Investment Rating - The investment rating for Haier Smart Home is upgraded to "Buy" [3][21]. Core Views - The company's Q1 2024 performance exceeded expectations, with domestic sales showing steady growth and overseas profits recovering rapidly. Cost optimization is evident, and overall profitability is expected to improve beyond initial forecasts [2][14]. Summary by Sections 1. Performance Overview - In Q1 2024, Haier Smart Home achieved revenue of 68.978 billion yuan, a year-on-year increase of 6.01%, and a net profit attributable to shareholders of 4.773 billion yuan, up 20.16% year-on-year [8]. 2. Revenue Growth - Domestic revenue grew by 8% year-on-year, while overseas revenue increased by 4%. Key domestic segments such as refrigerators and washing machines are expected to grow by 5-10%, with water appliances achieving double-digit growth [9]. - In the European market, the company implemented a dual-brand strategy with Haier and New Candy, resulting in a market share increase of 0.9 percentage points to 9.0% [9]. 3. Profitability Improvement - The gross margin for Q1 2024 was 28.95%, an increase of 0.26 percentage points year-on-year, while the net margin was 7.04%, up 0.84 percentage points. The company reported over 30% growth in operating profit in the Chinese market [10]. - Overseas operating profit also improved significantly, with double-digit growth driven by cost optimization in procurement and logistics [10]. 4. Cash Flow and Financial Health - As of the end of 2023, the company had cash and cash equivalents plus trading financial assets totaling 54.46 billion yuan, with inventory at 41.281 billion yuan, reflecting a 4.45% increase year-on-year. The net cash flow from operating activities for Q1 2024 was 1.725 billion yuan, up 27.31% year-on-year [12]. 5. Employee Stock Ownership Plan - The company has initiated a new employee stock ownership plan with a funding amount of 711.5 million yuan for A-shares and 68.5 million yuan for H-shares, aimed at incentivizing performance based on net profit growth and return on equity [13]. 6. Investment Recommendations - The report suggests that the company's deepening overseas layout and continuous high-end product development, along with the successful implementation of the scenario brand strategy, will drive revenue structure optimization and enhance operational efficiency [14].
海尔智家2024Q1季报点评：业绩超预期，海外盈利显著回升