Core Viewpoint - Anker Innovations has recalled a total of 1.86 million power banks due to safety risks, primarily related to battery cell issues, which poses significant challenges to its business model and operational strategy [4][5][8]. Group 1: Recall Details - Anker Innovations announced the recall of 713,000 power banks in China and previously recalled 1.15 million units in the U.S., totaling 1.86 million units [4][8]. - The recalls were initiated due to risks of explosion and fire linked to battery cells that had unauthorized material changes [4][5]. - The company has ceased sales of affected models and terminated its relationship with the problematic supplier [6]. Group 2: Business Model and Performance - Anker operates on a light-asset model, focusing on research, branding, and sales while outsourcing manufacturing [4][17]. - The company has experienced rapid growth, with revenue reaching 24.71 billion yuan and net profit at 2.11 billion yuan in 2024, reflecting a continuous upward trend since 2019 [16][17]. - Anker's operational strategy, defined as a "smile curve," emphasizes high-value activities in R&D and branding, but the recent recalls challenge this model [18][19]. Group 3: Market Dependency and Risks - Anker's revenue from overseas markets has consistently exceeded 96% over the past two years, indicating a heavy reliance on international sales [21]. - The complex global trade environment poses additional risks for Anker, necessitating enhanced risk management capabilities [22]. - The company has faced scrutiny over its quality control processes, particularly regarding its reliance on third-party manufacturers for critical components [12][19].