Chinese White Goods Giant Hisense Drops Despite First-Half Profit Gain, Chair Taking On Presidency(Yicai) July 31 -- Shares of Hisense Home Appliances Group skidded despite the Chinese maker of white goods saying profit rose 3 percent in the first half and its chairwoman will also now serve as president to improve decision-making and follow-through.
Hisense [SHE: 000921] closed 5.6 percent lower at CNY25.69 (USD3.57) a share in Shenzen today, while its Hong Kong-listed stock [HKG: 0921] sank 6.4 percent to end at HKD22.60 (USD2.88).
Net profit was CNY2.1 billion (USD292.6 million) in the six months ended June 30, the Foshan-based company said in an earnings report released late yesterday. Operating revenue rose 1.4 percent to CNY49.34 billion (USD6.86 billion) from a year earlier, with overseas income accounting for 41 percent of the total.
Revenue jumped 23 percent in Europe, 26 percent in the United States, and 23 percent in the Middle East and Africa, boosted by Hisense’s sponsorship of the 2025 FIFA Club World Cup, according to the company.
Hisense's main products include household and commercial air conditioners, refrigerators, washing machines, kitchen appliances, and other white goods. The television business of its parent company, Hisense Group, is operated by Shanghai-listed Hisense Visual Technology.
In a filing with the Hong Kong Stock Exchange on the same day, Hisense also said it has named Chairwoman Gao Yuling to succeed Hu Jianyong as president of the company after he resigned for personal reasons. Rivals Midea Group and Haier Smart Home also have their chairpersons double as president.
Gao, 42, took over as Hisense's first chairwoman last November during a generational shift in the company’s leadership. She was previously general manager of Hisense Group's operation and financial management department and played a role in acquiring Slovenia's Gorenje.
In addition, Hisense's board has nominated Fang Xueyu, president of the parent company’s overseas sales unit Hisense International Marketing, as an executive director, indicating that the firm will continue its international push.
Editors: Tang Shihua, Martin Kadiev
