Financial Performance - Total assets increased to ¥13,783,427,451.91, representing a 15.20% increase compared to the previous year[7] - Net assets attributable to shareholders rose to ¥3,498,119,229.83, marking a 27.26% increase year-over-year[7] - Operating revenue for the period was ¥6,591,415,751.54, a decrease of 1.28% compared to the same period last year[7] - Net profit attributable to shareholders decreased by 78.34% to ¥102,102,728.56[7] - Basic earnings per share fell to ¥0.08, down 77.14% from the previous year[7] - The weighted average return on net assets was 2.96%, a decrease of 16.26% year-over-year[7] Cash Flow and Investments - Cash flow from operating activities for the year-to-date was ¥564,856,854.37, an increase of 374.26%[7] - Cash paid for the purchase of fixed assets and other long-term assets increased by 64.14% to 639,693,128.05, reflecting higher investment in infrastructure and equipment[16] - Cash received from borrowings increased by 343.99% to 1,041,261,481.61, mainly due to increased factoring financing of accounts receivable[16] - Cash paid for debt repayment surged by 470.65% to 1,002,670,002.78, reflecting higher repayments of factoring financing[16] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 33,925[11] - The largest shareholder, Qingdao Hisense Air Conditioning Co., Ltd., held 45.07% of the shares[11] Asset Management - Trading financial assets decreased by 90.11% to 6,640,451.00 due to unexpired forward transactions and exchange rate fluctuations[16] - Accounts receivable increased by 38.67% to 2,280,885,249.97, primarily due to increased sales during the peak season[16] - Prepayments rose by 56.82% to 553,418,762.14, mainly due to increased payments for equipment and infrastructure[16] - Construction in progress increased by 54.85% to 393,290,377.40, attributed to higher investment in infrastructure projects[16] Tax and Expenses - Income tax expenses surged by 117.03% to 106,781,439.20, driven by increased taxable income and reduced unutilized losses[16] - The company reported a total of ¥46,561,362.23 in non-recurring gains and losses for the year-to-date[8] Derivative Investments - The company reported a derivative investment loss of CNY 16.69 million during the reporting period, with a total investment income of CNY 44.03 million, resulting in a cumulative loss of CNY 16.69 million[23] - The company has established internal control systems for foreign exchange derivative transactions to mitigate exchange rate fluctuation risks, ensuring compliance with operational guidelines[23] - The company’s derivative investments are primarily aimed at hedging against foreign exchange risks related to export receivables[23] - The company’s derivative investment strategy is focused on locking in exchange rates within reasonable ranges to achieve hedging effects[23] - The company’s risk management measures for derivative investments include comprehensive management practices before, during, and after transactions[23] Accounting Adjustments - The company has made adjustments to its consolidated financial statements due to the revised accounting standards for long-term equity investments, affecting CNY 4 million in investments previously classified[25] - The company’s shareholding in certain investees was adjusted, resulting in a decrease of CNY 4 million in long-term equity investments due to lack of significant influence[26] - The company reported a diluted earnings impact of CNY 23.34 million from the equity dilution in its investee, Huayi Compressor[28] - The company’s accounting policies for derivative investments remained unchanged compared to the previous reporting period[23] Corporate Governance - The company has committed to maintaining independence in operations and minimizing related party transactions following significant asset sales[19] - The company has not engaged in any investor communications or interviews during the reporting period[24]

Financial Performance - The company achieved operating revenue of CNY 15.40 billion, an increase of 18.51% compared to the same period last year[20]. - The net profit attributable to shareholders was CNY 609.77 million, a decrease of 13.73% year-on-year[20]. - The basic earnings per share were CNY 0.45, down 13.46% from the previous year[20]. - The company's revenue for the reporting period reached ¥15.40 billion, an increase of 18.51% compared to ¥12.99 billion in the previous year[36]. - The company's revenue for the home appliance manufacturing sector reached ¥14.03 billion, with a gross margin of 23.05%, reflecting a year-on-year increase of 0.57%[40]. - The air conditioning segment generated ¥7.21 billion in revenue, achieving a gross margin of 23.96%, with a significant year-on-year revenue growth of 42.68%[40]. - The domestic market contributed ¥10.11 billion in revenue, with a gross margin of 28.05%, showing a year-on-year increase of 22.94%[40]. - The company's net profit for the current period is CNY 609,769,686.14, compared to a net profit of CNY 1,239,005,051.61 in the previous period, indicating a decrease of about 50.8%[143]. - The total