Core Points - The Jiangsu province will launch a "trade-in" subsidy program for consumer goods starting January 1, 2026, aimed at encouraging residents to upgrade their vehicles, home appliances, and digital products [4][18] Group 1: Vehicle Subsidies - The program offers a maximum subsidy of 20,000 yuan for trading in old vehicles for new ones, applicable to both new energy and fuel vehicles [4][7] - For scrapping old gasoline vehicles registered before June 30, 2013, or diesel vehicles registered before June 30, 2015, a subsidy of 12% of the new vehicle price is available, capped at 20,000 yuan [7] - For trading in old vehicles, a subsidy of 8% of the new vehicle price is available for new energy vehicles, with a maximum of 15,000 yuan, and 6% for fuel vehicles with a maximum of 13,000 yuan [10] Group 2: Home Appliance Subsidies - A subsidy of 15% of the final price, capped at 1,500 yuan, is available for upgrading home appliances such as refrigerators, washing machines, televisions, air conditioners, water heaters, and computers, provided they meet energy efficiency standards [14] Group 3: Digital Product Subsidies - For digital products like smartphones, tablets, smartwatches, and smart glasses, a subsidy of 15% of the final price is available, with a maximum of 500 yuan per item, applicable to items priced under 6,000 yuan [17] Group 4: Participation Requirements - To qualify for vehicle subsidies, both the old and new vehicles must be registered under the same individual's name, and the new vehicle's invoice and registration must be issued in Jiangsu [17] - For home appliances and digital products, the applicant, payer, and recipient must be the same person, and their information must match [17] Group 5: Implementation and Information Access - The "Jiangsu Consumption Trade-in Platform" will provide comprehensive support for the subsidy application process, and participating merchants will be listed by local business authorities [17][18] - Residents are encouraged to stay updated on specific implementation details and participating merchants through local official notifications [17]

The Stock Exchange of Hong Kong Limited and the Securities and Futures Commission take no responsibility for the contents of this Application Proof, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this Application Proof. Application Proof of Beijing Roborock Technology Co., Ltd. 北京石頭世紀科技股份有限公司 (the "Company") (A joint stock company incorporated in the Peo ...

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 [8][9] - 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 [9][11] - Free cash flow was unfavorable compared to the prior year by approximately $140 million, driven by seasonal inventory build [9] Business Line Data and Key Metrics Changes - MDA North America saw a 5% decline in net sales year over year, with EBIT margins around 6% [13][14] - MDA Latin America experienced a 1% decline in net sales year over year, with EBIT margins at 6% [15] - MDA Asia reported a 4% decline in net sales year over year, but achieved over 7% EBIT margin with 90 basis points of year-over-year margin expansion [16] - SDA global business delivered 8% net sales growth year over year, driven by direct-to-consumer sales growth [17] Market Data and Key Metrics Changes - The company noted a significant increase in Asian appliance imports, with estimates suggesting they would approach the highest level on record during the first half of the year [5][6] - The overall market is expected to be flat to down 3%, with MDA North America and Latin America facing similar challenges [47][49] 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 [19][20] - The company aims to leverage its strong U.S.-based manufacturing footprint to benefit from new tariff and trade policies [20][21] - The company is committed to investing in innovative products and reducing debt levels while maintaining a healthy dividend [52][53] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenging macroeconomic environment marked by elevated interest rates and evolving trade policies, which have negatively impacted consumer sentiment [4][6] - The company expects the full impact of tariffs to kick in later this year, with confidence in a meaningful improvement in the MDA North American business heading into next year [6][7] - Management remains optimistic about long-term growth potential, particularly in the U.S. housing market, despite not assuming a recovery in 2025 [23][24] Other Important Information - The company is updating its full-year guidance to reflect ongoing macroeconomic uncertainties and the timing of tariff impacts [43][44] - The company plans to reduce its annual dividend rate to $3.60 per share starting in the third quarter to create capacity for future investments and debt repayment [53][54] Q&A Session Summary Question: Estimate of pull forward tariff-free imported product currently on the ground - Management indicated 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 [61][63] Question: Promotional calendar and second half outlook - Management stated they significantly reduced promotional efforts in Q2 and expect a more muted promotional environment in the second half, with a focus on maintaining margins [65][66] Question: Sellout in North America MDA in Q2 and Q3 - Management described the sellout as flat to slightly down, with expectations of improvement as the excess inventory is sold through [104][105] Question: Update on the India sale - Management anticipates proceeds in the range of $550 million to $600 million and expects to close the transaction by the end of the year [109][111] Question: Confidence in pricing actions to offset tariffs - Management confirmed that necessary pricing actions have been largely implemented to offset tariffs, although the mix has been negatively impacted [113][114]