First Quarter 2021 Report of Haier Smart Home Co., Ltd.
Stock Code: 600690 Company: Haier Smart Home
Haier Smart Home Co., Ltd.
First Quarter 2021 Report
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
Contents
I. IMPORTANT NOTICE 3
II. COMPANY PROFILE 3
III. SIGNIFICANT EVENTS 12
IV. APPENDIX 14
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
I. IMPORTANT NOTICE
1.1 The Board of Directors, the Board of Supervisors, directors, supervisors and senior management
of Haier Smart Home Co., Ltd. (“the Company”) hereby assure that the content set out in the
quarterly report is true, accurate and complete, and free from any false record, misleading
representation or material omission, and are individually and collectively responsible for the
content set out therein.
1.2 All Directors of the Company attended the Board meeting for considering the quarterly report.
1.3 Liang Haishan (legal representative of the Company), Gong Wei (chief financial officer of the
Company) and Ying Ke (the person in charge of accounting department) hereby certify that the
financial statements set out in the quarterly report are true, accurate and complete.
1.4 The first quarterly report of the Company has not been audited.
II. COMPANY PROFILE
2.1 Key financial data
Unit and Currency: RMB
Increase/decrease at
At the end of the the end of the
reporting period At the end of last year reporting period
compared with the
end of last year (%)
Total assets 205,542,336,997.99 203,459,495,879.65 1.02
Net assets attributable to
shareholders of listed 75,000,476,951.99 66,816,422,614.55 12.25
companies
At the beginning of At the beginning of
the year to the end of last year to the end Yoy change (%)
the reporting period of the reporting
period of last year
Net cash flows from 2,863,386,935.66 -5,787,626,102.33 149.47
operating activities
At the beginning of
At the beginning of last year to the end
the year to the end of Yoy change (%)
of the reporting
the reporting period period of last year
Operating revenue 54,773,701,753.64 43,141,448,203.28 26.96
Net profits attributable to
shareholders of listed 3,053,933,589.63 1,070,333,404.45 185.33
companies
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
Net profits after
deduction of non-
recurring profit or loss
2,823,027,182.06 943,123,999.14 199.33
attributable to
shareholders of listed
companies
Weighted average return Increased by 2.16
on net assets (%) 4.38 2.22
percentage points
Basic earnings per share
(RMB per share) 0.333 0.163 104.29
Diluted earnings per share
(RMB per share) 0.326 0.163 100.00
Non-recurring profit or loss items and amount
√Applicable □ Not Applicable
Unit and Currency: RMB
Items Amount for the current period
Profit or loss from disposal of non-current assets -11,607,188.24
Government grants included in current profit or loss, except that 184,949,066.19
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
Profit and loss of changes in fair value arising from holding of 89,043,055.23
trading financial assets, derivative financial assets, trading financial
liabilities and derivative financial liabilities, as well as investment
gain realized from disposal of trading financial assets, derivative
financial assets, trading financial liabilities, derivative financial
liabilities and other debt investments, except for valid straddle
business relevant to normal business of the company
Other non-operating income and expenses except the aforementioned 14,038,712.23
items
Impact on Minority interests (after tax) -3,920,027.41
Effect of income tax -41,597,210.43
Total 230,906,407.57
Note:
During the reporting period, the Company accelerated the implementation of IoT-enabled smart home
strategy, focused on the building of high-end, scenario and ecosystem brands, continued to expand its
advantages in high-end packages, and smart home scenario-based solutions, global synergies and the
Smart Home experiential cloud platform. The Company further drove forward the whole process of
digital transformation, thereby laying a solid foundation for sustainable and healthy development.
The revenue, net profit and net profit attributable to owners of the Parent Company in the first
quarter of 2021 for the Company increased by 27.0%, 130.4% and 185.3% year-on-year; and increased by
12.9%, 14.7% and 42%, respectively, as compared with the first quarter of 2019. The increase is mainly
attributed to smart package sales, Casarte’s high-end brand strategy and the implementation of digital
transformation as well as the persistence on the strategy of creating high-end brands and localized
operations overseas.
Meanwhile, as the first quarter of 2020 was deeply impacted by COVID-19, both the revenue and
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
profit growth of the first quarter of 2021 comparing the first quarter of 2020 represented higher rates than
the growth rate comparing with the first quarter of 2019
As the logistics business and the COSMO business of the Company were deconsolidated
respectively on July 2019 and Sept.2020, if the revenue contribution of COSMO business and logistics
not being included in the first quarter of 2020 and 2019 respectively, the revenue in the first quarter of
2021 increased by 38.2% as compared with the first quarter of 2020 and increased by 24.4% as compared
with the same period of 2019.
Performance of Key Indicators
I. Revenue
The sales revenue in the first quarter of the Company was RMB54.8 billion, representing an
increase of 27.0% year-on-year, of which, revenue from China increased by 29.5% year-on-year.
After excluding the deconsolidation impacts of the COSMO business, the revenue increased by
55.7% year-on-year. Revenue from overseas increased by 24.6% year-on-year.
