Core Insights - The third ASKO Extraordinary Design Award event took place from July 25-27, focusing on the theme "Water Town Aesthetics and Design Exploration" [1] - The event featured prominent figures in design and architecture, including ASKO's China General Manager and the co-founder of HATCH Architecture, who engaged in discussions about ideal living environments [1][10] Group 1: Event Highlights - The event included immersive experiences where architects explored the architectural details of Wuzhen, enhancing their understanding of design [3] - Designers visited the Mu Xin Art Museum, where the curator shared insights on the museum's architectural choices and artistic philosophy [5] - Participants experienced traditional culture at the Xizha Dyeing Workshop and engaged with local storytelling, deepening their appreciation for the region's heritage [7] Group 2: Artistic Integration - The event coincided with a performance of Beethoven's "Fate Symphony," allowing designers to experience art in a live setting, fostering a connection between design and music [8] Group 3: Company Philosophy and Future Plans - ASKO, a Nordic luxury appliance brand, emphasizes Scandinavian design principles, merging minimalism, functionality, and humanistic care to enhance quality living [10] - The company aims to continue collaborating with designers, focusing on sustainable and human-centered design practices, inspired by the insights gained during the event [12]

Core Insights - Midea Group is undergoing significant organizational changes, focusing on integrating its operations in the refrigerator, washing machine, and kitchen appliance sectors, reflecting a shift from wholesale to retail thinking [1][2][3] - The company has experienced multiple rounds of layoffs, with a notable reduction in staff across various departments, indicating a broader trend of optimization within the organization [1][2][4] - The transition to a Direct-to-Consumer (DTC) model is central to Midea's strategy, which has led to reduced support for traditional distributors and increased operational challenges for regional dealers [4][6][9] Group 1 - The recent organizational adjustments at Midea are aimed at consolidating its operational centers and enhancing efficiency in response to market demands [1][2] - The restructuring has resulted in significant layoffs, with many employees from various departments affected, primarily targeting long-term staff [2][4] - Midea's internal strategy emphasizes a shift towards retail, with a focus on DTC and OBM (Own Brand Manufacturing) to improve market competitiveness [2][3][6] Group 2 - Regional distributors have expressed concerns over reduced traffic support from Midea, leading to increased operational costs and challenges in maintaining profitability [4][9] - The company's leadership has articulated a need for simplification and self-revolution to address performance concerns, as indicated by the chairman's directives [6][8] - Midea's financial performance shows a revenue of 407.15 billion yuan for 2024, with a net profit of 38.54 billion yuan, indicating growth but also highlighting a lag in profit growth compared to competitors [9]

Core Viewpoint - Midea Group is undergoing significant organizational changes, focusing on integrating its operations in the refrigerator, washing machine, and kitchen appliance sectors, reflecting a shift from wholesale to retail thinking [2][3][4] Group 1: Organizational Changes - Midea has announced an organizational restructuring aimed at consolidating its operational centers and optimizing its accountability mechanisms [2][3] - This restructuring is part of a broader strategy to transition towards a Direct-to-Consumer (DTC) model, which has been the main theme in Midea's approach to the Chinese market over the past two years [2][3] - The adjustments have led to significant layoffs across various departments, with older employees being the primary targets of these reductions [2][3] Group 2: Impact on Distributors and Employees - Regional distributors have expressed concerns that the DTC transformation is reducing the support they receive, making it increasingly difficult for them to operate profitably [5][6] - The restructuring may lead to a reduction in the number of operational distributors, pushing them to adapt to a retail model or face potential exit from the market [5][6] - Employees are facing challenges in integrating different teams and maintaining professional standards amid the organizational changes [5][6] Group 3: Financial Performance and Concerns - Midea's revenue for 2024 is projected at 407.15 billion yuan, with a year-on-year growth of 9.44%, and a net profit of 38.54 billion yuan, reflecting a 14.29% increase [8] - However, when excluding non-recurring gains, Midea's net profit growth of 8.39% lags behind competitors like Haier and Gree, indicating concerns about the core business's profitability [8][9] - The management is focused on simplifying operations to drive growth, as highlighted by the chairman's emphasis on self-revolution and operational efficiency [6][8]

