Stock Code: 600690 Short Name: Haier Smart Home
Haier Smart Home Co., Ltd.2022 Third Quarter Report
The Board of Directors (the “Board”) and the Directors of Haier Smart Home Co., Ltd. (the “Company”) herebyassure that this announcement is free from any false record, misleading representation or material omission and arelegally responsible for the trueness, accuracy and completeness of the content set out herein.
Important Notice:
The board of directors (the “Board”), the board of supervisors, directors, supervisors, and senior management ofthe Company hereby assure that the content set out in the quarterly report is true, accurate and complete, and free fromany false record, misleading representation or material omission, and are individually and collectively responsible forthe content set out therein.
The legal representative of the Company, chief financial officer of the Company and person in charge of accountingdepartment hereby certify that the financial information set out in the quarterly report is true, accurate and complete.
Whether the third quarterly report has been audited or not
□Yes √No
I. Key Financial Information(I) Major accounting data and financial indicators
Unit and Currency: RMB
| Items | During the Reporting Period | For the corresponding period of last year | Year-on-year increase/decrease during the Reporting Period (%) | From the beginning of the year to the end of the Reporting Period | For the corresponding period of last year | Year-on-year increase/decrease from the beginning to the end of the Reporting Period (%) | ||
| Before adjustment | After adjustment | After adjustment | Before adjustment | After adjustment | After adjustment | |||
| Operating revenue | 62,891,243,547.88 | 58,344,749,484.03 | 57,902,786,814.05 | 8.62 | 184,748,766,010.10 | 169,963,571,548.76 | 169,630,543,025.11 | 8.91 |
| Net profit attributable to shareholders of the listed Company | 3,716,522,018.59 | 3,082,339,695.41 | 3,089,857,630.90 | 20.28 | 11,665,606,491.29 | 9,934,611,508.38 | 9,948,760,485.45 | 17.26 |
| Net profit after deduction of non-recurring profit or loss attributable to shareholders of the listed Company | 3,730,558,477.25 | 2,785,809,654.46 | 2,785,809,654.46 | 33.91 | 11,221,252,182.63 | 9,055,716,061.18 | 9,055,716,061.18 | 23.91 |
| Net cash flow from operating activities | N/A | N/A | N/A | N/A | 11,205,073,837.77 | 13,359,284,075.18 | 13,431,006,331.74 | -16.57 |
| Basic earnings per share (RMB per share) | 0.40 | 0.33 | 0.33 | 21.21 | 1.25 | 1.07 | 1.07 | 16.82 |
| Diluted earnings per share (RMB per share) | 0.39 | 0.33 | 0.33 | 18.18 | 1.24 | 1.06 | 1.06 | 16.98 |
| Weighted average return on net assets (%) | 3.91 | 4.00 | 3.98 | Decrease of 0.07 percentage points | 13.15 | 13.29 | 13.27 | Decrease of 0.12 percentage points |
| At the end of the Reporting Period | At the end of last year | Increase/decrease at the end of the Reporting Period compared to the end of last year (%) | ||||||
| Before adjustment | After adjustment | After adjustment | ||||||
| Total assets | 229,607,654,027.10 | 217,459,494,212.74 | 217,745,933,577.31 | 5.45 | ||||
| Owner equity attributable to shareholders of the listed Company | 91,701,820,532.75 | 79,810,927,325.55 | 79,988,404,863.61 | 14.64 | ||||
Note: “Reporting Period” refers to the three-month period commencing from the beginning of this quarter to the end
of this quarter.
Reasons for retrospective adjustment or restatement:
During the Reporting Period, the Company had a business combination under common control (acquisition ofthe entire equity interest in Qingdao Haier Special Plastics R&D Co. Ltd.), and therefore certain financialinformation were adjusted retrospectively in accordance with the Accounting Standards for BusinessEnterprises.
During the Reporting Period, the Company seized the growth opportunity from product innovation and modelinnovation; leverage high-end brand and three-in-one market layout to grow global market share; accelerateddigital transformation to enhance user experience and operational efficiency throughout the entire value chain;in order to achieve steady growth with improving profitability despite external uncertainties and challenges.
Key Performance IndicatorsI. Revenue and profitIn the first three quarters of 2022, the Company recorded a revenue of RMB184.749 billion, net profitattributable to the owners of the Company of RMB11.666 billion, net profit after deduction of non-recurringprofit and loss items attributable to the owners of the Company of RMB11.221 billion, representing an increaseof 8.9%, 17.3% and 23.9% respectively, as compared to the corresponding period in 2021.
In the third quarter, the Company recorded a revenue of RMB62.891 billion, net profit attributable to theowners of the Company of RMB3.717 billion, net profit after deduction of non-recurring profit and loss itemsattributable to the owners of the Company of RMB3.731 billion, representing an increase of 8.6%, 20.3% and
33.9% respectively, as compared to the corresponding period in 2021.
（I）Smart Home Businesses in ChinaDuring the Reporting Period，the Company achieved solid results by enhancing user experience andimproving operational efficiency.
Firstly, the Company upgraded the high-end brands and scenario solutions to maximize user value: Casartebrand has been enhancing comprehensive product sets and line-up of solution packages. The Company alsostrengthened presence in shopping malls and home building material channel to increase brandcompetitiveness, expanded network coverage of Three-Winged Bird scenario brand while establishing userreputation by improving 1+N service capabilities and smart home scenario experience. The Company alsoaccelerated development in new categories with 89% year-on-year growth in tumble dryers, over 20% growthin dishwashers and 120% growth in robotic cleaners.
Secondly, the Company promoted efficient traffic-acquisition and conversion to improve users’ loyalty withgreater rate of repeated purchase and pressed ahead with integration of distribution network, sales network,logistics network and service network, while focusing on platform-based digital transformation to improveuser experience and operational efficiency.
1. Household Food Freshness and Cooking Solutions (Internet of Food)
Refrigerator and Freezer businessAccording to CMM, the Company strengthened the leadership in refrigerators, with 43.8% retail sales marketshare offline in the first three quarters of 2022, up by 2.4 percentage points year-on-year, and with 39.1% retailsales market share online.
During the Reporting Period，the refrigerator segment continued technology innovations in preservation andhome furnishing integration. Seamless built-in technology helped the sales of built-in refrigerators increaseby 180% year-on-year in the third quarter. Based on the concept of complete integration with cabinet, theCompany launched Casarte 505 series with 6 built-in designs that perfectly fit cabinets and cupboards, creatinga new generation of kitchen design standards and contributing to high-end market share growth. According toCMM, Casarte’s market share in refrigerators priced above RMB15,000 increased by 3.3 percentage points to45% offline.
Kitchen Appliance BusinessAccording to CMM, by retail revenues, the Company’s market share in kitchen appliance was 8.3% offline inthe first three quarters of 2022, up by 1.2 percentage points year-on-year, while Casarte’s market share grewby 69% to 5.2% offline.
During the Reporting Period, the Company focused on strengthening the competitiveness of the high-endproduct set solutions. Casarte brand accelerated expansion in home improvement channels by establishing 274new Three-Winged Bird smart kitchen stores to capture the growth opportunity from consumption upgrade.Haier brand focused on online channels, lower-tier e-commerce channels and rural channels by entering 1,900stores in towns and villages, seizing the opportunities from kitchen appliances penetration increase andproduct replacement.
2. Household Laundry Solutions (Internet of Clothing)
According to CMM, the Company continued to lead the industry in the first three quarters of 2022: Haier’sretail sales market share reached 46.3% offline, up by 2.7 percentage points year-on-year while market sharereached 40.2% online; and high-end market share (units priced above RMB10,000) reached 76.8%. Marketshare of tumble dryers amounted to 39.3% offline and 29.6% online, up by 5.8 and 4.1 percentage points year-on-year, respectively.
