2023-03-30 16:00Financial Performance - Haier Smart Home achieved a record global revenue of RMB 243.514 billion in 2022, an increase of 7.2% year-on-year[9]. - The net profit attributable to the parent company reached RMB 14.711 billion, growing by 12.5%, with a non-recurring profit growth of 18% to RMB 13.963 billion[9]. - The company's operating revenue for 2022 was approximately CNY 243.51 billion, representing a year-on-year increase of 7.22%[22]. - The net profit attributable to shareholders for 2022 was approximately CNY 14.71 billion, an increase of 12.48% compared to the previous year[22]. - The net profit after deducting non-recurring gains and losses was approximately CNY 13.96 billion, reflecting an 18.02% increase year-on-year[22]. - The net cash flow from operating activities for 2022 was approximately CNY 20.15 billion, a decrease of 13.26% compared to the previous year[22]. - The total assets at the end of 2022 were approximately CNY 235.84 billion, an increase of 8.31% from the previous year[22]. - The net assets attributable to shareholders at the end of 2022 were approximately CNY 93.42 billion, up 16.80% year-on-year[22]. - Basic earnings per share for 2022 were CNY 1.58, an increase of 12.06% compared to 2021[23]. - The diluted earnings per share for 2022 were CNY 1.57, reflecting a 12.14% increase year-on-year[23]. - The weighted average return on equity for 2022 was 16.81%, a decrease of 0.45 percentage points from the previous year[23]. Dividend and Shareholder Returns - The proposed cash dividend is RMB 5.66 per 10 shares, totaling RMB 5.298 billion, representing 36.01% of the net profit attributable to shareholders[4]. - The total dividend amount, including share repurchases, is 7,113,810,143.68 RMB, accounting for 48.36% of the net profit attributable to shareholders for the year 2022[167]. - The company has maintained a stable profit distribution policy, ensuring transparency and protection of minority shareholders' rights[166]. Market Position and Strategy - The company plans to maintain growth above the industry average over the next three years, focusing on efficiency and agility in operations[10]. - Haier Smart Home's market share in core products is increasing across major global markets[9]. - The company aims to enhance its market position in small appliances and kitchen appliances through supply chain investment and R&D[11]. - The company has a clear strategy to engage with retail partners and enhance the development prospects within its ecosystem[12]. - Haier Smart Home aims to transform its organizational culture to enhance employee engagement and innovation, focusing on user value creation[12]. - The company recognizes the need for a bold transformation to navigate current market challenges and seize future opportunities[13]. Innovation and R&D - Key technology development areas include IoT and energy efficiency, with breakthroughs in consumer robots and smart lighting[11]. - The company plans to invest financial resources into future talent and technology through organizational restructuring over the next three years[12]. - The company emphasizes the importance of understanding end-user feedback to drive product innovation and design[12]. - The R&D expenses increased by 13.57% year-on-year, totaling approximately CNY 9.50 billion[84]. - The company has filed over 92,000 patents globally, with more than 59,000 being invention patents, making it a leader in the industry[82]. - The company has established a leading global R&D system, focusing on innovative technologies and smart home solutions, including IoT and AI advancements[98]. Sustainability and ESG - The company expresses a strong commitment to sustainable development and delivering better value in a volatile environment[13]. - The company’s ESG ratings include a BBB rating from MSCI and an AAA rating from WIND, reflecting its commitment to sustainable practices[71]. - The company invested a total of 541.28 million RMB in environmental protection during the reporting period, which includes investments in environmental technology research and development, clean production, and pollution control[181]. - The company has established an ESG governance structure to oversee sustainability efforts across its global operations[131]. Global Expansion and Market Growth - The company achieved a significant increase in asset disposal income, rising by 86.28% compared to the previous year[85]. - The smart home business in China generated revenue of CNY 126.379 billion, growing 4.6% year-on-year, driven by strong sales in refrigerators, washing machines, and air conditioners[33]. - The company achieved a 10.3% revenue growth in overseas home appliances and smart home business, totaling 125.424 billion CNY[50]. - In North America, the company reported a 9.0% revenue growth, supported by the launch of high-end differentiated products[51]. - The company plans to expand its market presence in Southeast Asia, targeting a revenue growth of 25% in this region for 2023[143]. Digital Transformation and Customer Engagement - The company emphasizes digital transformation to optimize processes and drive innovation in response to market challenges[10]. - The company’s digital platform, including the San Wing Bird & Smart Home APP, aims to maximize user engagement and transaction conversion rates[75]. - The company is implementing a new digital transformation strategy to improve operational efficiency and customer engagement[142]. - The company reported significant growth in 2022, with total revenue reaching CNY 200 billion, representing a year-on-year increase of 15%[144]. Governance and Management - The company has a structured governance framework, including a board of directors and various committees, ensuring compliance and effective decision-making[124]. - The new board of directors consists of 9 members, with female directors increasing to 22.2% and independent directors to 44.4%[128]. - The company has implemented a flexible credit period of 30 to 90 days for certain distributors based on their credit history and transaction amounts to mitigate credit risk[121]. - The company has established a comprehensive internal control and management system covering all subsidiaries, including 22 primary business processes and control matrices[175]. Employee Engagement and Incentives - The company has implemented a global incentive system "A+H" to attract and retain core talent[162]. - The company has established a multi-dimensional training system to enhance employee skills and leadership capabilities[163]. - The company continues to implement long-term incentive plans, including employee stock ownership, to align the interests of shareholders and management[149]. Risks and Challenges - The company anticipates risks from macroeconomic slowdowns affecting consumer purchasing power and market demand for durable goods[120]. - The company faces risks from exchange rate fluctuations due to its global operations, impacting financial costs and requiring the use of hedging tools[121]. - The company will implement strategies to mitigate risks from raw material price fluctuations, including price negotiations and hedging[120].