Hisense Home Appliances Group (000921) H1 2025 earnings summary

Executive summary

• Revenue for the first half of 2025 reached ¥49.34 billion, up 1.44% year-over-year, with net profit attributable to shareholders at ¥2.08 billion, a 3.01% increase year-over-year.

• Operating cash flow surged 153.43% year-over-year to ¥5.32 billion, reflecting strong cash generation.

• The company maintained a robust market position in core segments, with significant growth in high-end and smart home appliances.

Financial highlights

• Gross margin for the manufacturing segment was 22.66%, nearly flat year-over-year.

• Net profit margin improved slightly, with basic and diluted EPS at ¥1.52, up 2.70% year-over-year.

• Total assets increased 7.33% from year-end 2024 to ¥74.81 billion; equity attributable to shareholders rose 3.60% to ¥16.01 billion.

• Adjusted net profit (excluding non-recurring items) grew 6.72% year-over-year.

• Non-recurring gains totaled ¥259 million, mainly from investment returns and government grants.

Outlook and guidance

• The company expects continued growth in high-end, smart, and energy-efficient appliances, leveraging AI and digital transformation.

• Global expansion remains a priority, with a focus on localizing operations and enhancing brand influence through sports marketing.

• No interim dividend, bonus shares, or capital increase from reserves is planned for the half-year.