Core Viewpoint - Whirlpool Corp reported disappointing second-quarter earnings and significantly lowered its full-year guidance, leading to a sharp decline in its stock price [1][2]. Financial Performance - The company reported earnings per share (EPS) of $1.34, missing the previous estimate of $1.47, and adjusted EBIT of $200 million, which was approximately 8% below forecasts [2]. - Sales in the North American Major Domestic Appliances (MDA) segment dropped by 5% year over year, contributing to the overall underperformance [2]. Guidance and Projections - Whirlpool cut its full-year 2025 ongoing EPS guidance to a range of $6–$8, down from a prior estimate of $10 [3]. - The company now expects flat organic revenue growth for the year, with operating margins projected to remain constrained [3]. Challenges and Risks - Analysts highlighted several challenges, including elevated leverage, softening consumer demand, and limited benefits from U.S. import tariffs [4]. - Despite a domestic manufacturing footprint, foreign competitors are reportedly more willing to sacrifice near-term margins to maintain market share [4]. Dividend and Financial Health - Whirlpool reduced its annual dividend by nearly 50%, from $7 to $3.60, and lowered its free cash flow forecast to $400 million [5]. - The company's leverage is elevated at 5.4x net debt to EBITDA, and its credit rating has been downgraded to high yield [5]. Analyst Reactions - Bank of America downgraded Whirlpool from Neutral to Underperform and lowered its price objective for the shares to $70, citing reduced earnings forecasts and sustained financial risk [5]. - The firm cut its EPS estimates for 2025 and 2026 by 22% and 23%, respectively [5]. Market Reaction - Following the earnings report, Whirlpool shares closed down 13.43% at $84.76 [6].

Financial Data and Key Metrics Changes - The company experienced a 3% decline in net sales, excluding currency effects, due to negative consumer sentiment impacting global industry demand [10] - Ongoing earnings per share were reported at $1.34, negatively impacted by approximately $0.35 from a noncash loss associated with a minority interest in Becker Europe BV [11] - Free cash flow was unfavorable compared to the prior year by approximately $140 million, driven by seasonal inventory build [11] Business Line Data and Key Metrics Changes - MDA North America saw a 5% decline in net sales year over year, with EBIT margin approximately 6% [15][16] - MDA Latin America experienced a 1% decline in net sales year over year, with EBIT margin at 6% [17] - MDA Asia reported a 4% decline in net sales year over year, but achieved over 7% EBIT margin with 90 basis points of margin expansion [19] - SDA global business delivered 8% net sales growth year over year, driven by direct-to-consumer sales growth [20] Market Data and Key Metrics Changes - Asian appliance imports were estimated to approach the highest level on record during the first half of the year, contributing to promotional intensity [6] - The overall industry is expected to be flat to down 3% globally, with MDA North America and Latin America also expected to be flat to down 3% and 5% respectively [45][46] Company Strategy and Development Direction - The company is focused on new product introductions, with over 30% of North American products transitioning to new products in 2025, marking the largest product portfolio refresh in over a decade [21] - The company aims to leverage its strong U.S.-based manufacturing footprint to benefit from new tariff and trade policies [22][24] - The company is committed to investing in innovative products and reducing debt levels while maintaining a healthy dividend [49][50] Management's Comments on Operating Environment and Future Outlook - Management noted that macroeconomic uncertainty, elevated interest rates, and evolving trade policies have negatively impacted consumer sentiment [5] - The company expects meaningful improvement in the North American business as the full impact of tariffs kicks in later this year [7] - Management remains confident in the long-term fundamentals of the housing market and believes the company is well-positioned to benefit from eventual recovery [25][34] Other Important Information - The company updated its full-year guidance, expecting approximately flat net sales of $15.8 billion in 2025, reflecting strong new product pipeline offset by worsening global consumer sentiment [41] - The company plans to adjust the annual dividend rate to $3.60 per share starting in the third quarter to create capacity for future investments and debt repayment [51][96] Q&A Session Summary Question: Estimate of pull forward tariff-free imported product currently on the ground - Management indicated that it is difficult to provide an exact estimate but noted a significant imbalance between declared sell-in and actual sell-out, with a potential 60 to 90 days of inventory from excess Asian imports [59][61] Question: Promotional calendar and second half outlook - Management stated that they significantly reduced promotional efforts in Q2 and do not expect a completely different behavior in the second half, anticipating a more muted promotional environment [62][64] Question: North America major margins and guidance - Management confirmed that the adjustment in guidance reflects continued delays for tariffs, with no change in the fundamental investment story [76][78] Question: Performance of SDA business and back half outlook - Management expressed satisfaction with SDA performance, driven by new product momentum and direct-to-consumer growth, while noting that the segment is back half loaded [88][90] Question: Update on India sale - Management expects proceeds from the India sale to be in the $550 million to $600 million range, with closure anticipated by the end of the year [110][112] Question: Confidence in pricing actions to offset tariffs - Management confirmed that necessary pricing actions have been implemented to offset tariffs, although the impact was masked by a loss in product mix [114]