1. Domestic Market
During the period, the Company insisted on the reform from high-end brands to scenario-based
and ecosystem brands, so that users would pay for premiums not only on products but also on
experience. It sped up the upgrading of sales model with digital tools, and also digitalized the
platforms for sales person, after-sale service personnel and supply chain management to further
improve operational efficiency. The market shares of all businesses improved continuously. The
sales revenue from the Casarte brand increased by 80% with the proportion of revenue further
increased in all categories.
In which:
(1) Household Food Solution
Refrigerator: According to CMM’s report, by retail revenue, our shares of online and offline
refrigerator market was 38.5% and 40.8% respectively in the first quarter of 2021, representing
increases of 2.5 and 1.4 percentage points, in which Haier and Casarte ranked first and second in
the industry in terms of retail revenue, further consolidating the leading position in the refrigerator
industry. Casarte had a market share of 13.2%, increasing by 3.2 percentage points as compared to
the same period last year, and its market share for high-end products priced RMB15,000 or above
reached 43%.
During the period, the refrigerator industry led the ultimate healthy-oriented and freshness
preservation trend in the industry. It introduced the MSA Pro oxygen control and preservation plan,
and help vegetables to achieve a 200% increase in water-preservation rate and an improvement of
12% in the vitamin C preservation rate comparing with normal refrigerators. It released the free
built-in industrial standards 2.0, and the heat dissipation space between refrigerators and cabinets
was reduced from 2cm to zero through front heat dissipation technology at the bottom, which
solved the problem of excessive large gap between refrigerators and cabinets in the traditional heat
dissipation. The Company introduced the raw gemstone series, using panels with the quality of
natural gemstone to cater to the users’ appetite to natural and modern aesthetics. The online sales
revenue of the Casarte brand doubled.
Kitchen appliances: According to CMM’s report, by retail revenue, our share in kitchen
appliances market share reached 6.8% in the first quarter of 2021, representing an increase of 0.9
percentage point. Casarte’s retail revenue market share was up by 1.3 percentage points with an
increase of 108%.
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During the period, the Company achieved breakthrough in the high-end market by actively
expanding the Casarte’s product portfolio and upgrading the end user experience in scenario-based
consumption. It launched the Ideal Home series, bringing an increase of over 200% in revenue of
Casarte kitchen appliances. Meanwhile, the Company accelerated in the construction of township
stores and promoted the integration of online and offline channels. It further realized the growth in
property developer channels through the multi-brand matrix of Casarte, GEA and FPA. It also
swiftly promoted the household local renovation solutions by showcasing the enriched “Three-
Winged Bird” smart kitchen scenarios.
(2) Household Clothing Solutions
Washing machine: According to CMM’s report, by retail revenue, our shares of online and
offline washing machine market reached 42.9% and 41.7% respectively in the first quarter of
2021, representing increases of 1.9 and 2.2 percentage points.
During the period, the washing machine business expanded its revenue and profitability
potential by promoting hot-selling products such as Casarte Twin Tasker series. The market share
of Casarte in price segment above RMB10,000 reached 78.1% in the first quarter, representing an
increase of 3.2 percentage points year-on-year. The unique and innovative product BLingBLing
colored apparel washer recorded sales of 28,000 units. Users can repurchase its exclusively
assembled laundry detergent after use. During this period, the sales revenue of laundry detergent
and peripheral accessories exceeded RMB10 million. Meanwhile, the Company actively expanded
new products such as tumble dryers, shoe washers, clothing cabinets etc. from which the sales
revenue of tumble dryers was up by over 300% year-on-year. According to CMM’s report, the
share of offline retail sales of tumble dryers exceeded 33%, representing an increase of 19.7
percentage points year-on-year. Lastly, the washing machine industry actively promoted
marketing activities such as “Dress China” (衣裳中国) and “Refined Living” (花嫁人生) to
further enhance product awareness. Casarte washing machine cooperated with DRESS CHINA,
CCTV's large-scale program on Chinese clothing culture, to demonstrate cleaning and care of the
precious Shu Brocade with "air washing". The users only need to activate the "air wash" function
with one touch, and the micro-steam molecules would penetrate the fibers of the clothes to clean
the clothes while restoring the texture and radiance. With the airing of DRESS CHINA, Casarte's
smart washing and care scenario gained wide market attention and has become the priority choice
for many high-end users.
(3) Household Air solutions
Household air conditioner: in the first quarter of 2021, by retail revenue, the Company’s
air conditioner online and offline market share was 15.1% and 17.3%, representing a year-on-
year increase of 2.1 percentage points and 2 percentage points. On the back of products such as
Haier air-washing, 3D sterilization cabin and the Casarte Galaxy series, the high-end market
share represented by hanging machines priced above RMB4,000 and cabinet machines priced
above RMB10,000 reached 22.3%, up by 3.5 percentage points year-on-year.
