Chinese TV Firm Hisense's Two Main Units Post Annual Earnings Jump
Wang Zhen
DATE:  Apr 01 2024
/ SOURCE:  Yicai
Chinese TV Firm Hisense's Two Main Units Post Annual Earnings Jump Chinese TV Firm Hisense's Two Main Units Post Annual Earnings Jump

(Yicai) April 1 -- Hisense Group's white goods and television subsidiaries said earnings rose last year because of increased business in China and abroad.

Net profit at Hisense Home Appliances Group doubled to CNY2.8 billion (USD387.4 million) in the 12 months ended Dec. 31 from a year earlier, the white goods maker said in a financial report published on March 29. Revenue rose 16 percent to CNY85.6 billion (USD11.8 billion).

Hisense Visual Technology's net profit jumped 25 percent to CNY2.1 billion, the TV maker’s report showed on the same day. Its revenue climbed 17 percent to CNY53.6 billion.

Hisense Home's largest business was air conditioning, with revenue from the segment up 12 percent to CNY38.7 billion, it pointed out. Income from refrigerators and washing machines jumped 23 percent to CNY26.1 billion.

Revenue from TV smart displays was the cornerstone of Hisense Visual's performance last year, rising 17 percent to CNY41.3 billion, according to the firm. Total revenue from TV displays rose 18 percent to CNY23.6 billion in China and climbed 20 percent to CNY24.7 billion overseas.

Hisense Home's domestic revenue rose 15 percent to CNY49 billion in 2023 from a year ago, while its gross profit margin was 32 percent. That compared with overseas revenue of CNY27.9 billion, up 12 percent, and a gross profit margin of 10 percent.

Among the listed companies under Qingdao-based Hisense, Hisense Home has a market value about CNY42.2 billion, Hisense Visual’s is around CNY31.2 billion, and Xiamen Changelight’s is about CNY6.6 billion.

Hisense's revenue exceeded CNY200 billion (USD27.7 billion) for the first time in 2023, after jumping 9 percent, it said at the Appliance & Electronics World Expo earlier this month. The company has set even higher growth targets for this year, it added.

Hisense Visual will use its sponsorship of the UEFA European Football Championship, Europe's biggest national soccer competition that will be held in Germany from June 14 to July 14, to drive its global upgrade, expand into emerging industries, and improve the operational efficiency of its international supply chain, it noted.

Hisense Home will consolidate its digital operational capabilities and set up regional centers in Europe, North and South America, the Association of Southeast Asian Nations, the Middle East, Africa, and the Asia-Pacific, promoting localized operations in overseas markets, it said.

Shares of Hisense Visual [SHA: 600060] fell 1.2 to close at CNY23.63 (USD3.27) apiece in Shanghai today. Hisense Home's stock [SHE: 000921] jumped 3.6 percent to end at CNY31.50 in Shenzhen.

Editor: Martin Kadiev

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Keywords:   Hisense