Haier Smart Home Reports Q1 2026 Results Amid Trade Policy Challenges

Haier Smart Home Co., Ltd. (A-share: 600690.SH; H-share: 06690.HK; D-share: 690D.DE) announced its results for the quarter ended March 31, 2026, reporting revenue of RMB 73.69 billion and net profit attributable to shareholders of the parent company of RMB 4.65 billion, up sequentially compared to Q4 2025. Basic earnings per share stood at RMB 0.50.

Management described the quarter as one of contrasts. China and core international markets maintained healthy momentum, while North America faced significant headwinds from the evolving trade policy landscape and severe winter weather. Chairman and CEO Li Huagang stated that the company is executing a clear playbook in North America, focusing on reshaping the local supply chain, advancing sourcing actions, moving the product mix upmarket, and driving cost productivity. The goal is to transition from the initial response phase into a chapter focused on operational efficiency and capability rebuilding, aiming to return the North America business to a more resilient, higher-quality operating model.

In China, operating profit grew year-on-year, with margin expansion offsetting short-term revenue pressure in a home appliance market that contracted 6.2% by retail value (according to All View Cloud (AVC)). Profit growth reflected a continued mix shift toward premium categories, lifting domestic gross margin. Residential air conditioning grew revenue against a sharp industry decline and extended its high-end leadership, now ranking No. 1 in the RMB 11,000+ price band (according to GfK). In water solutions, top-rated energy-efficient gas water heaters accounted for a materially higher share of the company's portfolio than the industry average (GfK). AI and digital capabilities also lifted operating efficiency, with gains in inventory turnover, fulfilment and resource allocation, and a year-on-year decline in the selling expense ratio.

Internationally, overseas revenue declined 3.2% year-on-year. Outside North America, both revenue and operating profit grew, with Europe, South Asia and Southeast Asia all delivering steady growth. In Europe, revenue continued to grow, with HVAC up more than 20% year-on-year. Profitability improved as the benefits of 2025's restructuring flowed through, and the premium Horizon refrigerator line accelerated its rollout. Emerging markets also performed well, with South Asia growing by 17% year-on-year in terms of revenue and profitability improvement, and Southeast Asia growing by 12%.

The company advanced its initiative to bring residential air conditioning, smart building and water solutions onto a unified platform. In Q1 2026, the platform delivered its first integrated solution, with its public debut at a domestic HVAC industry expo in Shijiazhuang. Smart Building Solutions completed more than 100 commercial AI deployments across data centres and building energy management. Recent acquisitions, CCR (Carrier Commercial Refrigeration) and Kwikot, each delivered double-digit revenue growth in the quarter.

Haier Smart Home is stepping up shareholder returns through a sustained programme of buybacks and cancellations. 74.54 million A-shares repurchased during 2023–2026 are designated for cancellation, accretive to EPS upon completion. In March 2026, the company launched a new A-share buyback of RMB 3-6 billion over 12 months, of which RMB 600 million has been deployed to date. The company has also proposed a separate voluntary D-share buy-back-for-cancellation offer of up to approximately 81 million shares, subject to shareholder approval and other pre-conditions.

These results highlight Haier Smart Home's ability to navigate complex environments through its globally-enabled, local-for-local model, built across a portfolio of brands and core markets. The company remains committed to delivering high-quality growth and stronger returns to shareholders through any cycle.