502.4 million in 2021, reflecting a decline of about 15.3%[57] - EBITDA for 2022 was $624.5 million, down from $711.4 million in 2021, representing a decrease of approximately 12.2%[58] Revenue Breakdown - SharkNinja segment revenue was approximately $3,716 million, remaining stable compared to the previous year, while the Joyoung segment revenue was approximately $1,325 million, down 7.7% year-on-year[14] - The SharkNinja segment generated revenue of $3,715.9 million, accounting for 73.7% of total revenue, while the Joyoung segment's revenue was $1,325.3 million, representing a 7.7% decline[30] - North America recorded total revenue of approximately $2,928.1 million, a decrease of 1.2% from $2,964.0 million in 2021[34] - China region revenue decreased by approximately 6.5% to $1,307.2 million, down from $1,398.2 million in 2021[34] - Europe region revenue increased by 2.5% to $632.3 million, up from $616.8 million in 2021[34] - Cleaning appliances contributed 38.5% of total revenue, with a slight decrease of 1.1% to $1,940.1 million[36] - Cooking appliances revenue decreased by 5.7% to $1,762.0 million, accounting for 34.9% of total revenue[36] Market and Product Strategy - The company plans to focus on market expansion and new product development in the upcoming year[13] - The company plans to focus on the Asia-Pacific market, particularly the Greater China region, with the Joyoung segment emphasizing kitchen small appliances and innovative product development[16] - The company aims to become a leading small appliance company in the Asia-Pacific market within the next three to five years[17] - The company continues to execute its strategy of launching new products and entering new categories despite challenging economic conditions[20] - The company is focusing on omnichannel distribution strategies to adapt to the shift from offline to online sales[23] - The company aims to maintain strong relationships with retailers to secure more product display opportunities during major promotional events[23] - The company plans to expand its product categories, including personal care, kitchen appliances, and outdoor cooking devices, to drive sustainable long-term growth[69] Challenges and Outlook - The company has faced challenges such as supply chain issues and inflation, impacting overall performance[13] - Future guidance indicates a cautious outlook due to ongoing geopolitical tensions and economic uncertainties[13] - Revenue growth in 2022 was impacted by currency depreciation, with a fixed exchange rate calculation showing a revenue increase of 0.7%[20] - The company anticipates that supply chain costs will decrease in 2023 compared to 2022, despite ongoing concerns about inflation and economic recession[71] Management and Governance - The company has a strong management team with extensive experience in finance and operations, including Mr. Timothy Roberts Warner as an independent non-executive director since October 11, 2019[82] - The company is focused on strategic expansion and enhancing its product offerings through experienced leadership[84] - The board includes members with significant academic and professional backgrounds, ensuring robust governance and strategic direction[80] - The company is committed to leveraging its management expertise to drive growth and innovation in the market[84] - The company has established four board committees, including the strategic committee, audit committee, remuneration committee, and nomination committee, to handle specific matters[167] Shareholder and Dividend Information - The company did not declare a final dividend for the year ended December 31, 2022, due to a significant strategic restructuring, compared to a dividend of HKD 0.4098 per share in 2021[91] - As of December 31, 2022, the company's distributable reserves amounted to approximately USD 551.36 million[94] - The board of directors will determine the declaration and payment of dividends based on various factors, including financial performance and capital expenditure needs[89] Risk Management - The group faces significant risks including intense global market competition and potential impacts from trade protection policies[146] - The company has implemented comprehensive risk management policies across various operational aspects, including quality control, financial reporting, and information systems[184] - The internal audit department reports directly to the audit committee and is responsible for systematically reviewing the risk management and internal control systems[185] - The company has established a robust, technology-driven risk management system to effectively manage and mitigate inherent business risks[191] Corporate Social Responsibility - The company reported charitable donations of approximately USD 2.35 million for the year ended December 31, 2022, down from USD 2.91 million in 2021[95] - The company is committed to community development through innovative models and public welfare activities, fostering stable relationships with suppliers and the community[148] Audit and Compliance - Ernst & Young conducted the audit and confirmed that the consolidated financial statements fairly reflect the group's financial position as of December 31, 2022[198] - The audit committee has recommended the reappointment of Ernst & Young as the external auditor for the fiscal year 2023, citing their commitment to audit quality and independence[183] - The company has complied with all relevant laws and regulations during the reporting period, with no significant non-compliance issues reported[145]

Financial Performance - For the first quarter ended March 31, 2023, the operating revenue was RMB 1,892,190,788.93, a decrease of 18.74% compared to RMB 2,328,527,536.97 in the same period last year[4] - Net profit attributable to shareholders was RMB 121,389,403.14, down 26.98% from RMB 166,241,068.10 year-on-year[4] - The net cash flow from operating activities was RMB 306,900,520.10, reflecting a decline of 38.08% compared to RMB 495,669,740.10 in the previous year[4] - Basic and diluted earnings per share were both RMB 0.16, a decrease of 27.27% from RMB 0.22 in the same period last year[4] Assets and Equity - The total assets at the end of the reporting period were RMB 7,299,838,075.42, an increase of 3.18% from RMB 7,074,762,950.69 at the end of the previous year[4] - Net assets attributable to shareholders increased by 3.80% to RMB 3,439,064,123.03 from RMB 3,313,074,235.88 at the end of the previous year[4] Return on Investment - The weighted average return on net assets was 3.64%, a decrease of 0.19 percentage points from 3.83% in the previous year[4] Other Income - Non-recurring gains and losses totaled RMB 4,430,550.91 for the reporting period[5] - The company received government subsidies amounting to RMB 3,043,441.97, which are closely related to its business[5] - The company reported a fair value change gain of RMB 2,218,988.14 from trading financial assets and liabilities[5]