comprehensive income for the current period, including other comprehensive income, is CNY 638,156,474.14, down from CNY 1,265,311,686.81 in the previous period, representing a decline of approximately 49.6%[143]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 15.59 billion, an increase of 30.33% compared to the end of the previous year[20]. - The net assets attributable to shareholders increased to CNY 3.40 billion, up 23.54% from the previous year[20]. - The company's total assets increased from CNY 11,964,709,290.58 at the beginning of the period to CNY 15,594,015,302.57 at the end, representing a growth of approximately 30.3%[123][126]. - Total liabilities rose from CNY 8,781,371,568.01 to CNY 11,726,360,908.40, indicating an increase of approximately 33.2%[125][126]. - The company's equity attributable to shareholders increased from CNY 2,748,731,080.83 to CNY 3,395,822,159.70, a growth of about 24.5%[126]. - The total liabilities decreased by CNY 1,239,005,051.61, indicating a significant reduction in financial obligations[144]. Cash Flow - The company's cash and cash equivalents increased by 56.18% to ¥739.98 million, primarily due to increased sales during the peak season[35]. - The net cash flow from financing activities surged by 659.29% to ¥349.19 million, driven by increased accounts receivable factoring[36]. - The net cash flow from operating activities for the current period is ¥100,286,224.09, an increase of 26.5% compared to ¥79,191,035.09 in the previous period[137]. - Cash inflow from financing activities reached ¥855,937,609.05, significantly higher than ¥145,508,575.57 in the previous period, marking an increase of 487.5%[137]. - The total cash and cash equivalents at the end of the period amounted to ¥739,977,525.12, up from ¥479,633,849.73, representing a growth of 54.3%[138]. Market and Sales - The domestic sales revenue reached CNY 10.11 billion, a year-on-year increase of 22.94%[26]. - The air conditioning business revenue accounted for 51.42% of total revenue, growing by 42.68% year-on-year[26]. - The company's air conditioning products saw retail volume growth of 28.76% for the Hisense brand and 8.69% for the Kelon brand, both exceeding the overall industry growth rate[29]. - The export volume of cold products increased by 23.2% year-on-year, surpassing the industry growth rate of 9.4%[27]. - The overseas market demand showed weakness, with a 10.2% year-on-year decline in air conditioning exports[25]. Innovation and Development - The company applied for 193 patents during the reporting period, including 58 invention patents, demonstrating a strong commitment to innovation[41]. - The company plans to accelerate the development and promotion of high-end new products to enhance product competitiveness and improve sales structure[30]. - The company continues to enhance its core competitiveness through technological innovation and brand internationalization strategies[41][42]. Corporate Governance and Compliance - The company has established a mechanism for handling investor complaints and actively engages with investors through various communication channels[64]. - The company’s governance structure complies with relevant laws and regulations, ensuring a modern corporate governance system[64]. - There were no warnings regarding significant changes in net profit compared to the previous year[52]. - The company has not initiated any major mergers or acquisitions during the reporting period[51]. - There were no penalties or rectifications during the reporting period, indicating compliance with regulations[98]. Shareholder Information - The total number of shares increased from 1,354,054,750 to 1,358,495,560 due to the exercise of stock options, adding 4,440,810 shares[105]. - The largest shareholder, Qingdao Hisense Air Conditioning Co., Ltd., holds 45.07% of the shares, totaling 612,316,909 shares[111]. - The company did not experience any changes in its controlling shareholder or actual controller during the reporting period[113]. Related Party Transactions - The company engaged in related party transactions, with procurement from Hisense Whirlpool amounting to 19,490.78 thousand yuan, representing 1.62% of similar transactions[75]. - The expected amount for related party transactions with Hisense Group and Hisense Electric is RMB 343,396 million, with actual performance during the reporting period at RMB 104,381.15 million (excluding VAT) [77]. - The company will continue to minimize related party transactions and ensure fair pricing in necessary transactions[97]. Financial Reporting and Accounting - The financial statements are prepared in accordance with the accounting standards issued by the Ministry of Finance and relevant disclosure regulations[161]. - The company confirms that its financial statements reflect a true and complete view of its financial status, operating results, changes in shareholder equity, and cash flows[162]. - The company adopts the equity method for accounting treatment of mergers under common control, measuring acquired assets and liabilities at their original book value[165].

