Group 1 - The State Intellectual Property Office of China has granted a patent titled "Method, Device, Electronic Equipment, and Storage Medium for Permission Management" to Qingdao Haier Technology Co., Ltd. and Haier Smart Home Co., Ltd., with the announcement number CN114090976B and application date in October 2021 [1] - Qingdao Haier Technology Co., Ltd., established in 2000, is primarily engaged in the manufacturing of instruments and meters, with a registered capital of 80 million RMB. The company has participated in 81 bidding projects, holds 199 trademark records, and has 3,908 patent records, along with 7 administrative licenses [1] - Haier Smart Home Co., Ltd., founded in 1994, focuses on the manufacturing of electrical machinery and equipment, with a registered capital of approximately 9.44 billion RMB. The company has invested in 59 enterprises, participated in 1,905 bidding projects, holds 289 trademark records, and has 5,000 patent records, along with 10 administrative licenses [1]

Investment Rating - The report maintains a positive outlook on the home appliance sector, particularly recommending leading companies with low valuations, high dividends, and stable growth potential [2][3]. Core Insights - The home appliance industry is experiencing a decline in sales across both air conditioning and kitchen appliances, with significant drops in both online and offline retail volumes [33][34]. - The report highlights three main investment themes: 1. **Dividend**: Leading white and black appliance companies are characterized by low valuations, high dividends, and stable growth, providing a high margin of safety and elasticity in stock prices. The domestic market is expected to remain stable due to the continued effects of the trade-in policy, while export opportunities are bolstered by global production base layouts and strong demand in emerging markets [2][3]. 2. **Technology**: Core component manufacturers are diversifying into emerging tech fields such as robotics and data center temperature control, seeking cross-industry transformation [2][3]. 3. **Demand Recovery**: The report anticipates a recovery in external demand and sustained high demand for new products in the domestic market, particularly for robotic vacuum cleaners [2][3]. Summary by Sections Sales Data - Air conditioning sales saw a significant decline in December 2025, with online retail volume down 38.5% year-on-year and offline retail volume down 42.9%. The average price for online sales decreased by 4.2% to 2981 RMB per unit, while offline prices fell by 20.1% to 3801 RMB per unit [33]. - Kitchen appliances also faced declines, with online sales of range hoods down 16.8% and dishwashers down 10.2% year-on-year. The average price for online range hoods increased by 14.4% to 1739 RMB per unit, while offline prices decreased by 14.4% to 3813 RMB per unit [34][38]. Company Dynamics - Major companies such as Haier, Midea, and Gree are recommended for their current low valuations and strong dividend yields. The report also highlights the potential of companies like Dong'an Environment and Huaxiang Co. in emerging tech sectors [2][3]. - The report notes that the home appliance sector outperformed the Shanghai and Shenzhen 300 Index, with companies like Aojiahua and Hisense leading in stock performance [5][8]. Industry Trends - The report indicates that raw material prices for copper and aluminum have risen, with copper prices up 34.79% year-on-year and aluminum prices up 19.36% year-on-year as of January 23, 2026 [12]. - The report also mentions that the sales of rotary compressors decreased by 13.6% year-on-year, while refrigerator compressor sales increased by 7.2% [27][28]. Economic Environment - As of January 23, 2026, the exchange rate of the US dollar to the Chinese yuan has decreased by 0.51% since the beginning of the year [42]. - The report highlights a decline in the sales area of commercial housing, with residential existing homes down 6.33% and new homes down 24.55% year-on-year [44].