Financial Performance - Total revenue for the year ended December 31, 2022, was approximately $5,041.2 million, a decrease of about 2.1% year-on-year[2] - Gross profit for the same period was approximately $1,880.2 million, down approximately 2.3% year-on-year[2] - Profit for the year ended December 31, 2022, was approximately $357.5 million, a decrease of about 22.4% year-on-year[2] - Adjusted net profit for the year was approximately $425.6 million, down approximately 15.3% year-on-year[2] - EBITDA for the year decreased by 12.2% to approximately $624.5 million[2] - Adjusted EBITDA for the year was approximately $673.0 million, a decrease of about 8.2% year-on-year[2] - Total revenue for the year ended December 31, 2022, was $5,041,210 thousand, a decrease from $5,150,593 thousand in 2021, representing a decline of approximately 2.1%[23] - Adjusted profit before tax for the group was $456,705 thousand for the year ended December 31, 2022, compared to $574,835 thousand in 2021, indicating a decrease of approximately 20.5%[16][18] - The group reported a pre-tax profit of $231,416 thousand for 2022, compared to $219,460 thousand in 2021, indicating a growth of 5.4%[28] - The group’s net profit decreased by approximately 22.4% from about $460.7 million in 2021 to about $357.5 million in 2022[92] Revenue Breakdown - SharkNinja segment generated revenue of $3,715,904 thousand, while the Joyoung segment contributed $1,325,306 thousand for the year ended December 31, 2022[16] - North America accounted for $2,928,050 thousand of total revenue, while revenue from mainland China was $1,307,225 thousand for the year ended December 31, 2022[20] - SharkNinja segment revenue was $3,715.9 million, accounting for 73.7% of total revenue, while Joyoung segment revenue was $1,325.3 million, down 7.7% year-on-year[68] - Revenue from the North America region was approximately $2,928.1 million, a decrease of 1.2% year-on-year[72] - Revenue from the China region was approximately $1,307.2 million, down about 6.5% year-on-year, primarily due to a challenging economic environment[72] - Total revenue for the European region was approximately $632.3 million for the year ended December 31, 2022, representing a year-over-year increase of 2.5%[73] - Total revenue for other markets was approximately $173.6 million for the year ended December 31, 2022, reflecting a year-over-year increase of 1.2%[73] Expenses and Costs - Total sales cost for the year was approximately $3,161.0 million, a decrease of about 2.0% compared to $3,226.2 million in 2021[77] - The group's sales and distribution expenses decreased by approximately 2.3% from about $808.8 million in 2021 to about $790.4 million in 2022, primarily due to reduced advertising expenses and lower warehousing and transportation costs resulting from sales decline[85] - Administrative expenses increased by approximately 13.4% from about $537.6 million in 2021 to about $609.9 million in 2022, mainly due to employee investments in new product development and international business expansion[87] - Financing costs rose by approximately 70.1% from about $27.9 million in 2021 to about $47.4 million in 2022, primarily due to an increase in the average interest rate on bank loans[89] - The group's income tax expense decreased by approximately 13.1% from about $114.1 million in 2021 to about $99.2 million in 2022, mainly due to a reduction in pre-tax profits[91] Assets and Liabilities - Total assets less current liabilities amounted to $3,040.8 million as of December 31, 2022[8] - Non-current liabilities totaled approximately $976.1 million, down from $1,096.5 million in the previous year[9] - Total equity as of December 31, 2022, was approximately $2,064.6 million, a slight decrease from $2,088.9 million in 2021[10] - Accounts receivable decreased to $1,198,025 thousand in 2022 from $1,245,748 thousand in 2021, with a provision for impairment rising to $11,829 thousand from $6,818 thousand[43][46] - Accounts payable decreased to $687,506 thousand in 2022 from $879,078 thousand in 2021, with amounts due within one year at $686,698 thousand[49] - Total borrowings as of December 31, 2022, were approximately $857.1 million, a decrease of about 9.0% from approximately $942.1 million as of December 31, 2021[97] - The debt-to-equity ratio as of December 31, 2022, was 45.6%, down from 49.3% as of December 31, 2021, a reduction of 3.7 percentage points[100] Market Performance and Strategy - The company continues to focus on developing innovative products and expanding into new categories and markets[56] - The company’s SharkNinja division focuses on home environment and kitchen appliances, maintaining leading market shares in multiple countries[56] - The company’s Joyoung division remains focused on kitchen appliances and has a leading market share in several innovative product categories in China[56] - The company plans to proceed with the proposed spin-off and separate listing of SharkNinja, having received approval from the Hong Kong Stock Exchange[55] - The company continues to face challenges from inflation and inventory reduction among retailers, impacting product sales[57] - The company aims for sustainable long-term growth through innovative product development and market expansion, focusing on existing product growth, new categories, and global market penetration[105] Employee and Incentive Plans - As of December 31, 2022, the company had approximately 5,661 employees, with total employee costs amounting to $452.1 million, an increase from $394.1 million in 2021[110] - The company has issued a total of 141,602,148 restricted stock units under its incentive plan, with a portion already vested in 2022[110] - The company has approved a stock option incentive plan for its subsidiary, Joyoung, to attract and retain talent, with an initial grant of 15.6 million stock options[111] - The employee stock ownership plan (ESOP) can raise a maximum of RMB 208,000,000, with the company not providing any financial assistance to eligible employees[112] Dividends and Shareholder Returns - The company did not recommend the payment of any final dividend for the year due to a significant strategic restructuring[2] - The board of directors does not recommend the payment of a final dividend for the year ended December 31, 2022, due to a major strategic restructuring[119]