During the period, the Company committed to product innovation focusing on user demand and rapidlyexpanded into new channels. The Company launched Essence washing machine equipped with a mixingchamber for optimal dispensing and mixing of of detergent and water, this liquid is immediate sprayed topenetrate fabric fibres using high-pressure technology to achieve effective dirt removal, thus saves time,reduce water and electricity consumption, as well as wear& tear. Xinxiannuo (新纤诺) dryer drove theCompany’s market share in tumble dryers priced above RMB10,000 to 47.2%. The Company concentratedon expanding into building materials channel, shopping malls, and new e-commerce platforms to capturegrowth opportunities.
3. Air Solutions
Residential air conditioning segment
According to CMM, in the first three quarters of 2022, the Company’s share increased rapidly: with 19.9%retail sales share offline and 14.5% online, increase by 2.9 and 1.0 percentage points respectively; in particular,the Company’s high-end market share (wall-mounted units priced above RMB4,000 and standing units pricedabove RMB10,000) recorded a significant increase of 4 percentage points reaching 24.8%.
During the period, the Company’s residential air conditioners focused on whole-process transformation toenhance long-term competitiveness. In the domestic market, the Company improve users interaction by addingin-store product demonstrations, and actively expanded the network with the addition of more than 3,800 salesoutlets to improve customer acquisition. In the overseas market, leveraging local user recognition, distributionnetwork and tailored new products for the local demand, such as split air conditioners that are quick todisassemble and clean, and saddle inverter window air conditioners, the Company realized sales revenuegrowth of 38% in the first three quarters. Meanwhile, the Company has improved its research and developmentcapabilities and cost competitiveness. In September, Casarte launched Yunding luxury air conditionerfeaturing the world's first water-oxygen air washing technology. This technology can remove 7 types ofpollutants including PM2.5 using nano molecular water film while releasing negative oxygen ions, providingsmart and healthy air solutions. The Company continued cost optimization through measures such astechnological innovation and increasing proportion of modules manufactured in-house.
Commercial air conditioning segment
During the period, the Company provided customized air and energy solutions through continuoustechnological breakthroughs and product and service upgrades.
In September, the Company launched smart laminar wind built-in products, equipped with industry’s first C-bionic deflectors that supply air at 10° angle creating comfortable surrounding without direct blow, it alsomeets demand for customized air solutions using four-sided air deflectors to separate air supply in differentspaces.
The Company strengthened heat pump products to seize growth opportunities. During the first three quarters,heat pumps revenue grew by over 30%, with over 300% growth from overseas market. Within the domesticmarket, the Company launched water heaters designed for small and medium-sized venues, featuring easyinstallation, low noise level and 12% saving in energy consumption compared with previous models. InEuropean market, the Company capitalized localized facilities to develop new products with enhancement inenergy efficiency and connectivity, while expanding distribution network coverage with focus on heatingproducts specialist channels to capture growth opportunity.
4. Household water solutions
According to CMM, in the first three quarters of 2022, the Company’s share continued to lead the industry:
electric water heater’s retail sales market share amounted to 40% offline and 41.4% online, representingyear-on-year growth of 1.7 and 2.7 percentage points, respectively; gas water heater’s retail sales marketshare reached 22.5% offline and 24.1% online, representing year-on-year growth of 2.6 and 2.3 percentagepoints, respectively.
The Company’s water heater business enhanced user experience through technological innovations andproduct structure upgrades: following the success of Casarte’s Crystal Tank Galaxy series, a new series of
double-tank electric water heaters were launched to cater to user demand for small size, appealing design andlarge capacity; Haier's air-sourced heat pump water heater accelerated the development of products with highwater temperature, disinfection, variable frequency and energy conservation realizing over 300% revenuegrowth overseas in the first three quarters. The zero cold water, air-sourced water heater LE1 heats up coldwater using air, which could save up to 76% electricity, it became number one in market share of units pricedabove RMB 7,000 soon after launch. At the same time, the Company increased customer acquisition andexplored growth potential with expansion into home improvement channels and service offerings in localcommunities.
(II) Overseas Home Appliance and Smart Home BusinessIn the first three quarters of 2022, the Company’s overseas business grew by 8.7% year-on-year. The steadygrowth was attributable to the adherence to the “RenDanHeYi (人单合一)” Model; the efficient localizedR&D, manufacturing and marketing operations; seizing the growth opportunities of energy-efficient products,heat pump and built-in products; brand premiumization to capture high-end market growth opportunities; andthe acceleration of localized supply chain development unlocking global synergies while coping with highinflation and components shortage.
The American market: During the period, the Company continued to focus on high-end brands and high-enddifferentiated new products, revenue of the Company’s high-end brands increased by over 40% in localcurrency. Rapid development of new segments has been driven through continuously expanding the Air &Water professional channel and competitive product mix. GEA was once again awarded Great Place to WorkCertification and was successfully listed among the “20 Best Large Workplaces in Manufacturing andProduction” by the Fortune Magazine.
The European market: During the period, the Company continued high-end transformation while seizing theopportunity of energy-saving product and accelerating the development of localized supply chain to realizehigh-end revenue growth of over 30% in local currency. During the period, the Company increased the priceindex by launching new products such as Haier905CD refrigerators, new ultra-thin Ipro7plus washingmachines and 939 washing machines to meet demand for energy saving products, meanwhile the Companyquicky responded to market demand leveraging facilities from dishwasher, tumble dryer and kitchen appliancefactory in Turkey and the gradually ramped-up the refrigerator factories in Romania.
The Australian and New Zealand market: During the period, FPA focused on high-end transformation, its ultra-premium products grew by over 40% in local currency; Haier’s high-end products grew over 55% in localcurrency.
The South Asian market: The Company remained number one in Pakistan market, accelerated retailtransformation with increasing revenue contribution from mid-to-high-end products.
The Southeast Asian market: The Company adhered to its high-end brand strategy and accelerated Casarte’sglobal expansion. In August, the first full-scenario smart home experience centre in the Southeast Asian marketwas set up at Central World in Bangkok, Thailand, displaying a full house high-end smart home scenarioincluding smart kitchen, smart living room, smart bedroom, smart closet and smart bathroom.
The Japanese market: The Company continued high-end transformation with sales volume market share gainsin refrigerators, freezers and washing machines among which the share of retail sales volume of bothrefrigerators and freezers became number one in the industry.（III）Digital TransformationDuring the period, the Company continued digital transformation to enhance user experience and operationalefficiency.
The digital user operation platform facilitates user scenarios and demand profiling, to iterate scenarioexperience and improve recognition as well as rate of repeated purchase. In the first three quarters, 32.25million new user members were added, representing year-on-year increase of 64%.
The lean manufacturing platform continuously improved efficiency in smart manufacturing, procurement,supply chain and logistics. The Company initiated the transformation to a technology-based digitalprocurement service platform and increased the proportion of components used on three or more SKUs;utilizing automated production scheduling, precise planning and end-to-end information integration to matchvehicles, goods and materials, to achieve 30% improvement in efficiency level of logistics management in theCompany’s industrial parks.
The digital R&D platform promoted digital simulation design through the establishment of a global industrialdesign platform. Meanwhile, the acceleration of module iteration, application of new materials and newprocess has shortened new product design cycle by 30% globally with over 0.9% design cost optimization inthe third quarter.II. Gross Profit Margin
The gross profit margin in the first three quarters of 2022 reached 30.5%, representing an increase of 0.2percentage points as compared with the same period in 2021. Increase in gross profit margin was mainlyattributable to product mix upgrade with enhanced competitiveness, effective implementation of wholeprocess cost management in the supply chain and streamline of SKUs through R&D and whole processcollaboration in sales; improvement of management of tier 2 & 3 suppliers and increase of level of in-houseproduced components, all of which aimed at improving the Company’s competitiveness of the entire valuechain.
