Core Viewpoint - The home appliance industry demonstrated resilience during the Double Eleven shopping festival, supported by policy measures and structural benefits, indicating a positive outlook for demand and growth in the sector [1][2][3] Group 1: Market Performance - The home appliance sector achieved resilient growth during Double Eleven, driven by promotional discounts and the recovery of policy funding, which is expected to support demand for essential appliances and structural upgrades [1] - Major brands like Midea and Haier maintained strong performance, with Midea's COLMO product line seeing over 40% growth in bundled sales, and Haier achieving sales exceeding 4 billion yuan [1] - The trend of younger consumers engaging with home appliances is notable, with Midea's growth in this demographic exceeding 50% and Haier's Z generation growth at 38% [1] Group 2: Export Trends - The home appliance export market is showing signs of improvement, with leading companies experiencing a rebound in overseas business despite high baseline pressures [2] - Positive developments in US-China trade negotiations and ongoing global capacity expansion are expected to enhance the ability of leading companies to manage trade risks and improve profit margins in overseas markets [2] Group 3: Investment Outlook - The home appliance industry is rated as "stronger than the market," with limited pressure on domestic sales and a gradual recovery expected in exports [3] - The sector's valuation has returned to historical lows, presenting investment opportunities, particularly in leading companies such as Midea, Haier, Hisense, and Gree, which are noted for their competitive pricing and strong market positions [3] - Emerging categories like robotic vacuum cleaners are anticipated to have significant growth potential, further enhancing the investment appeal of the sector [3]

Investment Rating - The report assigns an "Outperform" rating to several companies in the discretionary consumption sector, including Pop Mart, Anta Sports, Huazhu Group, Miniso, Li Ning, Atour Group, New Oriental Online, and Xtep International [1][5]. Core Insights - The report highlights the stable long-term growth of Luckin Coffee despite facing short-term margin pressures, indicating resilience in the F&B sector [2]. - The introduction of new children's meal sets by Taier emphasizes the trend towards fresh and healthy dining options, reflecting consumer preferences [2]. - The report notes the expansion of Midea's automotive parts production in Mexico, which supports local manufacturing for North American electric vehicle clients [2]. - The implementation of new national standards for smart home appliances starting May 1, 2026, is expected to enhance product quality and consumer trust in the home appliances sector [2]. Summary by Sections Company Performance - Guming and Pop Mart were the top performers this week, with stock price increases of 12.6% and 12.8% respectively [3][7]. - SuperHi International reported a revenue of $21 million for Q3 2025, a year-on-year increase of 7.8%, but faced a significant drop in net profit due to increased foreign exchange losses [2][5]. - Chagee's Q3 results showed a revenue decline of 9%, with adjusted net profit down 22% [2][5]. Market Trends - The report indicates a growing trend in the F&B sector towards fresh and healthy meal options, as seen with Taier's new children's meal offerings [2]. - The smart home appliance market is set to evolve with the introduction of new standards, which will likely drive innovation and consumer adoption [2].

Group 1 - The State Intellectual Property Office of China has granted a patent to Zhuhai Gree Electric Appliances Co., Ltd. and Zhuhai Zero Boundary Integrated Circuit Co., Ltd. for a method and device for adjusting baud rate, with the patent number CN119788241B and application date of December 2024 [1] - Zhuhai Gree Electric Appliances Co., Ltd. was established in 1989, located in Zhuhai City, primarily engaged in the manufacturing of electrical machinery and equipment, with a registered capital of 6,015.73 million RMB [1] - The company has invested in 100 enterprises, participated in 5,000 bidding projects, and holds 5,000 trademark and patent information records, along with 908 administrative licenses [1] Group 2 - Zhuhai Zero Boundary Integrated Circuit Co., Ltd. was established in 2018, also located in Zhuhai City, focusing on research and experimental development, with a registered capital of 1,000 million RMB [1] - The company has participated in 3 bidding projects and holds 514 patent information records, along with 8 administrative licenses [1]