Investment Rating - The report assigns an "Overweight" rating to the home appliance industry [4]. Core Insights - The report highlights a slight decline in fund holdings in the home appliance sector, with a 2.6% allocation in actively managed equity funds for Q4 2025, down 0.2 percentage points from Q3 [2][4]. - December retail sales for home appliances showed a year-on-year decline of 18.7%, indicating ongoing pressure despite a high base in the previous year [2][4]. - The European Union has mandated registration for imports of robotic lawn mowers from China, with potential anti-dumping duties estimated between 21.4% and 57.4% [2][4]. Summary by Sections Investment Recommendations - The report suggests that national subsidies are expected to transition smoothly, and leading companies in both black and white appliances are recommended for their stable operations and high dividends, including Midea Group (13.1X PE), Haier Smart Home (11.4X), TCL Electronics (12.7X), and Hisense Visual (12.7X) [4]. - It emphasizes the core drivers of smart home appliances' overseas expansion, recommending leading robotic vacuum manufacturers Roborock (20.3X) and Ecovacs (22.5X) [4]. - Companies with stable performance and upward potential include Ninebot (19.9X), Anfu Technology (56.8X), Hailong Cold Chain (15.9X), and Beiding Co. (35.3X) [4]. - The report also notes that home appliance companies are diversifying into new areas, recommending Rongtai Health (21.3X) and Wanlong Magnetic Plastic (21.9X) [4]. Market Data - In December 2025, the production of home air conditioners was 14.782 million units, down 18.7% year-on-year, with domestic sales at 5.397 million units, down 26.7% [2][4]. - The total domestic sales for the year reached 10.521 million units, a slight increase of 0.7% year-on-year, while total exports were 9.318 million units, down 3.4% [2][4]. - The overall retail sales for home appliances in December 2025 amounted to 97.1 billion yuan, with a cumulative annual total of 1,169.5 billion yuan, reflecting an 11.0% year-on-year increase [2][4].

Investment Rating - The report maintains a positive outlook on the home appliance industry, particularly on leading companies in the white and black goods sectors, highlighting their low valuations, high dividends, and stable growth potential [2][3]. Core Insights - The report identifies three main investment themes: 1. **Dividend and Growth**: Leading companies in the white and black goods sectors are characterized by low valuations, high dividends, and stable growth, providing a high safety margin and significant price elasticity. The impact of the trade-in policy is expected to continue positively into 2026 [2][3]. 2. **Technological Transition**: Key upstream component manufacturers are diversifying into emerging technology sectors such as robotics, data center temperature control, and semiconductors, seeking cross-industry transformation [2][3]. 3. **Market Demand**: Both domestic and international markets show promising demand, with established companies expanding production bases globally to mitigate trade fluctuations and capture growth in emerging markets [2][3]. Sales Data Summary - **Air Conditioning**: In December 2025, online retail sales volume was 720,000 units, a year-on-year decrease of 38.5%, while offline sales volume was 162,000 units, down 42.9%. The average online retail price decreased by 4.2% to 2,981 yuan per unit, and the offline average price fell by 20.1% to 3,801 yuan per unit [2][3][35]. - **Kitchen Appliances**: - **Range Hoods**: Online sales volume was 443,000 units, down 16.8%, while offline sales were 57,000 units, down 32.1%. The online average price increased by 14.4% to 1,739 yuan per unit, while the offline average price decreased by 14.4% to 3,813 yuan per unit [3][41]. - **Dishwashers**: Online sales volume was 49,000 units, down 10.2%, and offline sales were 5,000 units, down 44.2%. The online average price decreased by 1.1% to 4,245 yuan per unit, while the offline average price increased by 1.4% to 7,990 yuan per unit [3][41]. Company Updates - **Yitian Intelligent**: Forecasts a net loss of 186 to 152 million yuan for 2025, compared to a profit of 26.54 million yuan in 2024 [5][11]. - **Roborock Technology**: Launched new products including the G30S Pro and P20 Ultra, featuring advanced cleaning technologies and high efficiency [5][12]. - **Stock Performance**: The home appliance sector outperformed the CSI 300 index, with notable gains from companies like Aojiahua (10.1%) and Hisense Visual (5.7%) [5][6][8]. Macro Economic Environment - As of January 23, 2026, the USD to RMB exchange rate was 6.9929, reflecting a decrease of 0.51% since the beginning of the year [46][48]. - In December 2025, the total retail sales of consumer goods reached 45,135.90 billion yuan, a year-on-year increase of 0.86% [48][49].