During the period, domestic sales revenue from the household air conditioner of the
Company increased by 128%. The Company focused on users’ demand for healthy air during the
post-pandemic period, and renovated the smart health-oriented scenarios and services. The
Company enhanced the brand awareness on “Healthy Air Conditioners Made by Haier” through
industry leading technologies such as 3D sterilization cabin and air-washing. For example, the
air-washing technology achieved the differentiated experience of purification, humidification,
oxygenation, sterilization, positioned air supply, voice interaction etc., with the high-speed
centrifugal waterfall curtain system based on the aeroengine theory, which can cleanse the air in
an hour to create good air which is clean, fresh, mild and comfortable. During the “Haier Healthy
Air Conditioner Festival” ( 海 尔 健 康 空 调 节 ) in March, the Casarte Galaxy series, Haier
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sterilization cabins, air-washing and other differentiated products were widely pursued by users,
accounting for the biggest share in the sterilization air conditioners sector. The Company also
vigorously promoted personalized air solutions for all scenarios. Meanwhile, the air conditioners
industry continued to expand its sales network and made great efforts to develop in the third and
fourth tier cities and rural markets, with an increase of 25% in the number of township stores.
Through the product mix upgrading, we continued to improve the operating efficiency.
Commercial air conditioner: the Company created personalized air solutions by region,
and continued to promote product upgrading. The high-efficiency plant room-based air solutions
adopted in the South were focused on magnetic levitating central air conditioner to connect
central air conditioners, chillers, water pumps, cooling towers and other products to the E +
cloud platform, so as to realize intelligent control and data monitoring, eliminate the operating
dysfunction in a timely manner to minimize the labour and maintenance cost, and achieve the
high efficiency and energy saving during the whole life cycle. In the northern region, we actively
increased our presence in the clean heating market, and provided multiple solutions including air
cooling module and magnetic levitating heat pump unit, so as to meet the needs of users in
different regions and scenarios. We released the IoT cloud platform for smart building, Hai BMS,
which connects the central air conditioners, elevator, lighting, fire protection and other building
subsystems. It covers smart air, clean energy, smart energy saving, smart stores and other
scenarios, and improves the operation parameters for each equipment according to big data
analysis, so as to facilitate the digitization of whole construction.
(4) Household water solution
Water heater: according to the CMM data, by retail revenue, in the first quarter of 2021 the
Company’s water heater online and offline market share was 29.9% and 26.9%, representing a
year-on-year increase of 3.8 percentage points and 1.5 percentage points.
During the period, the Company launched the Casarte Galaxy series with crystal rods. As the
first water heater without magnesium rods in the industry, it achieves zero incrustation, zero
precipitation, zero rusty water and zero corrosion. It initiates the gas-electric hybrid technology
with modulated temperature. The water heater adopts heating by gas and electricity energy,
achieving constant temperature of water during the whole process. Meanwhile, we continued to
gain market share through the brand portfolio of Casarte, Haier and Leader. Among them, the
Casarte water heater business achieved an increase of over 120% in the first quarter. In addition,
the water heater business vigorously expanded HVAC channels, building materials, ironware and
plumbing and other upstream retail and focused on replacement customers in old communities
and renovated communities through activities. It expanded to the designer and home furnishing
market to increase presence among new users, further enhancing HVAC and home furnishing
users’ recognition of Haier products.
Water purifier: according to the CMM data, in the first quarter, by retail revenue, the
Company’s water purifier offline market share increased by 62.1%, and its market share ranking
rose by one place to the fourth while the online retail share increased by15.1% and continued to
take the lead.
During the period, the water purifier industry focused on the increasing demand of users for
clean and healthy water, and launched "mineral water purifier" products – the new Casarte Cloud
Trout product series, which effectively promoted the sales growth of healthy water purifier
products. At the same time, we improved the user awareness of "healthy water purifier" of Haier
by effectively launching "clean your cup" activity and the product marketing during AWE. On
Channel building aspect, we expanded the network coverage of Casarte on one hand, while
steadily improving the output of single store and enhancing the channel competitiveness
continuously on the other hand.
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2. Overseas market
With a constant focus on users, the Company has made continued efforts in product innovation
and distribution network expansion in the overseas market in order to mitigate the pressure on
operations caused by rising cost of raw materials, freight and currency fluctuations. Despite the
COVID-19 resurgence, our sales revenue increased by 24.6% and operating profit grew by 135%,
with further 2 percentage points expansion on operating margin at 4.6%.
During the period, the Company continued to lead the industry with popular antibacterial,
healthy and smart appliances, and grew the revenue of high-end products by over 40%; while
speeding up online transformation and comprehensively increased market share by further
collaborating with strategic partners, expanding sales network and promoting omni channel
integration by actively engaging KOLs and teaming up with streaming platforms to facilitate
user interaction, the Company had a total of 12 million followers on social network by the end of
March; in addition, new factories in Egypt, Romania and Turkey commenced operation, which
further guaranteed the Company’s supply of products; the Company also accelerated cloud-based
strategic implementation in the IoT ecosystem.
During the period, the Company achieved 20% revenue growth in the US market with rapid
expansion from high-end brands Café and GE Profile. Leveraging on global procurement
platform, the Company managed to maintain stable production and supply despite the winter
storm disruptions and components constraints, and production volume grew 20% compared with
the same period last year. The multi-door refrigerator and large-capacity front-load washing
machine jointly developed were widely recognized in the US market. In the European market,
the Company actively expanded online presence while gaining users’ recognition through
dedicated eco brand campaigns. In Australia and New Zealand, the Company focused on high-
end kitchen products and launched Series 7 & Series 9 premium front-load washing machine and
heat pump tumble dryers. In the Japanese market, the Company continued to promote
community based AQUA Laundry solutions to satisfy users’ demand for optimal experience.
