Haier Smart Home Co., Ltd. reported robust financial performance for the third quarter of 2025, with revenue increasing 9.5% to RMB 77.56 billion and net profit attributable to the parent company rising 12.7% to RMB 5.34 billion. The company's strategic focus on premium product development, artificial intelligence integration, and user-centric manufacturing continues to drive improved profitability and cash generation, with nine-month operating cash flow reaching RMB 17.49 billion.
The company's core strategy revolves around three key pillars: developing high-velocity blockbuster products, embedding AI throughout the value chain, and bringing production closer to end users. This approach has resulted in enhanced product mix, faster operational speed, and improved margins across all business segments. In China, Haier streamlined its product portfolio around high-performing blockbusters and smart home suites that increase household value, with suite penetration reaching 36% at Casarte and 15% at Haier by the end of September.
Domestic market performance showed particular strength in AI-enhanced inventory operations, which led to higher customer conversion and fulfillment rates. County-level coverage expanded to 86%, while direct-to-user orders surged from 26% to 74% since April. The home air-conditioning segment demonstrated strong momentum with revenue growth exceeding 30% during the quarter, driven by faster fulfillment capabilities. The Leader Multi-wash series surpassed 200,000 units sold, indicating strong consumer adoption of premium product offerings.
Internationally, Haier's local-for-local manufacturing strategy and premium upgrade initiatives generated broad-based growth despite varying global economic conditions. In North America, the business maintained resilience amid a soft housing market, with the premium product mix improving and the Air & Water business posting approximately 20% year-on-year growth. European markets saw a shift toward higher-priced products, with X-series units priced at EUR 599 or more increasing from 17% to 25% of the total product mix, while HVAC revenue grew over 30% during the quarter.
Emerging markets demonstrated particularly strong performance, with South Asia growing over 25%, Southeast Asia rising more than 15%, and Middle East & Africa climbing more than 60% on a nine-month basis. The company enhanced its regional supply chain capabilities with the new air-conditioning park in Chonburi, Thailand, which began production in September 2025. With a planned annual capacity of six million units, the facility strengthens Haier's regional supply and export agility. Logistics and fulfillment operations in Europe were improved through consolidated footprint management and optimization of EU distribution hubs.
Haier Smart Home maintains its commitment to disciplined innovation, retaining its AA ESG rating from MSCI and remaining listed on the 2025 Fortune Global 500 ranking of the world's largest corporations by total revenue. The company plans to scale its blockbuster-and-suite strategy, deepen AI applications across planning, supply, and service operations, and expand regional teams' capabilities through local manufacturing to ensure faster responses to user needs across varying market cycles.