Financial Performance - The company's operating revenue for Q1 2014 was ¥6,397,939,370.29, representing a 20.60% increase compared to ¥5,304,927,504.96 in the same period last year[8] - The net profit attributable to shareholders of the listed company was ¥226,645,912.81, a decrease of 2.26% from ¥231,881,797.14 year-on-year[8] - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥217,344,190.21, an increase of 8.39% from ¥200,529,622.09 in the previous year[8] - The basic earnings per share for Q1 2014 was ¥0.1674, down 2.22% from ¥0.1712 in the same period last year[8] - The weighted average return on net assets decreased to 7.92% from 14.26% year-on-year, a decline of 6.34 percentage points[8] Assets and Liabilities - The company's total assets at the end of the reporting period were ¥13,650,683,554.18, up 14.09% from ¥11,964,709,290.58 at the end of the previous year[8] - The net assets attributable to shareholders of the listed company increased by 8.25% to ¥2,975,618,855.66 from ¥2,748,731,080.83 at the end of the previous year[8] - Trading financial assets decreased by 96.13% to ¥2,598,380 due to exchange rate fluctuations affecting forward contracts[17] - Accounts receivable increased by 55.66% to ¥2,560,252,123, primarily due to increased sales during the reporting period[17] - Short-term borrowings rose by 58.62% to ¥304,043,988, mainly due to an increase in accounts receivable factoring[17] - Accounts payable rose by 35.23% to ¥4,706,594,499, due to increased procurement from scale expansion and product reserves[17] Cash Flow and Expenses - The company reported a net cash flow from operating activities of -¥3,830,889.42, an improvement from -¥10,242,594.87 in the previous year[8] - Sales expenses increased by 34.16% to ¥914,491,249, attributed to higher sales scale and increased market investment[17] - Cash payments to employees increased by 30.07% to ¥627,792,657, corresponding to higher sales[17] - Cash received from borrowings surged by 462.52% to ¥352,783,830, driven by increased accounts receivable factoring[17] Investments and Derivatives - The company holds a long-term equity investment in Huayi Compressor, with an initial investment of CNY 24.17 million, representing a 3.74% ownership stake, and a book value of CNY 77.73 million at the end of the reporting period, resulting in a profit of CNY 2.06 million during the reporting period[22] - The company reported a derivative investment of CNY 278.54 million in forward foreign exchange contracts, with a loss of CNY 5.95 million during the reporting period, and a net asset value of CNY 277.84 million at the end of the period[24] - The company confirmed a derivative fair value change loss of CNY 83.28 million, with total investment income of CNY 23.80 million, resulting in a net loss of CNY 5.95 million for the reporting period[24] Shareholder Information - The total number of shareholders at the end of the reporting period was 30,578[11] - The largest shareholder, Qingdao Hisense Air Conditioning Co., Ltd., held 45.22% of the shares, totaling 612,316,909 shares[11] Other Financial Metrics - Deferred tax assets increased by 35.94% to ¥49,778,627, reflecting continued profitability of subsidiaries[17] - Prepayments increased by 47.72% to ¥521,312,569, mainly due to higher advance payments for materials and equipment[17] - The fair value change loss was ¥83,279,637, primarily due to changes in unfulfilled forward contracts[17]

Financial Performance - In 2013, the company's operating revenue reached ¥24,360,021,308.47, an increase of 28.49% compared to ¥18,958,915,310.09 in 2012[23] - The net profit attributable to shareholders was ¥1,239,005,051.61, representing a 72.62% increase from ¥717,764,680.40 in the previous year[23] - The net profit after deducting non-recurring gains and losses was ¥1,077,904,382.91, up 80.50% from ¥597,180,784.22 in 2012[23] - The basic earnings per share increased to ¥0.92, a rise of 73.58% from ¥0.53 in 2012[23] - Total assets at the end of 2013 were ¥11,964,709,290.58, reflecting a 30.05% increase from ¥9,200,334,640.73 at the end of 2012[23] - The net assets attributable to shareholders increased by 81.79% to ¥2,748,731,080.83 from ¥1,512,042,166.49 in 2012[23] - The company reported a significant decline in net cash flow from operating activities, which was ¥218,798,349.53, down 80.08% from ¥1,098,192,778.13 in 2012[23] - The weighted average return on equity was 58.16%, a decrease of 3.79% from 61.95% in the previous year[23] Revenue Breakdown - The refrigerator business accounted for 45.55% of total revenue, growing by 19.44%, while the air conditioning business represented 41.62% of total revenue, increasing by 38.54%[31] - The company’s domestic sales revenue reached CNY 15.624 billion, up 35.45% year-on-year, while export sales revenue was CNY 6.563 billion, a 12.79% increase[31] Research and Development - The company applied for 525 patents in 2013, including 152 invention patents and 166 design patents[35] - Research and development expenditures focused on energy-saving and intelligent technologies, including projects on low-density low-conductivity foaming technology and high-temperature variable frequency air conditioning technology[50] - The company maintains a strong technological advantage with a focus on "energy-saving variable frequency" and "green environmental protection," supported by a leading R&D team[62] Market Position - The market share for the company's refrigerator retail volume was 17.60%, an increase of 1.26 percentage points compared to 2012[36] - The air conditioning products' retail volume market share increased by 1.54 percentage points compared to the previous year, with retail volume growth of 54.32% for Hisense and 24.83% for Kelon brands[39] Operational Strategy - The company plans to focus on product advantages, service quality improvement, marketing model transformation, and efficiency enhancement to address operational pressures in 2014[13] - Hisense aims to enhance product competitiveness by focusing on energy efficiency, health, and smart technology, with increased investment in high-end product development[88] - The company is focusing on transforming its marketing model to leverage the growth of e-commerce channels and expand its market presence[89] Financial Management - The company’s financial expenses improved significantly, and the asset-liability ratio decreased by 6.25 percentage points, optimizing the financial situation[31] - The company reported a fair value change of CNY 5,643.67 million in financial assets, with a total ending value of CNY 6,711.50 million[64] - The cash and cash equivalents decreased by ¥4,067.42 million, reflecting a significant cash outflow during the period[54] Corporate Governance - The company has a stable management team with no changes in shareholding, reflecting a commitment to continuity in leadership[170] - The current chairman, Mr. Tang Yeguang, has been in his position since June 26, 2012, and will serve until June 25, 2015[174] - The current president, Mr. Xiao Jianlin, has held the position since March 27, 2014, with no shares held[174] Social Responsibility - Significant investments have been made in employee welfare, including the construction of new apartments, canteens, and clinics, enhancing the quality of life for employees[105] - The company has engaged in social welfare activities, donating several million yuan for disaster relief, poverty alleviation, and sports sponsorship over recent years[105] Future Outlook - The company anticipates challenges in 2014 due to weak economic growth and rising costs, but sees opportunities in consumer demand driven by economic reforms and smart home trends[86] - The company has provided a positive outlook for the next quarter, projecting a revenue increase of 10% to 11 billion yuan[189] - New product launches are expected to contribute an additional 1 billion yuan in revenue over the next fiscal year[189] Related Party Transactions - The total amount of related party transactions for the year was 504,273,000 CNY[124] - The actual performance of sales products and services related party transactions was 290,096,000 CNY, against an estimated 328,932,000 CNY[124] - The company expects to enhance brand competitiveness and expand overseas markets through related party transactions[124]