Facing the pandemic in South Asia, the Company still managed to significantly outgrew the
industry by making dedicated efforts in expanding presence online, while in Southeast Asian
market, the Company facilitated exponential growth in its fan base through live-streaming.
II. Gross Profit
The Company’s gross margin was 28.5% for the first quarter of 2021, representing an increase of 1
percentage point as compared with the first quarter of 2020.
1. Domestic market
During the reporting period, gross profit margin of home appliances industry remained under
pressure from rising raw material and components costs. The Company mitigated the impacts by
implementing measures including accelerating Casarte pipeline and Super Factory project on
SKU reduction to optimize cost structure and enhance efficiency. During the period, sales
revenue of Casarte grew by 80% and its revenue contribution increased by over 1 percentage
point.
2. Overseas market
In the face of rising commodity price and sea freight cost, the Company made active efforts in
optimizing product mix and improving efficiency. In the US market, high-end brands continued
to expand market share while in Europe the proportion of medium and high-end products
increased by 2% through the introduction of 979 washing machine and Super Drum wide front-
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load washing machine.
III. Operating expenses ratio
1. The selling expense ratio of the Company was 14.3%, representing a decrease of 0.7 percentage
point year on year.
(1) Domestic market. The Company further enhanced operating efficiency by promoting
online/offline integration and digitalizing distribution, service and supply chain management.
During the period, the selling expense ratio in China decreased by 1 percentage point.
(2) Overseas market. The Company accelerated information system implementation to
improve operational efficiency and optimize overall expense ratio.
2. The administrative expense ratio was 3.9%, representing a decrease of 0.6 percentage point year
on year, which was attributable to improved operations
3. The research and development expense ratio was 3.8%, representing an increase of 0.1
percentage point year on year. It was mainly due to the step-up efforts in building core smart
capabilities, such as iteration and upgrade of Smart Home APP, Smart Home cloud-based brain &
relevant cutting-edge technologies, the incubation of new categories and eco business as well as
the iteration of Three-Winged Bird scenario experience.
4. The financial expense ratio of the Company was 0.3%, representing a decrease of 0.5 percentage
point year on year. The decrease in interest expenses was mainly due to the conversion of
convertible bonds and debt repayment.
IV. Working Capital
1. Trade receivables turnover days
The trade receivables turnover days of the Company was 30 days as at the end of the first quarter of
2021, representing an increase of 3 days as compared to the corresponding period, which was mainly
attributable to the decrease in the factoring arrangement of GE Appliances and increase in its sales
revenue.
2. Inventory turnover days
The inventory turnover days of the Company was 72 days in the first quarter of 2021,
representing a decrease of 11 days as compared to the corresponding period, which was mainly
attributable to post pandemic macro recovery and the acceleration in inventory turnover.
3. Trade payable turnover days
As at the end of the first quarter of 2021, trade payables turnover days were 88 days,
representing a decrease of 3 days as compared to the first quarter of 2020, which was mainly
attributable to the settlement of existing trade payables during the period.
V. Cash Flow Analysis
1. Net cash flow from operating activities for the period amounted to RMB2.86 billion, representing
an increase of RMB8.65 billion as compared to the corresponding period. It was mainly due to the
low level of cash flow from operating activities for the corresponding period caused by Covid-19
outbreak; and it was an increase of RMB1.48 billion as compared with the first quarter of 2019,
representing an increase of 107.2%, which was mainly due to the increase of revenue and continued
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optimization of operational efficiency;
2. Net cash flow from investing activities for the period amounted to RMB620 million, representing
a decrease of 49.3% as compared to the corresponding period, which was mainly due to the increase
in the redemption of wealth management products and the occurrence of outflow from equity
investment for the same period last year;
5. Net cash outflow from financing activities for the period amounted to RMB4.35 billion, while net
cash inflows in financing activities for the corresponding period amounted to RMB7.58 billion,
representing an increase in outflow of 157.39%, as borrowings increased by RMB8.76 billion to
address the impacts of the epidemic during the corresponding period of last year, while borrowings in
the reporting period decreased by RMB5.1 billion as operation and profitability both recovered; in
addition, repayment of super-short-term financing and domestic borrowings resulted in an increase of
RMB6.83 billion in outflow as compared to the corresponding period of last year.
VI. Capital Expenditure
The Company assesses its capital expenditure and investments in each business segment in China and
overseas from time to time. The capital expenditure in the first quarter of 2021 was RMB1,700
million, of which RMB740 million and RMB960 million were used in China and overseas
respectively in plant and equipment construction, property rental, and digital infrastructure.
VII. Gearing Ratio
As of the end of the first quarter of 2021, the Company’s gearing ratio (defined as total liabilities
divided by total assets) was 62.9%, representing a decrease of 3.7% as compared to the end of 2020,
which was mainly due to the conversion of RMB5.1 billion convertible bonds and the repayment of
RMB5.5 billion super-short-term financing.