Financial Performance - Net sales were $38 billion, a decrease of 54% year-over-year, or 32% excluding currency effects[16] - Ongoing EBIT margin was 53%, unchanged year-over-year, impacted by unfavorable currency[16, 18] - Free cash flow was negative $856 million, representing -227% of net sales, impacted by seasonal inventory build[16, 18] Segment Results - North America (MDA NAR): Net sales decreased by 5%, and EBIT margin decreased by 03 percentage points[23] - Latin America (MDA LAR): Net sales decreased by 1%, but EBIT margin increased by 02 percentage points[27, 29] - Asia (MDA Asia): Net sales decreased by 4% excluding currency, but EBIT margin increased by 09 percentage points[31, 34] - Global Small Domestic Appliances (SDA Global): Net sales increased by 8%, and EBIT margin increased by 34 percentage points[36, 38] 2025 Guidance - Net sales are projected to be approximately $158 billion, flat year-over-year[88] - Ongoing EBIT margin is expected to be around 57%, flat year-over-year[88] - Free cash flow is estimated at approximately $400 million, representing about 25% of net sales[88] Strategic Initiatives - Whirlpool is focusing on new product introductions, particularly in North America, with over 30% of the product portfolio transitioning in 2025[42] - The company expects to pay down approximately $700 million of debt in 2025[98, 102] - Capital expenditures are planned at around $450 million for innovation, digital transformation, and cost optimization[97, 98]

前几年，把大象放进冰箱只需要三步：打开冰箱门—放入大象—关上冰箱门。 现在，想把大象放进冰箱，还得多走一步：找到合适的冰箱门。 因为现在的冰箱，门实在是越来越多了。 冰箱的N种打开方式 冰箱可能有多少个门，就可能有多少种开门方式。 单开门冰箱容量一般不大，而且只有冷藏功能，因此通常只有一个侧面打开的门。但胜在便宜、省电、灵活，适合酒店民宿、办公室等场景。 对开门是囤货派和大家庭喜爱的大容量款，外表大气，内里能装。相比上下双开门，对开门把冰箱的功能区划分从上下换成了左右，一边冷冻，一边冷 藏。但不同型号的分区方式不一，新手小白可能一时很难分清。以海尔为例，该品牌型号为BCD-519WLHSSEDX9的对开门冰箱将冷冻区放在右侧，而同 为对开门冰箱的BCD-616WGHSSEDC9则将冷冻区放在左边。 图源：淘宝 当冰箱拥有三开门时，门的布局不仅可以上中下垂直分布，还可以呈"T型"分布，功能也更丰富。 比如上中下三门，比上下两门式冰箱更多了一个中间层——变温区，可以根据实际需求随机调节温度，满足当下的临时储存需求。以美的冰箱251为例， 该冰箱的变温区支持-18°C—8°C中调节温度。据品牌介绍，该变温区有27档 ...

