Investment Rating - The report maintains a "Buy" rating for Haier Smart Home, with a target price of 35.54 CNY, compared to the current price of 26.81 CNY [4][6]. Core Insights - Haier Smart Home demonstrated strong operational resilience, with Q3 2025 revenue reaching 77.6 billion CNY, a year-on-year increase of 10%, and net profit attributable to shareholders of 5.3 billion CNY, up 13% year-on-year [1][2]. - The company continues to see growth in overseas markets, with Q3 2025 overseas revenue increasing by 8.25% year-on-year, and a cumulative growth of 10.5% for the first three quarters [2]. - In the domestic market, Haier outperformed the industry, achieving a 11% year-on-year increase in domestic revenue in Q3 2025, while the overall home appliance industry saw a decline of 3% [3]. Summary by Sections Financial Performance - Q3 2025 revenue was 776 billion CNY, with a year-on-year growth of 10% - Net profit attributable to shareholders was 53 billion CNY, up 13% year-on-year - Non-net profit was 52 billion CNY, reflecting a 15% increase year-on-year [1]. Overseas Market Growth - Q3 2025 overseas revenue grew by 8.25% year-on-year, with a cumulative growth of 10.5% for the first three quarters - North America showed resilience despite a weak real estate market, with product upgrades and cost optimization strategies - In Europe, market share in major countries like the UK, Italy, France, and Spain increased in key product categories [2]. Domestic Market Resilience - The domestic market saw a 11% year-on-year revenue increase in Q3 2025, contrasting with a 3% decline in the overall home appliance industry - Key product categories such as air conditioning saw over 30% growth, while high-end brands like Casarte and Leader grew by 18% and 25% respectively [3]. Profitability and Cash Flow - Gross margin for the first three quarters of 2025 was 27.2%, a slight increase of 0.1 percentage points year-on-year - Operating cash flow for the first three quarters was 17.5 billion CNY, reflecting a 21% year-on-year increase [3]. Earnings Forecast and Valuation - The report forecasts net profit attributable to shareholders for 2025-2027 to be 21.5 billion CNY, 24.3 billion CNY, and 27.3 billion CNY respectively - The corresponding price-to-earnings ratios are projected to be 12, 10, and 9 times for the respective years [4].