2.2 Table of total number of shareholders, top ten shareholders, top ten common shareholders (or the
shareholders without selling restrictions) by the end of the reporting period
Unit: Share
Total number of shareholders 175,960
Shareholdings of top ten shareholders
Number of Status of shares pledged
Name of Number of or frozen
shares held
shareholder shares held at Percentage Nature of
subject to
the end of the (%) shareholder
(full name) selling Status Number
period
restrictions
HKSCC NOMINEES Foreign legal
2,122,936,359 22.71 Unknown
LIMITED entity
Haier Electric
Appliances Domestic
International Co., non-state
1,258,684,824 13.46 Nil
Ltd. (currently owned legal
named as Haier entity
COSMO Co., Ltd.)
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
Domestic
Haier Group
non-state
Corporation 1,072,610,764 11.47 Nil
owned legal
entity
HCH (HK)
INVESTMENT Foreign legal
538,560,000 5.76 Nil
MANAGEMENT entity
CO., LIMITED
Hong Kong
Securities 471,210,138 5.04 Nil Unknown
Clearing Co., Ltd
China Securities
Finance Corporation 182,592,654 1.95 Nil Unknown
Limited
Qingdao Haier
Venture & Domestic
Investment non-state
172,252,560 1.84 Nil
Information Co., owned legal
Ltd. entity
ALIBABA
INVESTMENT 83,823,993 0.90 Unknown Unknown
LIMITED
Qingdao
Haichuangzhi Domestic
Management non-state
73,011,000 0.78 Nil
Consulting owned legal
Enterprise (Limited entity
Partnership)
Central Huijin Asset
Management Co.,
Ltd. (中央汇金资产 69,539,900 0.74 Nil Unknown
管理有限责任公司)
Shareholdings of top ten shareholders not subject to selling restrictions
Number of shares
Name of shareholder held not subject to Class and number of shares
selling restrictions
Class Number
HKSCC NOMINEES LIMITED Overseas listed
2,122,936,359 2,122,936,359
foreign shares
Haier Electric Appliances International Co.,
Ltd. 1,258,684,824 RMB ordinary 1,258,684,824
Haier Group Corporation 1,072,610,764 RMB ordinary 1,072,610,764
HCH (HK) INVESTMENT Overseas listed
538,560,000 538,560,000
MANAGEMENT CO., LIMITED foreign shares
Hong Kong Securities Clearing Co., Ltd. 471,210,138 RMB ordinary 471,210,138
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
China Securities Finance Corporation
Limited 182,592,654 RMB ordinary 182,592,654
Qingdao Haier Venture & Investment
Information Co., Ltd.(青岛海尔创业投 172,252,560 RMB ordinary 172,252,560
资咨询有限公司)
ALIBABA INVESTMENT LIMITED Overseas listed
83,823,993 83,823,993
foreign shares
Qingdao Haichuangzhi Management
Consulting Enterprise (Limited 73,011,000 RMB ordinary 73,011,000
Partnership)
Central Huijin Asset Management Co., Ltd. 69,539,900 RMB ordinary 69,539,900
(中央汇金资产管理有限责任公司)
(1) Haier Electric Appliances International Co., Ltd.
(currently named as Haier COSMO Co., Ltd.) is a holding
subsidiary of Haier Group Corporation. Haier Group
Corporation holds 51.20% of its equity. Qingdao Haier
Venture & Investment Information Co., Ltd. (青岛海尔创业
Related-parties or parties acting in concert
投资咨询有限公司), Qingdao Haichuangzhi Management
among the aforesaid shareholders
Consulting Enterprise (Limited Partnership), HCH (HK)
INVESTMENT MANAGEMENT CO., LIMITED are
parties acting in concert with Haier Group Corporation;
(2) The Company is not aware of the existence of any
connections of other shareholders.
Explanation of preferential shareholders
with restoration of voting rights and their Not Applicable
shareholdings
Note:
HKSCC NOMINEES LIMITED is the collection account for the Shareholders of H shares,
which is the original data provided by the Hong Kong securities registration agency in China
to the Company after the merger according to local market practices and technical settings,
not representing the ultimate shareholder.