III. Operating Expenses Ratio
1. The selling expense ratio in the first three quarters of 2022 was 14.9%, representing an improvement of
0.5 percentage points as compared with the same period in 2021. The improvement in selling expense ratiowas attributable to digitalization aiming at improving marketing precision and efficiency; integratingmanufacturing, distribution & logistics to improve fulfilment efficiency; transforming from indirect deliveryof service requirements by suppliers to system’s direct matching of user request and maintenance personnel;accurate prediction of manufacturing and storage of spare parts & components using algorithm to reducespare parts expense ratio.
2. The administrative expense ratio in the first three quarters of 2022 was 4.2%, representing animprovement of 0.3 percentage points as compared with the same period in 2021. The improvement inadministrative expense ratio was attributable to the digital transformation of the Company and our businessprocess redesign, which improved the efficiency of operation and personnel.
3. The research and development expense ratio in the first three quarter of 2022 was 4.0%, representing anincrease of 0.4 percentage points as compared with the same period in 2021. The increase in the researchand development expense ratio was mainly due to the strengthening of the core technology for the smarthome segment and efforts in our core capabilities to promote the advanced technology layout and productinnovation of various industries, and the construction of technical capabilities in the Three-Winged Birdscenario brand.
4. The financial expense ratio in the first three quarters of 2022 was -0.3% (“+” as expense, “-” as revenue),representing an improvement of 0.5 percentage points as compared with the same period in 2021. Theimprovement of the financial expense ratio was attributable to the increase in interest income resulting fromthe Company’s enhanced capital management efficiency and the increase in exchange gain resulting fromoptimized foreign exchange management strategies.
IV. Working Capital
1. Trade and bill receivable turnover days
The trade and bill receivable turnover days of the Company was 43 days in the first three quarters of 2022,representing a decrease of 3.6 days as compared to the end of 2021, which was attributable to the effectivecontrol over trade and bill receivables of the Company.
2. Inventory turnover days
The inventory turnover days of was 84.3 days in the first three quarters of 2022, representing an increase of
3.5 days as compared to the end of 2021, demonstrating a positive trend as compared to the first two quarters,which was mainly attributable to the increase in inventory costs in overseas markets due to the high cost ofbulk raw materials, inflation and surge in freight costs, as well as the shortage of labour in major regionsaffecting port efficiency, and ports and warehouses affecting the speed of inventory turnover.
3. Trade and bill payable turnover days
In the first three quarters of 2022, trade and bill payable turnover days was 141.2 days, representing a decreaseof 4.5 days as compared to the end of 2021, which was attributable to the change in payment cycle arisingfrom the switch of procurement method.
V. Cash Flow Analysis
1. Net cash flow from operating activities for the first three quarters of 2022 amounted to RMB11.205 billion,representing a decrease of RMB2.226 billion as compared to the corresponding period of 2021; among which,the Company’s net cash flow from operating activities in the third quarter of 2022 amounted to RMB5.241billion, representing an increase of 5.1% as compared to the corresponding period of 2021, achieving a quarter-on-quarter improvement. This was due to the optimization of inventory turnover in the Company’s domesticmarket through digital transformation and the sharing of channel inventory to improve order forecast accuracyand trunk line shipment efficiency.
2. Net cash outflow from investing activities for the first three quarters of 2022 amounted to RMB7.262 billion,representing an increase of RMB2.057 billion as compared to the corresponding period of 2021, which wasdue to the cash outflow from the purchase of wealth management products and increase in industrial
investments for the period and cash inflow from the redemption of wealth management products in the sameperiod.
3. Net cash outflows from financing activities for the first three quarters of 2022 amounted to RMB3.148billion, while net cash outflows in financing activities for the corresponding period of 2021 amounted toRMB13.101 billion, which was due to the cash inflow from the additional issuance of H Shares and newborrowings and the repayment of ultrashort-term facilities for the period.
VI. Capital Expenditure
The Company assesses its capital expenditure and investments in each segment in China and overseas fromtime to time. The capital expenditure in the first three quarters of 2022 was RMB5.638 billion, of whichRMB2.845 billion and RMB2.793 billion were used in China and overseas, respectively, primarily for plantand equipment construction, property rental, and digital infrastructure.
VII. Asset-liability Ratio
At the end of the third quarter in 2022, the Company’s asset-liability ratio was 59.5%, representing a decreaseof 3.2 percentage points as compared to the end of 2021, which was due to the increase in net profit and theincrease in total asset as a results of foreign currency translation.
(II) Non-recurring profit or loss items and amounts
Unit and Currency: RMB
| Items | Amounts in the Reporting Period | Amounts from the beginning of the year to the end of the Reporting Period |
| Profit or loss from disposal of non-current assets | 5,366,706.46 | 39,174,199.85 |
| Government grants included in current profit or loss, except that closely related to the normal operating business, complied with requirements of the national policies, continued to be granted with the amount and quantity determined under certain standards | 167,361,833.42 | 602,192,298.85 |
| Net profit or loss incurred by subsidiaries formed by the consolidation of entities under common control for the period from the beginning of the period to the date of consolidation | 8,461,133.81 | 12,934,615.51 |
| Profit or loss on the changes in fair value generated from financial assets held for trading, derivative financial assets, financial liabilities held for trading and derivative financial liabilities and the investment income received from disposal of financial assets held for trading, derivative financial assets, financial liabilities held for trading, derivative financial liabilities and other debt investment, other than the effective hedging business relating to the ordinary operating business of the Company | -154,715,497.95 | -95,465,761.41 |
| Other non-operating income and expenses other than the above items | -18,004,247.28 | 16,278,064.98 |
| Less: amount of effect on income tax | 13,077,224.68 | 111,128,082.03 |
| Amount of effect on minority interests (after tax) | 9,429,162.44 | 19,631,027.09 |
| Total | -14,036,458.66 | 444,354,308.660 |
Description on categorizing the non-recurring profit or loss items listed in the Interpretative Announcement No. 1of the Information Disclosure of the Companies Public Offering Securities — Non-recurring Profit or Loss (公开发行证券的公司信息披露解释性公告第 1 号—非经常性损益) as recurring profit or loss item
□Applicable √Not Applicable
(III) Changes in major accounting data and financial indicators and reasons
√Applicable □Not Applicable
| Items | Percentage of change (%) | Main reasons |
| Net profit after deduction of non-recurring profit or loss attributable to shareholders of the listed company for the Reporting Period | 33.91 | Mainly because of revenue growth and improved profitability of the Company |
II. PARTICULARS OF SHAREHOLDERS
(I) Total number of ordinary shareholders and the number of preferential shareholders with restored voting rights andthe shareholdings of the top 10 shareholders
Unit: share
| Total number of ordinary shareholders as of the end of the Reporting Period | 138,374 | Total number of preferential shareholders with restored voting rights as of the end of the Reporting Period (if any) | N/A | |||
| Shareholdings of the top 10 shareholders | ||||||
| Name of shareholders | Nature of shareholders | Number of shares held | Percentage of shareholdings (%) | Number of shares held subject to trading moratorium | Pledged, marked or frozen | |
| Status | Number | |||||
| HKSCC NOMINEES LIMITED (Note) | Unknown | 2,241,389,565 | 23.72 | Unknown | ||
| Haier COSMO Co., Ltd. | Domestic non-state-owned legal entity | 1,258,684,824 | 13.32 | Nil | ||
| Haier Group Corporation | Domestic non-state-owned legal entity | 1,072,610,764 | 11.35 | Nil | ||
| Hong Kong Securities Clearing Company Limited | Unknown | 649,492,574 | 6.87 | Nil | ||
