MSCI: Qingdao Haier sees double-digit profit growth in H1

Source:Cfbond 2018-09-04 19:36

By Xie Fang

Qingdao Haier Co., (stock code: 600690), one of China’s most prestigious home appliance brands, released its audited semi-annual financial report recently, revealing a double-digit growth both in its operating revenue and net profit during the first half of this year.

The company, the stocks of which are included in the Morgan Stanley Capital International (MSCI) Emerging Markets Index, generated a total of 88.59 billion yuan (USD12.97 billion) in operating revenue during the reporting period, a year-on-year growth of 14.19 percent. Its net profit also grew by 10.01 percent from a year earlier to reach nearly 4.86 billion yuan (USD 711.81 million) by the end of this June.

The company’s weighted average rate of return on equity lost 1.3 percentage points year over year to 14.1 percent. Whereas, its basic earnings per share rose by 10.08 percent during the period to 0.797 yuan (USD 0.117).

Over the first half of this year, the company saw significant revenue increases across its product line, with the year-on-year revenue growth from its refrigerator, air conditioner, washing machine, water heater and kitchen appliance ranging from 17 percent to 30 percent.

What’s more, with its core products including refrigerator, washing machine and water heater continuing to expand their shares in the domestic market during the reporting period, the company’s revenue from the domestic market has been growing by more than 20 percent year over year for seven consecutive quarters since the fourth quarter of 2016.

Aiming to become a world-leading smart home solution provider in the age of the Internet of Things (IoT), the company promises to further upgrade its industrial Internet platform COSMOplat, which generated 2.78 billion yuan (USD 407 million) in revenue during the period, over the rest of 2018.

Major accounting data and financial indicators