2.3 Table of total number of preferential shareholders, top ten preferential shareholders, top ten
preferential shareholders without selling restrictions by the end of the reporting period
□Applicable√ Not Applicable
III. SIGNIFICANT EVENTS
3.1 The major changes of and reasons for the items of accounting statement and financial indicators
√Applicable □ Not Applicable
1) Financial assets held for trading decreased by 34.64% as compared to the beginning of the period,
mainly due to the decrease of the short-term wealth management products;
2) Derivative financial assets increased by 106.25% as compared to the beginning of the period, mainly
due to the increase of forward foreign exchange contracts in the period;
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
3) Development expenditure decreased by 52.95% as compared to the beginning of the period, mainly
due to the transfer to intangible assets after meeting the conditions for use;
4) Financial liabilities held for trading decreased by 96.12% as compared to the beginning of the period,
mainly due to the expiration of the locked exchange rate instruments;
5) Derivative financial liabilities decreased by 40.91% as compared to the beginning of the period,
mainly due to the increase in interest rate swap agreements and forward foreign exchange contracts;
6) Other current liabilities decreased by 90.68% as compared to the beginning of the period, mainly due
to the Company’s repayment of ultra-short-term financing bonds for financing;
7) Debentures payable decreased by 75.18% as compared to the beginning of the period, mainly due to
the conversion of convertible bonds into shares of the Company;
8) Long-term payables increased by 37.08% as compared to the beginning of the period, mainly due to
the increase in long-term payables on brand usage fees;
9) Other equity instruments decreased by 75.50% as compared to the beginning of the period, mainly due
to the conversion of convertible bonds into shares of the Company;
10)Capital reserve increased by 43.47% as compared to the beginning of the period, mainly due to the
conversion of convertible bonds into shares of the Company;
11)Treasury stock increased by 279.03% as compared to the beginning of the period, mainly due to the
repurchase of shares during the period;
12)Financial expenses decreased by 47.84% as compared to the same period of last year, mainly due to
the decrease in interest expenses;
13)Investment income increased by 42.39% as compared to the same period of last year, mainly due to
the increase in investment income from long-term equity investment accounted for using equity method;
14)Gains on change of fair value increased by 167.58% as compared to the same period of last year,
mainly due to the changes in the fair value of financial products held for trading;
15)Gain from disposal of assets decreased by 308.58% as compared to the same period of last year,
mainly due to the losses in the disposal of assets by subsidiaries;
16)Non-operating income decreased by 30.57% as compared to the same period of last year, mainly due
to the demolition compensation recognized in the same period of last year (nil for the current period);
17)Income tax expense increased by 153.34% as compared to the same period of last year, mainly due to
the increase in profit for the period as compared to the same period of last year;
18)Net cash flows in operating activities increased by 149.47% or RMB 8.65 billion as compared to the
same period of last year, which was mainly due to the low level of cash flow from operating activities
due to the impacts of epidemic for the corresponding period; and increased by RMB1.48 billion as
compared with the first quarter of 2019, representing an increase of 107.2%, which was mainly due to
the increase of revenue of the Company and continuous optimisation of operational efficiency;
19)Net cash flows from investing activities decreased by 49.32% as compared to the same period of last
year, which was mainly due to the increase of the redemption amount of wealth management products in the
period as compared with the last year and the occurrence of outflow from equity investment for the last period;
Net cash outflows from financing activities increased by 157.39% as compared to the same period of last year,
which was mainly due to ① the borrowings of RMB8.76 billion to address the impacts of the epidemic during
the corresponding period of last year, while cash received from the borrowings in the period decreased by
RMB5.1 billion as compared to the corresponding period of last year as a result of continuous improvement in
the quality of operations and profitability; ② the repayment of super-short-term financing borrowings
resulting in an increase in cash outflow by 6.83 billion compared to the corresponding period of last year.
3.2 Analysis on the progress of significant events and their impact and solution
√Applicable □ Not Applicable
1) External guarantees: By the end of the reporting period, the external guarantees
provided by the Company and its subsidiaries were guarantees between the Company and its
subsidiaries, the total balance of which amounted to RMB23.920 billion, accounting for 31.9% of
the Company’s latest net assets and 11.6% of the latest total assets.
2) Foreign exchange derivative： By the end of the reporting period, the aggregate balance
of the Company’s foreign exchange derivative transactions amounted to approximately USD 1.946
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
billion.
3) Entrusted wealth management: By the end of the reporting period, the balance of the
Company’s entrusted wealth management amounted to RMB1.471 billion, including two parts: ①
temporarily-idle fund-raising wealth management: at the end of December 2018, the Company’s
proceeds for the issuance of convertible corporate bonds were fully landed. In order to improve the
yield of temporarily-idle funds, the Company intended to carry out cash management with the
amounts not exceed RMB0.7 billion after approved by the Board of Directors. By the end of the
reporting period, the balance of the entrusted wealth management amounted to RMB388 million; ②
Temporary-idle funds wealth management by certain subsidiaries of the Company: On the
premise of ensuring sufficient funds for the day-to-day operations of the main business, in order to
improve the yield of temporarily-idle funds and the shareholders’ returns, certain subsidiaries of the
Company have purchased some short-term principal-protected wealth management and structural
deposits from the large commercial banks in order to increase the efficiency of the use of idle funds
within the authorities of the general manager's office and on the premise of safeguarding funds
security. By the end of the reporting period, the balance of the entrusted wealth management
amounted to RMB1.084 billion.