| HCH (HK) INVESTMENT MANAGEMENT CO., LIMITED | Foreign legal entity | 538,560,000 | 5.70 | Nil | ||
| China Securities Finance Corporation Limited | Unknown | 182,592,654 | 1.93 | Nil | ||
| Qingdao Haier Venture & Investment Information Co., Ltd. | Domestic non-state-owned legal entity | 172,252,560 | 1.82 | Nil | ||
| Qingdao Haichuangzhi Management Consulting Enterprise (Limited Partnership) | Domestic non-state-owned legal entity | 120,622,416 | 1.28 | Nil | |||
| Securities account for repurchase of Haier Smart Home Co., Ltd. | Others | 85,342,743 | 0.90 | Nil | |||
| ALIBABA INVESTMENT LIMITED | Unknown | 83,823,993 | 0.89 | Unknown | |||
| Shareholdings of the top 10 shareholders not subject to trading moratorium | |||||||
| Name of shareholders | Number of listed shares not subject to trading moratorium held | Class and number of shares | |||||
| Class | Number | ||||||
| HKSCC NOMINEES LIMITED | 2,241,389,565 | Overseas listed foreign shares | 2,241,389,565 | ||||
| Haier COSMO Co., Ltd. | 1,258,684,824 | RMB ordinary shares | 1,258,684,824 | ||||
| Haier Group Corporation | 1,072,610,764 | RMB ordinary shares | 1,072,610,764 | ||||
| Hong Kong Securities Clearing Company Limited | 649,492,574 | RMB ordinary shares | 649,492,574 | ||||
| HCH (HK) INVESTMENT MANAGEMENT CO., LIMITED | 538,560,000 | Overseas listed foreign shares | 538,560,000 | ||||
| China Securities Finance Corporation Limited | 182,592,654 | RMB ordinary shares | 182,592,654 | ||||
| Qingdao Haier Venture & Investment Information Co., Ltd. | 172,252,560 | RMB ordinary shares | 172,252,560 | ||||
| Qingdao Haichuangzhi Management Consulting Enterprise (Limited Partnership) | 120,622,416 | RMB ordinary shares | 120,622,416 | ||||
| securities account for repurchase of Haier Smart Home Co., Ltd. | 85,342,743 | RMB ordinary shares | 85,342,743 | ||||
| ALIBABA INVESTMENT LIMITED | 83,823,993 | Overseas listed foreign shares | 83,823,993 | ||||
| Explanation of associations or actions in concert among the above shareholders | (1) Haier COSMO Co., Ltd. is a holding subsidiary of Haier Group Corporation. Haier Group Corporation holds 51.20% of its equity. Each of Qingdao Haier Venture & Investment Information Co., Ltd., HCH (HK) INVESTMENT MANAGEMENT CO., LIMITED and Qingdao Haichuangzhi Management Consulting Enterprise (Limited Partnership) is a party acting in concert with Haier Group Corporation; (2) The Company is not aware of the existence of any connections of other shareholders. | ||||||
| Explanation of the top 10 shareholders and the top 10 shareholders not subject to trading moratorium engaging in the margin trading and short selling and refinancing business (if any) | None | ||||||
Note: HKSCC NOMINEES LIMITED is the collective nominee account for the shareholders of H shares of theCompany, which is the original data provided by China Hong Kong securities registration agency to the Company afterconsolidation of figures according to local market practices and technical settings, not representing the ultimateshareholder.
III. Miscellaneous
Other significant information regarding the Company’s operations during the Reporting Period should be broughtto the attention of investors
√ Applicable □Not Applicable
(1) External guarantees: As at the end of the Reporting Period, the external guarantees provided by the Companyand its subsidiaries were guarantees between the Company and its subsidiaries, the total balance of whichamounted to RMB9.936 billion, accounting for 10.84% of the Company’s latest net assets and 4.33% of thelatest total assets.
(2) Foreign exchange derivative: As at the end of the Reporting Period, the aggregate balance of the Company’sforeign exchange derivative transaction amounted to approximately US$1.484 billion.
(3) Entrusted wealth management: By the end of the Reporting Period, the balance of the Company’s entrustedwealth management amounted to RMB3.750 billion, including two parts: ① temporarily-idle fundraising wealthmanagement: at the end of December 2018, the Company’s proceeds for the issuance of convertible corporatebonds were fully landed. To improve the yield of temporarily-idle funds, the Company intended to conduct cashmanagement with the amounts not exceeding RMB0.5 billion after approved by the Board. By the end of theReporting Period, the balance of the entrusted wealth management amounted to RMB175 million; ②Temporary-idle funds wealth management by the Company and certain subsidiaries of the Company: Under thepremise of ensuring sufficient capital for the principal operating activities and daily operations, the Companyand some subsidiaries of the Company purchased some low risk wealth management products and structureddeposits from major commercial banks to improve the yield of temporarily-idle funds and the return forshareholders within the authority of the general manager’s office meeting and under the condition of ensuringfund safety. By the end of the Reporting Period, the balance of the entrusted wealth management amounted toRMB3.575 billion.
(4) Progress of Employee Stock Ownership Plans and Share Option Incentive Scheme:
Progress of Employee Stock Ownership Plans: ①Completion of shares pool building of the A-share andH-share Employee Stock Ownership Plans (2022): The Company introduced the H-share Core EmployeeStock Ownership Plan of Haier Smart Home Co., Ltd. for year 2022 (Draft) (“2022 H-share Employee StockOwnership Plan”), A-share Core Employee Stock Ownership Plan of Haier Smart Home Co., Ltd. for year 2022(Draft) (“2022 A-share Employee Stock Ownership Plan”) at the 28th meeting of the 10th session of the Boardconvened on 28 April 2022 upon the approval and authorization by the 2020 Annual General Meeting convenedon 25 June 2021. During the Reporting Period, the Company completed opening of accounts, and shares pool
building and other related work of the A-share and H-share Employee Stock Ownership Plan for year 2022. Fordetails, please refer to the Announcement of Haier Smart Home Co., Ltd. on the Completion of the Non-tradingTransfer of Shares for the 2022 A-share Core Employee Stock Ownership Plan and Announcement of HaierSmart Home Co., Ltd. on the Completion of Share Purchase under the 2022 H-share Core Employee StockOwnership Plan disclosed on 22 July 2022 and 26 July 2022 respectively. ② Vesting of the 2021 A-share andH-share Employee Stock Ownership Plans: According to relevant arrangement of the 2021 Plan under the A-share Core Employee Stock Ownership Plan of Haier Smart Home Co., Ltd. (2021-2025) (Draft) (“2021 A-share Employee Stock Ownership Plan”) and the 2021 Plan under the H-share Core Employee Stock OwnershipPlan of Haier Smart Home Co., Ltd. (2021-2025) (Draft) (“2021 H-share Employee Stock Ownership Plan”),during the Reporting Period, the Company has completed relevant vesting of interests in the 2021 A-share andH-share Employee Stock Ownership Plans: 1,500 participants under the 2021 A-share Employee StockOwnership Plan vested 7,617,080 shares (and the dividends received in respect of corresponding Shares) inaccordance with the 2021 annual results and the results of their individual appraisals; and 32 participants underthe 2021 H-share Employee Stock Ownership Plan vested 1,292,349 shares in accordance with the 2021 annualresults and the results of their individual appraisals. The asset management authority will dispose of H sharesheld under the asset management plan in due course and allocate cash to the participants after considering thedividends received in respect of H-share Stock Ownership Plan. For details, please refer to the announcementon Vesting of Interests in A-share and H-share Core Employee Stock Ownership Plans (2021) of Haier SmartHome Co., Ltd. disclosed by the Company on 27 July 2022.Progress of Share Option Incentive Scheme: During the Reporting Period, there was no further progress onthe existing share option incentive scheme.
(5) Progress of the A-share repurchases: On 30 March 2022, the Company convened the 27th meeting of the
10th session of the Board, which considered and approved the Resolution in Relation to the Repurchase Plan ofa Portion of Public A Shares of Haier Smart Home Co., Ltd. It approved the Company to use its own funds torepurchase a portion of A shares of the Company by way of centralised bidding. The repurchase price is no morethan RMB35 per share and the proposed total repurchase amount is no more than RMB3.0 billion and no lessthan RMB1.5 billion. The period of this repurchase is within 12 months from the date the Board considered andapproved the resolution of repurchase of shares. As at the end of the Reporting Period, the Company hadrepurchased a total of 58,105,239 shares. The highest price purchased was RMB 26.60 per share and the lowestprice was RMB 23.50 per share, and the amount paid was RMB 1,468,222,587.93. For details, please refer tothe announcement on the relevant progress disclosed by the Company monthly.