Group 1 - The event "World Pharmaceutical Capital, Smart Care for Newborns" was launched in Bozhou, Anhui, aiming to bridge traditional culture and smart technology, responding to national policies on consumption and home appliance upgrades [1][3] - Bozhou's rich cultural heritage, including intangible cultural assets like Hua Tuo's Five Animal Play, provides a strong foundation for cultural innovation and transmission [3] - The event featured performances showcasing traditional crafts, allowing attendees to experience the unique charm of intangible cultural heritage [3] Group 2 - Haier's high-end home appliance brand Casarte aligns its brand philosophy of "using technology to care for quality life" with the wisdom embedded in traditional crafts, promoting a policy of "replacing old appliances with new ones" alongside cultural revitalization [3][5] - The "Smart Guardian Interactive Exhibition Area" attracted many citizens, demonstrating how advanced technology in home appliances integrates into daily life, making technology more tangible [5] - The event successfully merged consumption promotion with intangible cultural heritage, injecting cultural innovation into the local market and enhancing the appeal of traditional culture [5]

Investment Rating - The report assigns an "Accumulate" rating for the home appliance industry [4]. Core Insights - The report highlights a slight decline in fund holdings in the home appliance sector, with a 2.6% allocation in actively managed equity funds for Q4 2025, down 0.2 percentage points from Q3 [2][4]. - The report notes that the production of household air conditioners in December 2025 was 14.782 million units, a year-on-year decrease of 18.7%, with domestic sales down 26.7% and exports down 13.2% [2][4]. - The report mentions that the EU has mandated registration for imports of robotic lawn mowers from China, with potential anti-dumping duties estimated between 21.4% and 57.4% [2][4]. Summary by Sections Investment Recommendations - The report suggests that national subsidies are expected to transition smoothly, and recommends several companies for investment based on their stable operations and high dividends, including Midea Group (13.1X), Haier Smart Home (11.4X), TCL Electronics (12.7X), and Hisense Visual (12.7X) [4]. - It highlights the core drivers for smart home appliances' overseas expansion, recommending leading robotic vacuum companies Roborock (20.3X) and Ecovacs (22.5X) [4]. - The report also recommends companies with stable performance and upward potential, such as Ninebot (19.9X), Anfu Technology (56.8X), Hailong Cold Chain (15.9X), and Beiding Co. (35.3X) [4]. - Additionally, it points out companies expanding into new business lines, recommending Rongtai Health (21.3X) and Wanlong Magnetic Plastic (21.9X) [4]. Market Data - The report provides data on the top five holdings in the home appliance sector, with Midea Group valued at 19.9 billion, Haier Smart Home at 6 billion, and others showing varying changes in market value [4]. - It notes that the overall retail sales of home appliances in December 2025 were 97.1 billion, a year-on-year decrease of 18.7% [2][4]. - The report indicates that the total domestic sales volume for the air conditioning industry in 2025 was 10.521 million units, a slight increase of 0.7% year-on-year, while total exports were 9.318 million units, down 3.4% [2][4].

Core Viewpoint - Haier's air conditioning has achieved a comprehensive upgrade from "product intelligence" to "scene intelligence" through its smart home strategy, launching the "Smart Wind Air Conditioner" that emphasizes proactive service rather than passive control [1] Group 1: Product Features - The Smart Wind Air Conditioner is equipped with an "AI Eye" UWB human sensing radar that can accurately perceive user movements, adjusting airflow based on proximity and activity [3] - It features a four-air outlet design and a 130° ultra-wide airflow, ensuring customized comfort regardless of room layout [3] - The air conditioner automatically enters energy-saving mode after 30 minutes of inactivity and shuts down after one hour without detecting human presence, promoting effortless energy conservation [4] Group 2: Health and Maintenance - The air conditioner actively monitors for dust and mold on the evaporator, prompting users to initiate self-cleaning to ensure clean air [7] - It incorporates AI temperature and humidity control to manage air quality effectively, adapting to various weather conditions [7] Group 3: User Interaction - The air conditioner can be controlled through voice commands without the need for remote controls or mobile apps, thanks to a high-performance AI voice chip developed in collaboration with iFlytek [8] - This feature allows users to issue commands within a 5-meter range, simplifying operation and enhancing user experience [8]