Investment Rating - The report maintains a "Positive" outlook on the home appliance sector, highlighting its performance against the Shanghai and Shenzhen 300 Index [3][4]. Core Insights - The home appliance sector outperformed the Shanghai and Shenzhen 300 Index, with the sector index rising by 1.8% compared to a 1.6% increase in the broader index [4][5]. - Key companies such as Beiyi Co., Lek Electric, and Huaxiang Co. showed significant gains, while Aopu Technology and Stone Technology faced declines [4][7]. - December 2025 production data for major appliances indicates a total production of 30.18 million units, a 14.1% decrease from the previous year [10]. - The Ministry of Industry and Information Technology and five other departments issued a plan to enhance the adaptability of supply and demand in consumer goods, aiming for a significant optimization of the supply structure by 2027 [11]. Summary by Sections Market Performance - The home appliance sector index increased by 1.8%, outperforming the Shanghai and Shenzhen 300 Index [4][5]. - Notable performers included Beiyi Co. (10.2%), Lek Electric (9.0%), and Huaxiang Co. (8.4%) [4][7]. Industry Dynamics - December 2025 production data shows a total of 30.18 million units for air conditioners, refrigerators, and washing machines, with air conditioner production down 22.3% year-on-year [10]. - The government plan aims to create three trillion-level consumption fields and ten hundred-billion-level consumption hotspots by 2027 [11]. Sales Data - October sales data revealed a significant decline in offline sales for major appliances, with air conditioner retail volume down 48.3% and retail value down 53.7% [33][36]. - The average retail price for air conditioners decreased by 10.7% to 4,224 yuan [33]. Investment Opportunities - The report identifies three main investment themes: 1. Head companies in white and black appliances with low valuations and high dividends [4]. 2. Core component manufacturers expanding into emerging tech fields [4]. 3. Growth in overseas demand for new consumer appliances [4]. Raw Material Prices - As of November 28, 2025, copper prices increased by 17.83% year-on-year, while aluminum prices rose by 5.15% [13][20].

Group 1 - The State Intellectual Property Office of China has granted a patent titled "Motor Rotor, Permanent Magnet Motor, and Intelligent Device" to Zhuhai Gree Electric Appliances Inc. and Zhuhai Kaibang Motor Manufacturing Co., Ltd., with the announcement number CN110034619B and application date in May 2019 [1] - Zhuhai Gree Electric Appliances Inc., established in 1989, is primarily engaged in the manufacturing of electrical machinery and equipment, with a registered capital of 6,015.73 million RMB. The company has invested in 100 enterprises, participated in 5,000 bidding projects, and holds 5,000 trademark and patent records, along with 908 administrative licenses [1] - Zhuhai Kaibang Motor Manufacturing Co., Ltd., founded in 2003, focuses on other manufacturing sectors, with a registered capital of 82 million RMB. The company has invested in 3 enterprises, participated in 40 bidding projects, and possesses 1,902 patent records, in addition to 30 administrative licenses [1]

Group 1 - The State Intellectual Property Office of China has granted a patent titled "A Communication Circuit and Mainboard Testing Device" to Gree Electric Appliances (Wuhan) Co., Ltd. and Zhuhai Gree Electric Appliances Co., Ltd., with the authorization announcement number CN117233573B and application date of September 2023 [1] - Gree Electric Appliances (Wuhan) Co., Ltd. was established in 2010, located in Wuhan, primarily engaged in the manufacturing of computers, communications, and other electronic devices, with a registered capital of 100 million RMB [1] - Gree Electric Appliances (Wuhan) Co., Ltd. has participated in 57 bidding projects and holds 2,076 patent records, along with 93 administrative licenses according to data analysis from Tianyancha [1] Group 2 - Zhuhai Gree Electric Appliances Co., Ltd. was founded in 1989, located in Zhuhai, primarily engaged in the manufacturing of electrical machinery and equipment, with a registered capital of approximately 6,015.73 million RMB [1] - Zhuhai Gree Electric Appliances Co., Ltd. has made investments in 100 external companies, participated in 5,000 bidding projects, and holds 5,000 trademark records and 5,000 patent records, in addition to 908 administrative licenses according to Tianyancha data analysis [1]