(6) Progress of the H-share repurchases: The Company convened the 2021 Annual General Meeting and related
Class Meetings on 28 June 2022, at which “Haier Smart Home Co., Ltd.’s Resolution on the General Meetingto Grant a General Mandate to the Board to Decide to Repurchase Not More Than 10% of the Total Number ofH Shares of the Company in Issue” was passed after consideration and approval. According to the proposal, as
at the end of the Reporting Period, the Company repurchased a total of 5,855,600 H shares, with the highestpurchase price of HK$27.80 per share and the lowest price of HK$23.55 per share. The total amount (handlingcharges inclusive) was HK$ 148,466,555.35. As at the end of the Reporting Period, 1,435,600 shares werecancelled. For details, please refer to the announcement on the relevant progress disclosed by the Companymonthly.
IV. Quarterly Financial Statements
(I) Type of Audit Opinion
□Applicable √Not Applicable
(II) Financial Statements
Consolidated Balance Sheet30 September 2022
Prepared by: Haier Smart Home Co., Ltd.
Unit and Currency: RMB Type of Audit: Unaudited
| Items | 30 September 2022 | 31 December 2021 |
| Current assets: | ||
| Cash at bank and on hand | 47,248,210,131.55 | 46,097,333,903.45 |
| Provision of settlement fund | ||
| Funds lent | ||
| Financial assets held for trading | 2,430,357,646.19 | 2,786,075,529.09 |
| Derivative financial assets | 223,930,355.88 | 79,819,974.01 |
| Bills receivable | 11,864,254,740.46 | 13,354,791,068.29 |
| Accounts receivable | 18,127,157,925.72 | 14,625,260,856.04 |
| Financing receivables | ||
| Prepayments | 945,347,513.93 | 863,748,085.06 |
| Premiums receivable | ||
| Reinsurance accounts receivable | ||
| Reinsurance contract reserves receivable | ||
| Other receivables | 2,137,642,231.21 | 1,965,924,388.85 |
| Including: Interest receivable | ||
| Dividend receivable | ||
| Financial assets purchased under resale agreements | ||
| Inventories | 39,247,697,712.06 | 39,913,949,898.86 |
| Contract assets | 448,578,618.99 | 304,434,294.70 |
| Assets held for sale | ||
| Non-current assets due in one year | ||
| Other current assets | 4,636,788,558.50 | 3,920,750,476.57 |
| Total current assets | 127,309,965,434.49 | 123,912,088,474.92 |
| Non-current assets: | ||
| Loans and advances granted | ||
| Debt investments | ||
| Other debt investments | ||
| Long-term receivables | 302,838,595.26 | 308,998,755.30 |
| Long-term equity investments | 24,985,216,465.45 | 23,200,884,340.57 |
| Investments in other equity instruments | 4,856,952,963.09 | 4,856,684,944.63 |
| Other non-current financial assets | ||
| Investment properties | 26,740,710.42 | 24,964,888.48 |
| Fixed assets | 24,514,888,907.20 | 22,308,014,224.98 |
| Construction in progress | 5,484,675,628.20 | 4,183,263,398.79 |
| Biological assets for production | ||
| Oil and gas assets | ||
| Right-of-use assets | 3,832,330,605.00 | 2,734,678,906.53 |
| Intangible assets | 9,825,054,563.68 | 9,550,384,743.90 |
| Development cost | 311,359,410.10 | 227,892,229.13 |
| Goodwill | 23,908,333,847.12 | 21,827,103,060.76 |
| Long-term prepaid expenses | 830,170,726.95 | 589,143,077.89 |
| Deferred income tax assets | 1,576,303,757.83 | 1,857,448,518.29 |
| Other non-current assets | 1,842,822,412.31 | 2,164,384,013.14 |
| Total non-current assets | 102,297,688,592.61 | 93,833,845,102.39 |
| Total assets | 229,607,654,027.10 | 217,745,933,577.31 |
| Current liabilities: | ||
| Short-term borrowings | 14,122,160,966.11 | 11,226,212,134.39 |
| Borrowings from central bank | ||
| Due to banks and other financial institutions | ||
| Financial liabilities held for trading | 201,552,862.07 | 6,294,014.40 |
| Derivative financial liabilities | 123,011,278.66 | 80,212,433.24 |
| Bills payable | 26,870,409,222.95 | 25,023,238,406.72 |
| Accounts payable | 38,240,800,953.92 | 42,363,218,840.33 |
| Receipts in advance | ||
| Contract liabilities | 6,137,137,399.15 | 10,027,091,593.60 |
| Disposal of repurchased financial assets | ||
| Absorbing deposit and deposit in inter-bank market | ||
| Customer deposits for trading in securities | ||
| Amounts due to issuer for securities underwriting | ||
| Payables for staff's remuneration | 3,282,617,260.03 | 4,119,425,287.60 |
| Taxes payable | 3,445,551,740.54 | 2,607,822,656.37 |
| Other payables | 19,257,476,634.31 | 17,570,339,925.76 |
| Including: Interest payable | ||
| Dividend payable | ||
| Fees and commissions payable | ||
| Reinsurance Accounts payables | ||
| Liabilities held for sale | ||
| Non-current liabilities due within one year | 8,666,272,603.12 | 9,624,339,170.46 |
| Other current liabilities | 1,526,463,705.53 | 2,238,767,551.40 |
| Total current liabilities | 121,873,454,626.39 | 124,886,962,014.27 |
| Non-current liabilities: | ||
| Deposits for insurance contracts | ||
| Long-term borrowings | 5,535,539,882.98 | 3,038,573,824.53 |
| Bonds payable | 334,730,048.82 | |
| Including: Preference shares | ||
| Perpetual bonds | ||
| Lease liabilities | 2,897,775,841.92 | 1,960,894,981.47 |
| Long-term payables | 50,404,024.41 | 99,602,707.76 |
| Long-term payables for staff’s remuneration | 1,229,249,288.57 | 1,173,151,761.64 |
| Estimated liabilities | 1,584,131,400.90 | 1,948,565,477.11 |
| Deferred income | 992,622,971.39 | 852,794,567.20 |
| Deferred income tax liabilities | 2,380,823,541.47 | 2,121,803,173.83 |
| Other non-current liabilities | 53,283,297.87 | 49,461,683.90 |
| Total non-current liabilities | 14,723,830,249.51 | 11,579,578,226.26 |
| Total liabilities | 136,597,284,875.90 | 136,466,540,240.53 |
| Owners' equity (or shareholders' equity): | ||
| Paid-in capital (or share capital) | 9,448,979,251.00 | 9,398,704,530.00 |
| Other equity instruments | 61,522,911.21 | 118,017,507.59 |
| Including: Preference shares | ||
| Perpetual bonds | ||
| Capital reserve | 23,701,273,706.03 | 22,665,374,739.46 |
| Less: treasury stock | 3,933,963,675.76 | 2,424,038,819.70 |
| Other comprehensive income | 3,488,428,803.28 | -1,176,851,699.92 |
| Special reserve | ||
| Surplus reserve | 3,438,615,909.84 | 3,438,615,909.84 |
| General risk provisions | ||
| Undistributed profits | 55,496,963,627.15 | 47,968,582,696.34 |
| Total equity attributable to owners (or shareholders) of the Parent Company | 91,701,820,532.75 | 79,988,404,863.61 |
| Minority shareholders' interests | 1,308,548,618.45 | 1,290,988,473.17 |
| Total owners' equity (or shareholders' equity) | 93,010,369,151.20 | 81,279,393,336.78 |
| Total liabilities and owners' equity (or shareholders' equity) | 229,607,654,027.10 | 217,745,933,577.31 |
Person in charge of the Company: Li HuagangPerson in charge of accounting function: Gong WeiPerson in charge of accounting department: Ying Ke
Consolidated Profit Statement
January-September 2022
Prepared by: Haier Smart Home Co., Ltd.