Core Viewpoint - Tongda is expected to recover earnings in 1H25 with projected revenue of HK$2,802 million and net profit of HK$59 million, reflecting a year-on-year decrease in revenue and a significant increase in net profit due to prior losses from business restructuring and impairment provisions [1][2] Group 1: Financial Performance - The estimated revenue for 1H25 is HK$2,802 million, representing a 6% decrease year-on-year, while net profit is projected to increase by 359% year-on-year [2] - Excluding disposed business, Tongda's revenue is expected to grow by 13% year-on-year in 1H25, driven by consumer electronics and household & sports goods [1] - Gross profit margin (GPM) is anticipated to improve to 15.7% in 1H25 compared to 15% in 1H24 [1] Group 2: Business Outlook - The outlook for 2H25 and 2026 is positive, with expected order wins from Samsung and Huawei, increased adoption of glass fiber casing, and momentum in Smart Tech [3] - The smartphone casing segment is projected to benefit from order wins and glass fiber casing adoption, while Smart Tech is expected to see growth from new projects with Ikea and increased capacity in Malaysia [3] - Home appliances are forecasted to experience stable single-digit growth driven by orders from Midea, Haier, and Xiaomi, and networking is set to ramp up with new orders at the Vietnam plant starting from 3Q25 [3] Group 3: Valuation and Investment Recommendation - The recommendation to maintain a BUY rating is based on solid earnings recovery and attractive valuation metrics [4] - The new target price (TP) is set at HK$0.123, reflecting a higher P/E ratio of 6.6x for FY25E, which is still at a 30% discount to the 10-year average forward P/E of 9.0x [4] - The stock is considered undervalued, particularly due to its 66.2% shareholding in the A-share subsidiary Tongda Smart Tech and a net cash position of HK$635 million for FY24 [4]

Core Insights - Whirlpool Corporation reported a decline in net sales and earnings for the second quarter of 2025, primarily due to competitive pressures and stockpiling of Asian imports into the U.S. market [2][5] - The company remains optimistic about its long-term strategy, citing a strong product pipeline and favorable housing demand in North America [2][5] - Financial results indicate a significant drop in GAAP net earnings available to Whirlpool, down 70.1% year-over-year, and ongoing earnings per diluted share decreased by 43.9% [2][5] Financial Performance - Net sales for Q2 2025 were $3,773 million, a decrease of 5.4% from $3,989 million in Q2 2024 [2][15] - GAAP net earnings available to Whirlpool were $65 million, compared to $219 million in the same quarter last year [2][15] - Ongoing EBIT for Q2 2025 was $200 million, down 5.7% from $212 million in Q2 2024 [2][15] - Free cash flow for Q2 2025 was $(856) million, a decline from $(713) million in Q2 2024 [2][15] Segment Review - MDA North America reported net sales of $2,446 million, down 4.7% year-over-year, with EBIT of $144 million, a decrease of 11.7% [3] - MDA Latin America saw net sales of $806 million, down 10.0%, with EBIT of $48 million, down 7.7% [3] - MDA Asia achieved net sales of $320 million, down 5.9%, but EBIT increased by 11.2% to $23 million [3] - SDA Global reported net sales of $201 million, up 7.5%, with EBIT increasing by 32.9% to $35 million [3] Outlook - The company updated its full-year guidance, expecting GAAP earnings per diluted share to be between $5.00 and $7.00, and ongoing earnings per diluted share between $6.00 and $8.00 [5][8] - Projected cash provided by operating activities is approximately $850 million, with free cash flow expected to be around $400 million [5][8] - The company plans to recommend an annual dividend payout rate of $3.60 per share, subject to board approval [10][8]

Whirlpool shares gained 1.1% to close at $99.74 on Friday. Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables. Let's have a look at how Benzinga's most-accurate analysts have rated the company in the recent period. Whirlpool Corporation WHR will release earnings results for the second quarter, after the closing bell on Monday, July 28. Read This Next: Analysts expect the Bent ...