3.3 The undertakings that have been past due and not been completed during the reporting period
□ Applicable √ Not Applicable
3.4 Warning of and explanation on reasons for the forecast that the accumulated net profit for the
period from the beginning of the year to the end of the next reporting period may be a loss or there
is a significant change as compared to that of the same period of last year
√ Applicable □ Not Applicable
In December 2020, the Company completed the material assets reorganization involving the
privatization of Haier Electronics through the issuance of H shares (please refer to the Report on the
Implementation of Purchase of Material Assets Purchase and Connected Transaction of Haier Smart
Home Co., Ltd. as disclosed by the Company on 26 December 2020). After the completion of the
material assets reorganization, the former non-controlling interests attributable to minority
shareholders of Haier Electronics will be converted into the net profit attributable to owners of the
Parent Company, which will result in significant changes to net profit attributable to owners of the
Parent Company and other indicators in the financial statements of the Company as compared with
the same period of last year. The Company will follow the completion of the accumulated net profit
from the beginning of the year to the end of the next reporting period and perform the information
disclosure obligations based on the actual conditions according to the regulations.
Name of the Haier Smart Home Co.,
Company Ltd.
Legal representative Liang Haishan
Date 29 April 2021
IV. APPENDIX
4.1 Financial Statements
Consolidated Balance Sheet
31 March 2021
Prepared by: Haier Smart Home Co., Ltd.
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
Unit and Currency: RMB Unaudited
Items 31 March 2021 31 December 2020
Current Assets:
Monetary capital 44,342,423,935.48 46,461,329,426.91
Provision of settlement fund
Placements with banks
Trading financial assets 1,415,266,061.00 2,165,192,497.83
Derivative financial assets 160,544,940.18 77,839,006.63
Bills receivable 12,002,599,645.36 14,136,349,754.34
Accounts receivable 20,258,153,249.28 15,930,024,286.67
Financing receivables
Prepayments 706,732,751.16 765,427,571.70
Premiums receivable
Reinsurance Accounts receivable
Reinsurance contract reserves receivable
Other receivables 2,004,963,313.36 1,717,152,945.65
Including: interests receivable
dividends receivable
Financial assets purchased under resale
agreements
Inventories 32,331,087,733.78 29,446,973,404.75
Contract assets 242,467,021.87 263,412,927.58
Assets held for sale
Non-current assets due within one year
Other current assets 2,587,309,484.67 3,283,888,900.58
Total current assets 116,051,548,136.14 114,247,590,722.64
Non-current assets:
Loans and advances granted
Debt investments
Other debt investments
Long-term receivables 316,467,388.35 330,588,978.97
Long-term equity investments 21,821,259,415.97 21,567,658,450.89
Other equity instruments investments 2,660,974,553.84 2,659,125,265.54
Other non-current financial assets
Investment properties 28,601,934.63 28,387,002.81
Fixed assets 20,836,853,254.24 20,895,504,722.21
Construction in progress 4,310,464,293.31 3,596,902,447.07
Biological assets for production
Oil and gas assets
Right-of-use assets 2,821,042,618.17 2,839,858,259.27
Intangible assets 10,043,939,304.73 10,017,867,645.93
Development expenses 78,931,187.73 167,746,724.13
Goodwill 22,560,157,057.13 22,518,460,337.64
Long-term prepaid expenses 471,055,216.21 455,742,504.13
Deferred income tax assets 2,095,652,802.87 2,208,301,258.25
Other non-current assets 1,445,389,834.67 1,925,761,560.17
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Total non-current assets 89,490,788,861.85 89,211,905,157.01
Total assets 205,542,336,997.99 203,459,495,879.65
Current liabilities:
Short-term borrowings 9,276,194,253.35 7,687,908,165.88
Borrowings from central bank
Placements from banks
Trading financial liabilities 1,045,076.45 26,952,508.66
Derivative financial liabilities 141,558,257.27 239,582,532.90
Bills payable 23,320,514,973.22 21,236,057,053.67
Accounts payable 39,358,151,222.93 36,302,971,944.48
Receipts in advance
Contract liabilities 6,405,773,588.03 7,048,637,659.48
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
Staff remuneration payable 2,915,081,249.47 3,760,099,978.82
Taxes payable 2,478,198,636.99 2,399,705,460.12
Other payables 15,877,880,021.67 17,056,156,167.28
Including: interests payable
dividends payable
Fees and commissions payable
Reinsurance accounts payable
Liabilities held for sale
Non-current liabilities due within one year 7,621,274,410.53 7,522,724,913.40
Other current liabilities 569,910,211.65 6,112,053,944.63
Total current liabilities 107,965,581,901.56 109,392,850,329.32
Non-current liabilities:
Deposits for insurance contracts
Long-term borrowings 11,656,231,609.67 11,821,416,259.81
Debentures payable 1,666,028,963.72 6,713,501,050.27
Including: preference shares
perpetual bonds
Lease liabilities 2,074,031,001.74 2,072,702,352.68
Long-term payable 134,614,083.53 98,203,261.27
Long-term staff remuneration payable 1,294,320,026.32 1,245,775,024.35
Estimated liabilities 1,648,530,429.67 1,442,844,036.73
Deferred income 742,473,640.48 633,761,669.48
Deferred income tax liabilities 1,993,831,571.81 1,900,401,265.97
Other non-current liabilities 28,696,550.76 27,033,458.13
Total non-current liabilities 21,238,757,877.70 25,955,638,378.69
Total liabilities 129,204,339,779.26 135,348,488,708.01
Owners’ equity (or shareholder’s equity)
Paid-in capital (or share capital ) 9,348,228,194.00 9,027,846,441.00
Other equity instruments 579,143,558.56 2,364,195,333.79
Including: preference shares
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
perpetual bonds
Capital reserve 21,534,199,256.65 15,009,027,407.40
Less: treasury stock 109,527,419.65 28,896,550.65
Other comprehensive income -890,141,055.78 -1,046,216,729.06
Special reserve
Surplus reserve 3,045,334,539.60 3,045,334,539.60
General risk provisions
Undistributed profits 41,493,239,878.61 38,445,132,172.47
Total equity attributable to owners (or 75,000,476,951.99 66,816,422,614.55
shareholder) of the parent company
Minority interests 1,337,520,266.74 1,294,584,557.09
Total owners’ equity (or shareholders’ 76,337,997,218.73 68,111,007,171.64
equity)
Total liabilities and owners’ equity (or 205,542,336,997.99 203,459,495,879.65
shareholders’ equity)
Person in charge of the Company: Liang Haishan
Person in charge of accounting function: Gong Wei
Person in charge of accounting department: Ying Ke
Balance Sheet of the Parent Company
31 March 2021
Prepared by: Haier Smart Home Co., Ltd.