Unit and Currency: RMB Type of Audit: Unaudited
| Items | 2022 First Three Quarters (January-September) | 2021 First Three Quarters (January-September) |
| Ⅰ. Total operating revenue | 184,748,766,010.10 | 169,630,543,025.11 |
| Including: Operating revenue | 184,748,766,010.10 | 169,630,543,025.11 |
| Interest income | ||
| Insurance premiums earned | ||
| Fee and commission income | ||
| Ⅱ. Total cost of operations | 171,059,935,566.06 | 158,989,409,056.10 |
| Including: Operating cost | 128,420,660,940.15 | 118,237,307,500.10 |
| Interest expenses | ||
| Fee and commission expenses | ||
| Insurance withdrawal payment | ||
| Net payment from indemnity | ||
| Net provisions withdrew for insurance liability |
| Insurance policy dividend paid | ||
| Reinsurance cost | ||
| Taxes and surcharges | 586,645,797.49 | 563,493,265.16 |
| Selling expenses | 27,495,171,353.69 | 26,105,893,471.52 |
| Administrative expenses | 7,730,615,601.97 | 7,581,414,926.55 |
| R&D expenses | 7,454,325,650.86 | 6,204,376,866.04 |
| Financial expenses | -627,483,778.10 | 296,923,026.73 |
| Including: Interest expenses | 608,790,686.91 | 542,545,167.05 |
| Interest income | 585,949,999.41 | 402,091,166.02 |
| Add: other income | 773,917,912.51 | 636,325,315.35 |
| investment income (losses are represented by “-”) | 1,510,411,067.36 | 1,663,997,957.58 |
| Including: Investment income of associates and joint ventures | ||
| Income generated from the derecognition of financial assets measured at amortized cost | ||
| Exchange gain (losses are represented by “-”) | ||
| Gains on net exposure hedges (losses are represented by “-”) | ||
| Income from change in fair value (losses are represented by “-”) | -272,599,270.19 | 39,767,883.33 |
| Loss on credit impairment (losses are represented by “-”) | -328,043,205.17 | -141,683,845.18 |
| Loss on assets impairment (losses are represented by “-”) | -916,823,397.27 | -728,421,071.61 |
| Gain from disposal of assets (losses are represented by “-”) | 36,559,385.16 | 207,581,603.71 |
| Ⅲ. Operating profit (losses are represented by “-”) | 14,492,252,936.44 | 12,318,701,812.19 |
| Add: non-operating income | 104,463,851.85 | 148,079,082.27 |
| Less: non-operating expenses | 97,149,423.40 | 104,871,380.73 |
| Ⅳ. Total profit (total losses are represented by “-”) | 14,499,567,364.89 | 12,361,909,513.73 |
| Less: income tax expense | 2,788,108,728.73 | 2,281,611,404.20 |
| Ⅴ. Net profit (net losses are represented by “-”) | 11,711,458,636.16 | 10,080,298,109.53 |
| (I) Classification by continuous operation | ||
| 1.Net profit from continuous operation (net losses are represented by “-”) | 11,711,458,636.16 | 10,080,298,109.53 |
| 2. Net profit from discontinued operation (net losses are represented by “-”) | ||
| (II) Classification by ownership of the equity | ||
| 1. Net profit attributable to shareholders of the Parent Company (net losses are represented by “-”) | 11,665,606,491.29 | 9,948,760,485.45 |
| 2. Profit or loss attributable to minority shareholders (net losses are represented by “-”) | 45,852,144.87 | 131,537,624.08 |
| VI. Other comprehensive income, net of tax | 4,664,174,077.37 | 768,015,269.00 |
| (I) Other comprehensive income attributable to shareholders of the Parent Company, net of tax | 4,665,280,503.20 | 776,465,493.58 |
| 1. Other comprehensive income that cannot be reclassified into the profit or loss | -115,981,350.82 | 1,180,689,883.33 |
| (1) Changes arising from re-measurement of defined benefit plans | 9,178,508.68 | -355,977.81 |
| (2) Other comprehensive income that cannot be transferred into profit or loss under equity method | ||
| (3) Changes in fair value of investments in other equity instruments | -125,159,859.50 | 1,181,045,861.14 |
| (4) Changes in fair value of credit risks of the enterprise | ||
| 2. Other comprehensive income to be reclassified into the profit or loss | 4,781,261,854.02 | -404,224,389.75 |
| (1) Other comprehensive income that can be transferred into profit or loss under equity method | 254,600,418.32 | 37,327,753.73 |
| (2) Changes in fair value of other debt investments | ||
| (3) Reclassified financial assets that are credited to other comprehensive income | ||
| (4) Credit impairment provision for other debt investments | ||
| (5) Reserve for cash flow hedging | 17,514,162.27 | 116,947,915.82 |
| (6) Exchange differences on translation of financial statements denominated in foreign currencies | 4,509,147,273.43 | -558,500,059.30 |
| (7) Others | ||
| (II) Other comprehensive income attributable to minority shareholders, net of tax | -1,106,425.83 | -8,450,224.58 |
| Ⅶ. Total comprehensive income | 16,375,632,713.53 | 10,848,313,378.53 |
| (I) Total comprehensive income attributable to the owners of Parent Company | 16,330,886,994.49 | 10,725,225,979.03 |
| (II) Total comprehensive income attributable to the minority shareholders | 44,745,719.04 | 123,087,399.50 |
| Ⅷ. Earnings per share: | ||
| (I) Basic earnings per share (RMB/share) | 1.25 | 1.07 |
| (II) Diluted earnings per share (RMB/share) | 1.24 | 1.06 |
For the business combinations under common control in the Period, the net profit of the parties consolidated beforeconsolidation was: RMB12,934,615.51 and the net profit of the parties consolidated in the Previous Period was:
RMB14,148,977.07.
Person in charge of the Company: Li HuagangPerson in charge of accounting function: Gong WeiPerson in charge of accounting department: Ying Ke
Consolidated Cash Flow Statement
January-September 2022
Prepared by: Haier Smart Home Co., Ltd.