Summary of Haier Smart Home Conference Call Company Overview - **Company**: Haier Smart Home - **Industry**: Home Appliances Key Points and Arguments Market Performance and Strategy - Haier Smart Home has achieved stable revenue growth in the domestic market, significantly exceeding the industry average, despite an overall industry decline of 4.3% in 2025, with Q4 experiencing a drop of over 20% [2][3] - The company plans to deepen digital transformation in the Chinese market, enhance low-end market development, and improve global product competitiveness, aiming for profit growth to outpace revenue growth by 2026 [2][3] - The company expects double-digit growth in the global air conditioning business for 2026, with domestic sales projected to maintain mid-to-high single-digit growth [2][10] Cost Management and Supply Chain - To address rising raw material costs, particularly copper, Haier Smart Home is accelerating the application of new materials and optimizing its assessment mechanisms [5] - The company plans to increase its self-manufactured compressor ratio from 2-3 million units last year to 6 million units this year, which is expected to alleviate some cost pressures [5] - The overall industry price increase is anticipated to help mitigate the impact of rising raw material prices [5] Digital Transformation and Efficiency - Haier Smart Home has implemented digital inventory, digital marketing, and digital store transformations, which have laid a foundation for future growth [3] - The company has achieved an 80% coverage rate in county-level specialty stores by September 2025, with further expansion expected in 2026 [9] - Enhanced JTOC (Just-in-Time Order Completion) technology is expected to improve supply chain efficiency and customer experience [9] Product Development and Market Focus - The Casarte brand is expected to achieve double-digit growth in 2025, with a focus on high-end product lines, particularly in central air conditioning and kitchen appliances [12] - The company is also exploring humanoid robotics, focusing on exoskeleton and companion robots, while investing in core technologies [13] North American Market Outlook - The North American market is expected to perform better in 2026 compared to 2025, with revenue and profit growth projected to be close to the median [15] - The recovery of the real estate market is seen as a potential driver for demand in the home appliance sector [15] Emerging Markets and Global Strategy - Haier Smart Home plans to increase investment in emerging markets, particularly in Pakistan and India, leveraging successful experiences from these regions [4][18] - The company aims for 15%-20% growth in regions like the Middle East and Africa, with a focus on enhancing marketing services and optimizing product management [18] Cost Reduction and Capital Expenditure - The company is committed to ongoing cost reduction and efficiency measures through digital inventory and supply chain optimization [20] - Total capital expenditure is expected to increase by approximately 1 billion yuan this year, with a focus on enhancing overseas supply chain resilience [21] Shareholder Returns and M&A Plans - Haier Smart Home aims to increase its dividend payout ratio and enhance shareholder returns following a peak in capital expenditure [22] - While there are no specific M&A plans currently, the company remains open to opportunities as they arise [23] Additional Important Insights - The company is cautious about adopting aluminum-copper technology until it matures, prioritizing product quality and user experience [7][8] - Sports marketing has proven effective in enhancing brand visibility and customer confidence, particularly in Europe [19]

Group 1 - The company Haier Smart Home (06690.HK) announced a share buyback on January 23, spending 1.931 million yuan to repurchase 75,000 A-shares [1]

智通财经APP讯，海尔智家(06690)发布公告，于2026年1月23日斥资193.07万元回购7.5万股A股;于2026 年1月22日斥资10.28万欧元回购4.9万股。 ...