Core Insights - The company's 1H25 performance slightly exceeded expectations, with revenue of HKD 54.777 billion, a year-on-year increase of 20.4%, and a net profit attributable to shareholders of HKD 1.09 billion, up 67.8% year-on-year [1] Group 1: Business Performance - The large-size display business continues to grow in quality, with TCL's global TV shipment reaching 13.46 million units in 1H25, a year-on-year increase of 7.6%, achieving a global market share of 14.2%, up 0.9 percentage points [2] - The company is enhancing its product structure to drive profit improvement, with Mini LED shipments increasing by 176% year-on-year to 1.37 million units in 1H25 [2] - Domestic TV shipments totaled approximately 2.9 million units in 1H25, a year-on-year increase of 3.5%, with the main brand's shipments up 10.2% due to government subsidies [2][3] Group 2: Solar Business Growth - The solar business benefited from rapid industry growth, with revenue reaching HKD 11.136 billion in 1H25, a year-on-year increase of 111.3% [3] - The company has launched related products in Europe for the first time, exploring overseas market development opportunities [3] Group 3: Market Trends and Future Outlook - Since 2H23, the company's core business has seen continuous growth in scale and profitability, enhancing operational efficiency and competitiveness [3] - Despite short-term challenges in the global TV market, the company is expected to achieve steady growth [3] Group 4: Profit Forecast and Valuation - The company has raised its profit forecasts for 2025 and 2026 by 14% and 16% to HKD 2.334 billion and HKD 2.762 billion, respectively [3] - The current stock price corresponds to a P/E ratio of 10.1x for 2025 and 8.6x for 2026, with a target price increase of 7.3% to HKD 11.8, reflecting a P/E of 12.7x and 10.8x for 2025 and 2026 [3]

Core Viewpoint - TCL Electronics demonstrates strong global competitiveness in the TV market, with continuous improvement in profitability and high growth potential in the solar business, leading to an upward revision of profit forecasts for 2025 and 2026 by 14% and 16% to HKD 23.34 billion and HKD 27.62 billion respectively [1] Group 1: Financial Performance - The company's 1H25 performance slightly exceeded expectations, with revenue of HKD 54.777 billion, a year-on-year increase of 20.4%, and a net profit attributable to shareholders of HKD 1.09 billion, up 67.8% year-on-year [2] - Adjusted net profit attributable to shareholders reached HKD 1.06 billion, reflecting a year-on-year increase of 62.0% [2] Group 2: Market Position and Product Growth - In 1H25, TCL's global TV shipment reached 13.46 million units, a year-on-year increase of 7.6%, with a global market share of 14.2% by shipment volume, up 0.9 percentage points [3] - The company achieved a Mini LED shipment of 1.37 million units, a significant year-on-year increase of 176%, contributing to improved profitability [3] - TCL's brand TV average selling price in North America increased by 2.6% year-on-year, supported by enhanced channel presence [3] Group 3: Domestic Market and Solar Business - In the domestic market, TCL's total TV shipment reached approximately 2.9 million units in 1H25, a year-on-year increase of 3.5%, with the main brand's shipment growing by 10.2% [4] - The solar business saw revenue of HKD 11.136 billion in 1H25, a year-on-year increase of 111.3%, benefiting from rapid industry growth and channel advantages [4] - TCL's retail market share in domestic sales reached 23.2% in 1H25, an increase of 1.4 percentage points year-on-year, indicating strong brand performance [4] Group 4: Global Expansion and Operational Efficiency - Since 2H23, TCL's core business has seen continuous growth in scale and profitability, enhancing operational efficiency and competitiveness [5] - The company is pursuing scale breakthroughs in hardware while upgrading its internet business to improve monetization capabilities [5]