Unit and Currency: RMB Type of Audit: Unaudited
| Items | 2022 First Three Quarters (January-September) | 2021 First Three Quarters (January-September) |
| I. Cash flow from operating activities: | ||
| Cash received from the sale of goods and rendering services | 193,014,949,639.46 | 173,785,216,616.87 |
| Net increase in customer and inter-bank deposits | ||
| Net increase in borrowing from the central bank | ||
| Net cash increase in borrowing from other financial institutes | ||
| Cash received from premiums under original insurance contract | ||
| Net cash received from reinsurance business | ||
| Net increase in deposits of policy holders and investment | ||
| Cash received from interest, fee and commissions | ||
| Net increase in placement from banks and other financial institutions | ||
| Net increase in cash received from repurchase operation | ||
| Net cash received from customer deposits for trading in securities | ||
| Refunds of taxes | 1,659,267,644.41 | 1,376,835,032.38 |
| Cash received from other related operating activities | 1,877,509,284.85 | 1,626,620,923.35 |
| Sub-total of cash inflows from operating activities | 196,551,726,568.72 | 176,788,672,572.60 |
| Cash paid on purchase of goods and services | 137,882,924,979.87 | 118,834,422,942.06 |
| Net increase in loans and advances of customers | ||
| Net increase in deposits in the PBOC and inter-bank | ||
| Cash paid for compensation payments under original insurance contract | ||
| Net increase in cash lent | ||
| Cash paid for interest, bank charges and commissions | ||
| Cash paid for insurance policy dividend | ||
| Cash paid to and on behalf of employees | 20,337,615,411.35 | 18,927,171,597.36 |
| Cash paid for all types of taxes | 7,941,937,191.26 | 7,599,356,867.59 |
| Cash paid to other operation related activities | 19,184,175,148.47 | 17,996,714,833.85 |
| Sub-total of cash outflows from operating activities | 185,346,652,730.95 | 163,357,666,240.86 |
| Net cash flow from operating activities | 11,205,073,837.77 | 13,431,006,331.74 |
| II. Cash flow from investing activities: | ||
| Cash received from recovery of investments | 8,170,465,135.63 | 4,665,552,636.62 |
| Cash received from return on investments | 483,988,185.56 | 580,120,778.24 |
| Net cash received from the disposal of fixed assets, intangible assets and other long-term assets | 224,933,210.37 | 42,303,385.93 |
| Net cash received from disposal of subsidiaries and other operating entities | ||
| Other cash received from investment activities | ||
| Sub-total of cash inflows from investing activities | 8,879,386,531.56 | 5,287,976,800.79 |
| Cash paid on purchase of fixed assets, intangible assets and other long-term assets | 5,638,070,348.20 | 4,909,673,638.17 |
| Cash paid for investments | 10,460,343,361.49 | 5,582,993,847.32 |
| Net increase in secured loans | ||
| Net cash paid on acquisition of subsidiaries and other operating entities | 42,709,125.00 | |
| Other cash paid on investment activities | 250,000.00 | |
| Sub-total of cash outflows from investing activities | 16,141,122,834.69 | 10,492,917,485.49 |
| Net cash flow from investing activities | -7,261,736,303.13 | -5,204,940,684.70 |
| III. Cash flow from financing activities: | ||
| Cash received from capital contributions | 988,339,004.94 | 39,420,000.00 |
| Including: Cash received from capital contributions by minority shareholders of subsidiaries | ||
| Cash received from borrowings | 10,842,224,965.32 | 7,143,577,184.22 |
| Other cash received from financing activities | 1,027,793.89 | |
| Sub-total of cash inflows from financing activities | 11,831,591,764.15 | 7,182,997,184.22 |
| Cash paid on repayment of loans | 7,537,727,848.91 | 12,788,537,940.13 |
| Cash paid on distribution of dividends, profits or repayment of interest expenses | 4,920,351,111.41 | 3,872,132,619.21 |
| Including: Dividend and profit paid to minority shareholders by subsidiaries | ||
| Other cash paid to financing activities | 2,521,143,250.83 | 3,622,853,443.72 |
| Sub-total of cash outflows from financing activities | 14,979,222,211.15 | 20,283,524,003.06 |
| Net cash flow from financing activities | -3,147,630,447.00 | -13,100,526,818.84 |
| IV. Effect of fluctuations in exchange rates on cash and cash equivalents | 587,737,106.90 | -19,753,211.46 |
| V. Net increase in cash and cash equivalents | 1,383,444,194.54 | -4,894,214,383.26 |
| Add: balance of cash and cash equivalents at the beginning of the period | 45,197,664,411.15 | 45,790,589,785.11 |
| VI. Balance of cash and cash equivalents at the end of the period | 46,581,108,605.69 | 40,896,375,401.85 |
Person in charge of the Company: Li HuagangPerson in charge of accounting function: Gong WeiPerson in charge of accounting department: Ying Ke
BALANCE SHEET OF THE PARENT COMPANY
30 September 2022Prepared by: Haier Smart Home Co., Ltd.
Unit and Currency: RMB Type of Audit: Unaudited
| Items | 30 September 2022 | 31 December 2021 |
| Current Assets: | ||
| Monetary funds | 5,791,229,255.11 | 4,043,535,735.48 |
| Financial assets held for trading | ||
| Derivative financial assets | ||
| Bills receivable | ||
| Accounts receivable | 780,498,930.45 | 546,532,442.90 |
| Financing receivables | ||
| Prepayments | 3,615,344.36 | 275,052,864.92 |
| Other receivables | 17,069,176,344.85 | 16,245,280,168.41 |
| Including: Interests receivable | ||
| Dividends receivable | ||
| Inventories | 4,163,975.06 | 1,139,135.32 |
| Contract assets | ||
| Assets held for sale | ||
| Non-current assets due within one year | ||
| Other current assets | 1,545,071,814.68 | 337,476,209.01 |
| Total current assets | 25,193,755,664.51 | 21,449,016,556.04 |
| Non-current assets: | ||
| Debt investments | ||
| Other debt investments | ||
| Long-term receivables | ||
| Long-term equity investments | 52,693,182,918.25 | 52,513,760,277.77 |
| Investments in other equity instruments | 1,615,450,032.92 | 1,615,450,032.92 |
| Other non-current financial assets | ||
| Investment properties | ||
| Fixed assets | 174,728,769.16 | 179,789,817.34 |
| Construction in progress | 8,671,974.80 | 17,569,516.17 |
| Biological assets for production | ||
| Oil and gas assets | ||
| Right-of-use assets | 572,793.64 | 1,217,186.49 |
| Intangible assets | 49,972,506.09 | 55,171,485.39 |
| Development cost | ||
| Goodwill | ||
| Long-term prepaid expenses | 4,125,658.11 | 3,781,398.54 |
| Deferred income tax assets | 159,338,211.77 | 159,338,211.77 |
| Other non-current assets | 1,294,805,641.19 | 803,323,404.28 |
| Total non-current assets | 56,000,848,505.93 | 55,349,401,330.67 |
| Total assets | 81,194,604,170.44 | 76,798,417,886.71 |
| Current liabilities: | ||
| Short-term borrowings | ||
| Financial liabilities held for trading | ||
| Derivative financial liabilities | ||
| Bills payable | ||
| Accounts payable | 400,898,107.13 | 183,690,889.86 |
| Receipts in advance | ||
| Contract liabilities | 12,605,139.93 | 12,605,139.93 |
| Payables for staff’s remuneration | 472,772.21 | 12,323,670.21 |
| Taxes payable | 1,815,444.38 | 1,747,023.87 |
| Other payables | 40,258,012,985.69 | 34,484,355,762.60 |
| Including: Interests payable | ||
| Dividends payable | ||
| Liabilities held for sale | ||
| Non-current liabilities due within one year | 897,357.83 | 877,995.65 |
| Other current liabilities | 10,962,218.09 | 5,420,156.55 |
| Total current liabilities | 40,685,664,025.26 | 34,701,020,638.67 |
| Non-current liabilities: | ||
| Long-term borrowings | 2,095,000,000.00 | |
| Bonds payable | ||
| Including: Preference shares | ||
| Perpetual bonds | ||
| Lease liabilities | 35,174.64 | |
| Long-term payable | ||
| Long-term payables for staff’s remuneration | ||
| Estimated liabilities | ||
| Deferred income | 11,730,000.00 | 19,270,000.00 |
| Deferred income tax liabilities | 448,965,654.25 | 448,965,654.25 |
| Other non-current liabilities | ||
| Total non-current liabilities | 2,555,730,828.89 | 468,235,654.25 |
| Total liabilities | 43,241,394,854.15 | 35,169,256,292.92 |
| Owners’ equity (or shareholders’ equity): | ||
| Paid-in capital (or share capital) | 9,448,979,251.00 | 9,398,704,530.00 |
