Tianfeng Securities·2025-09-03 23:41Investment Rating - The report maintains a "Buy" rating for Haier Smart Home (600690) with a target price not specified [6][18]. Core Views - Haier Smart Home reported a revenue of 156.49 billion yuan for H1 2025, representing a year-on-year increase of 10.2%, and a net profit of 12.03 billion yuan, up 15.6% [1][3]. - The company continues to enhance its profitability through digital transformation and AI technology, leading to improved operational efficiency and user experience [3]. - The report highlights strong growth in both domestic and international markets, with domestic revenue increasing by 8.8% and overseas revenue by 11.7% in H1 2025 [2][3]. Financial Performance - In Q2 2025, Haier Smart Home achieved a revenue of 77.38 billion yuan, a 10.4% increase year-on-year, and a net profit of 6.55 billion yuan, up 16.0% [1][3]. - The gross margin for Q2 2025 was reported at 28.4%, with a net profit margin of 8.9%, reflecting a year-on-year increase of 0.5 percentage points [3]. - The company’s operating cash flow for H1 2025 was 11.14 billion yuan, a significant increase of 32.2% [3]. Regional Performance - In the domestic market, the revenue growth was driven by a multi-brand strategy and digital marketing innovations, with the Casarte and Leader brands growing by 20% and 15% respectively [2]. - In North America, despite tariff disruptions, high-end brands achieved double-digit growth, while Europe saw a revenue increase of 24.1% [2]. - Emerging markets showed robust growth, with revenue increases of 65% in the Middle East and Africa, 33% in South Asia, and 18% in Southeast Asia [2]. Product Category Performance - The cooling industry, kitchen appliances, and home laundry solutions saw revenue growths of 4.2%, 2.0%, and 7.6% respectively in H1 2025 [2]. - The air energy solutions and whole-house water solutions experienced significant growth, with increases of 12.8% and 20.8% respectively [2]. Future Outlook - The report projects net profits for Haier Smart Home to reach 21.3 billion yuan, 24 billion yuan, and 26.6 billion yuan for the years 2025, 2026, and 2027 respectively, with corresponding dynamic P/E ratios of 11.6x, 10.2x, and 9.2x [3].