Haier Smart Home Co Ltd published its annual report for the year 2023 last week achieving 7.3 per cent year on year growth in revenue.
The company said revenue topped $US36.1 billion and net profit was $US2.29 billion which corresponds to an increase of 12.8 per cent compared to the previous year.
The net cash flow arising from operating activities was $US3.49 billion, representing a year-on-year growth of 24.7 per cent.
Haier’s air conditioning segment achieved an increase in revenue and profit in the reporting year with a market share in China of 37 per cent for high-end products.
The air-conditioning business increased its operating profit margin by 1.4 percentage points thanks to 20 per cent growth in its heat pump business.
Heat pump sales were driven by the smart building sector and demand for low carbon products.
The company’s overseas business grew by 7.6 per cent.
Haier Smart Home’s overseas revenue amounted to $US18.8 billion (RMB 136.41 (billion) in 2023, achieving better growth than the industry average.
In the European market, Haier Smart Home reported the fastest market growth for eight consecutive years with a YoY revenue growth of 23.93 per cent in 2023 notwithstanding the industry’s decline of four per cent.
As already announced in Q3 2023, Haier Smart Home laid out the eco-park in Egypt and the kitchen appliance factory in Pakistan in the reporting year.
For financial year 2023, the Board of Directors proposed to increase the dividend payout ratio to 45 per cent. The company also formulated a shareholder return plan for financial years 2024-2026, which will gradually increase the payout ratio to more than 50 per cent.
This proposal is still subject to approval at its upcoming Annual General Meeting in June.
The annual report 2023 as at 27 March 2024 is available online at https://smart-home.haier.com/en/.