| Other equity instruments | ||
| Including: Preference shares | ||
| Perpetual bonds | ||
| Capital reserve | 27,127,336,363.07 | 25,802,279,483.13 |
| Less: treasury stock | 2,384,298,464.51 | 1,495,170,675.08 |
| Other comprehensive income | 628,672,092.39 | 621,302,944.83 |
| Special reserve | ||
| Surplus reserve | 2,833,469,684.39 | 2,833,469,684.39 |
| Undistributed profits | 299,050,389.95 | 4,468,575,626.52 |
| Total owners’ equity (or shareholders’ equity) | 37,953,209,316.29 | 41,629,161,593.79 |
| Total liabilities and owners’ equity (or shareholders’ equity) | 81,194,604,170.44 | 76,798,417,886.71 |
Person in charge of the Company: Li HuagangPerson in charge of accounting function: Gong WeiPerson in charge of accounting department: Ying Ke
INCOME STATEMENT OF THE PARENT COMPANY
January-September 2022Prepared by: Haier Smart Home Co Ltd
Unit and Currency: RMB Type of Review: Unaudited
| Items | 2022 First Three Quarters (January-September) | 2021 First Three Quarters (January-September) |
| I. Operating revenue | 274,409,829.17 | 282,627,387.89 |
| Less: operation cost | 237,958,102.39 | 250,796,772.51 |
| Taxes and surcharges | 1,502,873.54 | 1,351,608.50 |
| Selling expenses | 8,343,662.82 | 7,478,824.40 |
| Administration expenses | 623,648,918.13 | 146,787,481.58 |
| R&D expenses | 9,536,280.96 | 21,112,507.42 |
| Financial expenses | -93,676,340.74 | -35,035,017.13 |
| Including: Interest expenses | 19,056,720.15 | 7,418,669.79 |
| Interest income | 107,726,590.75 | 45,197,307.08 |
| Add: other income | 29,030,565.58 | 44,167,407.90 |
| Investment income (losses are represented by “-”) | 601,413,493.57 | 155,190,804.76 |
| Including: Investment income of associates and joint ventures | ||
| Derecognition income on financial assets measured at amortized cost | ||
| Gains on net exposure hedges (losses are represented by “-”) | ||
| Income from change in fair value (losses are represented by “-”) | ||
| Loss on credit impairment (losses are represented by “-”) | 116,780.20 | -6,483,242.76 |
| Loss on assets impairment (losses are represented by “-”) | ||
| Gain from disposal of assets (losses are represented by “-”) | 35,074,022.45 | 142,444,000.00 |
| II. Operating profit (losses are represented by “-”) | 152,731,193.87 | 225,454,180.51 |
| Add: non-operating income | 208,515.11 | 825,303.28 |
| Less: non-operating expenses | 28,698.02 | 50,687.25 |
| III. Total profit (total losses are represented by “-”) | 152,911,010.96 | 226,228,796.54 |
| Less: income tax expenses | -12,574,040.98 | |
| IV. Net profit (net losses are represented by “-”) | 152,911,010.96 | 238,802,837.52 |
| (I) Net profit from continuous operation (net losses are represented by “-”) - | 152,911,010.96 | 238,802,837.52 |
| (II) Net profit from discontinued operation (net losses are represented by “-”) | ||
| V. Other comprehensive income net of tax | 7,369,147.56 | 623,136,686.70 |
| (I) Other comprehensive income that cannot be reclassified into the profit or loss | 602,410,858.54 | |
| 1.Changes arising from re-measurement of defined benefit plans | ||
| 2.Other comprehensive income that cannot be transferred into profit or loss under equity method | ||
| 3. Changes in fair value of investments in other equity instruments | 602,410,858.54 | |
| 4. Changes in fair value of credit risks of the enterprise |
| (II) Other comprehensive income to be reclassified into the profit or loss | 7,369,147.56 | 20,725,828.16 |
| 1. Other comprehensive income that can be transferred into profit or loss under equity method | 7,369,147.56 | 20,725,828.16 |
| 2.Changes in fair value of other debt investments | ||
| 3. Reclassified financial assets that are credited to other comprehensive income | ||
| 4.Credit impairment provision for other debt investments | ||
| 5.Reserve for cash flow hedging | ||
| 6.Exchange differences on translation of financial statements denominated in foreign currencies | ||
| 7. Others | ||
| VI. Total comprehensive income | 160,280,158.52 | 861,939,524.22 |
| VII. Earnings per share: | ||
| (I) Basic earnings per share (RMB/share) | ||
| (II) Diluted earnings per share (RMB/share) | ||
Person in charge of the Company: Li HuagangPerson in charge of accounting function: Gong WeiPerson in charge of accounting department: Ying Ke
CASH FLOW STATEMENT OF THE PARENT COMPANY
January-September 2022Prepared by: Haier Smart Home Co., Ltd.
Unit and Currency: RMB Type of Review: Unaudited
| Items | 2022 First Three Quarters (January-September) | 2021 First Three Quarters (January-September) |
| I. Cash flow from operating activities: | ||
| Cash received from the sale of goods and rendering of services | 364,344,810.90 | 5,212,025,027.75 |
| Refunds of taxes | 19,589,497.52 | 43,690,364.62 |
| Other cash received from operating activities | 235,437,891.28 | 223,792,006.86 |
| Sub-total of cash inflows from operating activities | 619,372,199.70 | 5,479,507,399.23 |
| Cash paid on purchase of goods and services | 189,272,450.16 | 82,561,899.07 |
| Cash paid to and on behalf of employees | 33,298,564.72 | 149,711,180.55 |
| Cash paid for all types of taxes | -16,023,080.78 | 38,215,278.27 |
| Other cash paid to operation activities | 244,978,820.70 | 118,400,474.19 |
| Sub-total of cash outflows from operating activities | 451,526,754.80 | 388,888,832.08 |
| Net cash flow from operating activities | 167,845,444.90 | 5,090,618,567.15 |
| II. Cash flow from investing activities: | ||
| Cash received from recovery of investments | 2,529,920,000.00 | 429,100,000.00 |
| Cash received from return on investments | 101,858,820.49 | 181,712,675.53 |
| Net cash received from the disposal of fixed assets, intangible assets and other long-term assets | 35,206,354.85 | 6,626,677.00 |
| Net cash received from disposal of subsidiaries and other operating entities | ||
| Other cash received from investment activities | 8,456,180.95 | |
| Sub-total of cash inflows from investing activities | 2,675,441,356.29 | 617,439,352.53 |
| Cash paid on purchase of fixed assets intangible assets and other long-term assets | 23,441,195.66 | 35,030,633.27 |
| Cash paid for investments | 4,064,405,507.20 | 356,500,000.00 |
| Net cash paid on acquisition of subsidiaries and other operating entities | ||
| Other cash paid on investment activities | 1,964,600,000.00 | 110,618,996.43 |
| Sub-total of cash outflows from investing activities | 6,052,446,702.86 | 502,149,629.70 |
| Net cash flow from investing activities | -3,377,005,346.57 | 115,289,722.83 |
| III. Cash flow from financing activities: | ||
| Cash received from capital contributions | 940,041,004.94 | |
| Cash received from borrowings | 2,100,000,000.00 | |
| Other cash received from financing activities | 7,841,605,940.88 | 274,916,813.36 |
| Sub-total of cash inflows from financing activities | 10,881,646,945.82 | 274,916,813.36 |
| Cash paid on repayment of borrowings | 5,000,000.00 | 5,520,000,000.00 |
| Cash paid on distribution of dividends, profits or interest expenses | 4,330,409,094.41 | 3,446,302,068.48 |
| Other cash paid on financing activities | 1,604,643,065.80 | 3,085,941,189.00 |
| Sub-total of cash outflows from financing activities | 5,940,052,160.21 | 12,052,243,257.48 |
| Net cash flow from financing activities | 4,941,594,785.61 | -11,777,326,444.12 |
| IV. Effect of fluctuations in exchange rates on cash and cash equivalents | 15,258,635.69 | -91,028.42 |
| V. Net increase in cash and cash equivalents | 1,747,693,519.63 | -6,571,509,182.56 |
| Add: balance of cash and cash equivalents at the beginning of the period | 4,043,535,735.48 | 8,286,549,909.64 |
| VI. Balance of cash and cash equivalents at the end of the period | 5,791,229,255.11 | 1,715,040,727.08 |
Person in charge of the Company: Li HuagangPerson in charge of accounting function: Gong WeiPerson in charge of accounting department: Ying Ke
The adjustments of the relevant items of the financial statements at the beginning of the year due to the first
implementation of new accounting standards or interpretations to accounting standards since 2022
□Applicable √Not Applicable
The Board of Haier Smart Home Co., Ltd.
28 October 2022