Group 1: Financial Performance - The company's operating cash flow for the first three quarters of 2025 reached 1.93 billion yuan, an increase of 576 million yuan year-on-year, primarily due to improved management of accounts receivable [3] - As of the end of the reporting period, the company's undistributed profits amounted to 862 million yuan, with the parent company's undistributed profits at 94 million yuan, meeting the conditions for profit distribution [6] Group 2: Cost Management and Efficiency - The company maintained a low sales expense ratio, outperforming the industry average, achieved through comprehensive implementation of smart factory projects and cost control measures [2] - The annual production capacity of high-end frost-free refrigerators reached 2.8 million units, with the introduction of 280 advanced automated production lines and smart warehousing systems [2][6] Group 3: Product Innovation - New product launches include the TCL AI Super Drum Washing Machine with a high cleaning ratio of 1.31 and the TCL Ice Kirin refrigerator featuring advanced preservation technology [3] - The company achieved significant breakthroughs in technology with two key innovations recognized as "internationally leading" in preservation and energy-saving technologies [4] Group 4: Global Strategy and Market Expansion - TCL has established a sales network in over 80 countries and regions, with a brand presence in more than 160 countries, enhancing its global market influence [5] - The company plans to strengthen its global strategy by expanding into Asia-Pacific, North America, Latin America, and "Belt and Road" markets, leveraging its partnership with the International Olympic Committee to boost brand recognition [5][6] Group 5: Future Production Capacity - Current production capacity is primarily located in Zhongshan and Hefei, with plans to build a production base in Thailand, adding 1.4 million units of refrigerator capacity and 300,000 units of freezer capacity [6]

Sales and Revenue Performance - In Q3 2025, TCL's refrigerator and freezer sales reached 4.16 million units, a slight decrease of 4.4% year-on-year [2] - Washing machine sales totaled 1.01 million units, showing a year-on-year increase of 1.3% [2] - Total revenue for Q3 2025 was 4.869 billion CNY, down 2.3% compared to the previous year [2] Cash Flow and Inventory Management - For the first nine months of 2025, the net cash flow from operating activities was 1.93 billion CNY, an increase of 576 million CNY year-on-year [3] - As of September 2025, inventory decreased by 24.3% compared to the beginning of the year, with a reduction of 346 million CNY in the inventory of Oma refrigerators [3] Profitability and Strategic Initiatives - The net profit attributable to shareholders for the first nine months of 2025 was 977 million CNY, reflecting a year-on-year growth of 18.5% [3] - The company is actively expanding into overseas markets, particularly in the Middle East, Africa, and Latin America, achieving significant results in the UK, Brazil, and Spain [3] - Product structure optimization and the introduction of new products contributed to a 1.52% increase in gross margin [3] Research and Development - The R&D expense ratio for the first nine months of 2025 was 3.6%, a year-on-year increase of 0.1%, positioning the company among the top in the domestic appliance industry [3] Production Capacity and Future Plans - Current production capacity is primarily located in Zhongshan and Hefei, with plans to expand capacity in Thailand to enhance production efficiency [4] - The company has successfully launched a high-end refrigerator production project with an annual capacity of 2.8 million units [4] Dividend Policy - The company has not yet distributed dividends but emphasizes the importance of shareholder returns, with retained earnings meeting legal distribution conditions [5]

Sales and Revenue Performance - In Q3 2025, the sales volume of smart refrigerators and freezers was 1.01 million units, a slight decrease of 4.4% year-on-year [2] - Washing machine sales reached 416,000 units, an increase of 1.3% year-on-year [2] - Total revenue for Q3 2025 was 4.869 billion CNY, a decline of 2.3% year-on-year [2] Profitability and Market Strategy - The net profit attributable to shareholders for the first three quarters of 2025 was 977 million CNY, an increase of 18.5% year-on-year [3] - The company is committed to a globalization strategy, actively expanding into markets in the Middle East, Africa, and Latin America, achieving significant results in benchmark markets like the UK, Brazil, and Spain [3] - Product structure optimization has led to a 1.52% increase in gross margin [3] Future Market Expansion - The company plans to continue expanding in non-European markets, with growth in the Asia-Pacific, Latin America, and Middle East regions for the first nine months of 2025 [2] - Future initiatives include launching innovative products to meet diverse consumer needs and increasing brand visibility through international exhibitions and sports marketing [2] Shipping and Cost Management - The company primarily uses sea freight for exports, with costs managed through long-term agreements with shipping companies [3] - In the first nine months of 2025, shipping costs decreased, stabilizing cost pressures [3] Product Innovation - New product launches include the TCL AI Super Drum washing machine with a cleaning ratio of 1.31 and the TCL Ice Qilin refrigerator with advanced preservation technology [4] - The company aims to enhance product competitiveness through continuous R&D investment and product structure optimization [4] Shareholder Returns - As of the end of the reporting period, the company had undistributed profits of 862 million CNY, meeting the conditions for profit distribution [5] - The company is committed to returning value to shareholders in accordance with relevant laws and regulations [5] Business Focus - The company will continue to focus on its core business of refrigerators, freezers, and washing machines, enhancing its technological advantages in key industry segments [5]

Financial Performance - In Q1 2025, the company achieved revenue of 4.6 billion RMB, a year-on-year increase of 9.58%, marking nine consecutive quarters of positive growth [2] - The net profit attributable to shareholders reached 302 million RMB, up 33.98%, with 15 consecutive quarters of double-digit year-on-year growth [2] - The net cash flow from operating activities was 578 million RMB, reflecting a year-on-year growth of 33.33% [3] Market Position - According to third-party data, the company’s Oma refrigerator ranks second or third in export market share [2] - In 2024, the export sales of Oma refrigerators to France and Brazil increased by over 100%, significantly outpacing industry growth [2] - The company has maintained its position as the leading exporter of refrigerators from China to Europe for 17 consecutive years [3] Product Development - The company launched the TCL Ice Kirin series refrigerators, featuring advanced technologies such as deep freezing at -40°C and new molecular preservation technology [3] - The TCL AI Super Tube Washing Machine achieved a wash ratio of 1.31, utilizing the TCL Fuxi AI model for enhanced user experience [3] Expansion Plans - The company plans to establish a production base in Southeast Asia, with an initial investment of up to 80 million RMB for a cold cabinet production line, expected to add 300,000 units of annual capacity [3] - The second phase of the Southeast Asia project includes purchasing land for a new refrigerator production line, with an investment budget of up to 600 million RMB, aiming for an additional 1.4 million units of annual capacity [3] Dividend Policy - The company currently has negative retained earnings and does not meet the profit distribution conditions as per the Company Law and Articles of Association [4] - The company is committed to enhancing profitability and will actively consider returning value to shareholders once conditions are met [4] Business Strategy - The company focuses on AI smart home appliances and aims to become a global leader in this sector [5] - There are no current plans to expand into air conditioning, as the main business remains in refrigerators, freezers, and washing machines [5]