Group 1 - The core point of the article highlights that Zhuhai Gree Electric Appliances Co., Ltd. has obtained a patent for "smart home device networking methods, devices, electronic equipment, and readable storage media," with the patent announcement number CN119906597B and an application date of December 2024 [1] - Zhuhai Gree Electric Appliances Co., Ltd. was established in 1989 and is primarily engaged in the manufacturing of electrical machinery and equipment, with a registered capital of 6,015.73 million RMB [1] - The company has made investments in 100 enterprises, participated in 5,000 bidding projects, and has 5,000 trademark and patent information records, along with 908 administrative licenses [1] Group 2 - Zhuhai Lianyun Technology Co., Ltd. was established in 2018 and focuses on software and information technology services, with a registered capital of 50 million RMB [1] - The company has participated in 9 bidding projects and has 4,403 patent information records, in addition to holding 14 administrative licenses [1]

Group 1 - Gree Electric Appliances (Wuhan) Co., Ltd. and Zhuhai Gree Electric Appliances Co., Ltd. have obtained a patent for "a type of assembly tooling and assembly equipment" with authorization announcement number CN116021464B, applied for on December 2022 [1] - Gree Electric Appliances (Wuhan) Co., Ltd. was established in 2010, located in Wuhan, primarily engaged in the manufacturing of computers, communications, and other electronic devices, with a registered capital of 100 million RMB [1] - Gree Electric Appliances (Wuhan) Co., Ltd. has participated in 57 bidding projects and holds 2,076 patent records, along with 93 administrative licenses [1] Group 2 - Zhuhai Gree Electric Appliances Co., Ltd. was established in 1989, located in Zhuhai, primarily engaged in the manufacturing of electrical machinery and equipment, with a registered capital of approximately 601.57 million RMB [1] - Zhuhai Gree Electric Appliances Co., Ltd. has made investments in 100 companies, participated in 5,000 bidding projects, and holds 5,000 trademark records and 5,000 patent records, along with 908 administrative licenses [1]

Core Insights - The Ministry of Industry and Information Technology has officially announced the list of smart factory gradient cultivation projects for 2025, with Gree Electric Appliances (Zhuhai Jinwan) Co., Ltd. recognized as a "Leading" smart factory, the only company in Guangdong to achieve this honor, highlighting its global leadership in digital transformation and intelligent upgrades [1][8]. Group 1: Smart Manufacturing Innovation - Gree Jinwan Smart Manufacturing Factory has adopted an innovative "Gree Collaborative House" smart manufacturing model based on the industrial internet, enhancing operational efficiency across the entire value chain [3][4]. - The factory's production line features a 480-meter long outdoor unit production line, where 86 out of 103 processes have been automated, reducing the workforce from over 70 to approximately 20 [4]. Group 2: Autonomous Innovation and Core Competitiveness - Since 2013, Gree Electric's chairman has emphasized "independent innovation," leading to a comprehensive industrial layout in smart equipment, covering industrial robots, CNC machine tools, smart logistics, and industrial automation [6]. - The factory's self-developed intelligent equipment system provides a unique competitive advantage and supports its status as a "Leading" smart factory [6]. Group 3: Future Outlook - Starting in 2024, a gradient cultivation action for smart factories will be initiated, with Gree Jinwan Smart Manufacturing Factory achieving a rapid upgrade from "Excellent" to "Leading" level, reflecting its commitment to high-quality development in manufacturing [8][10]. - Gree Electric plans to continue deepening innovations in smart manufacturing systems, exploring new models and paradigms for future factories, and contributing to the transformation of the manufacturing industry from "business-driven" to "data-driven" [10].

Core Viewpoint - Gree Electric Appliances has donated 12 million Hong Kong dollars for emergency relief, medical treatment for the injured, resettlement of affected residents, and post-disaster reconstruction following a fire in Hong Kong's Tai Po district [1] Group 1 - Gree Electric Appliances is committed to supporting the Hong Kong community during difficult times [1] - The donation aims to assist in various aspects of disaster response and recovery efforts [1]