Unit and Currency: RMB Unaudited
Items 31 March 2021 31 December 2020
Current Assets:
Monetary capital 2,490,124,233.67 8,286,549,909.64
Trading financial assets
Derivative financial assets
Bills receivable
Accounts receivable 5,252,695,799.56 5,491,536,070.42
Financing receivables
Prepayments 274,929,670.73 295,050,991.15
Other receivables 9,313,191,790.51 3,906,373,387.61
Including: interests receivable
dividends receivable
Inventories 3,053,737.22 73,974,562.87
Contract assets
Assets held for sale
Non-current assets due within one year
Other current assets 426,501,982.11 459,309,301.58
Total current assets 17,760,497,213.80 18,512,794,223.27
Non-current assets:
Debt investments
Other debt investments
Long-term receivables
Long-term equity investments 52,305,709,220.38 52,290,227,070.21
Other equity instruments investments 804,334,894.58 804,334,894.58
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
Other non-current financial assets
Investment properties
Fixed assets 188,179,513.75 196,529,502.16
Construction in progress 22,170,700.57 8,319,418.36
Biological assets for production
Oil and gas assets
Right-of-use assets 1,861,579.33 2,076,376.95
Intangible assets 60,370,464.47 62,103,457.66
Development expenses
Goodwill
Long-term prepaid expenses 3,809,525.48 4,208,602.97
Deferred income tax assets 154,335,216.49 154,335,216.49
Other non-current assets 26,894,836.99
Total non-current assets 53,540,771,115.05 53,549,029,376.37
Total assets 71,301,268,328.85 72,061,823,599.64
Current liabilities:
Short-term borrowings
Trading financial liabilities
Derivative financial liabilities
Bills payable
Accounts payable 77,189,550.50 248,172,640.78
Receipts in advance
Contract liabilities 78,948,707.59 8,716,599.17
Staff remuneration payable 7,404,274.61 86,872,482.44
Taxes payable 57,481,918.14 55,756,358.98
Other payables 29,562,595,046.00 29,642,219,320.03
Including: interests payable
dividends payable
Liabilities held for sale
Non-current liabilities due within one year 840,106.80 20,840,106.80
Other current liabilities 4,670,201.16 5,538,254,928.01
Total current liabilities 29,789,129,804.80 35,600,832,436.21
Non-current liabilities:
Long-term borrowings
Debentures payable
Including: preference shares
perpetual bonds
Leasing liabilities 911,674.18 877,995.63
Long-term payable
Long-term staff remuneration payable
Estimated liabilities
Deferred income 18,460,000.00 24,250,000.00
Deferred income tax liabilities 219,544,771.62 219,544,771.62
Other non-current liabilities
Total non-current liabilities 238,916,445.80 244,672,767.25
Total liabilities 30,028,046,250.60 35,845,505,203.46
Owners’ equity(or shareholder’s equity）：
Paid-in capital (or share capital ) 9,348,228,194.00 9,027,846,441.00
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
Other equity instruments
Including: preference shares
perpetual bonds
Capital reserve 25,148,829,661.50 20,408,352,380.95
Less: treasury stock 80,630,869.00
Other comprehensive income -3,589,076.00 -10,030,704.15
Special reserve
Surplus reserve 2,440,188,314.15 2,440,188,314.15
Undistributed profits 4,420,195,853.60 4,349,961,964.23
Total owners’ equity (or shareholders’ equity) 41,273,222,078.25 36,216,318,396.18
Total liabilities and owners’ equity (or 71,301,268,328.85 72,061,823,599.64
shareholders’ equity)
Person in charge of the Company: Liang Haishan
Person in charge of accounting function: Gong Wei
Person in charge of accounting department: Ying Ke
Consolidated Income Statement
January-March 2021
Prepared by Haier Smart Home Co., Ltd.
Unit and Currency: RMB Unaudited
Items First quarter of 2021 First quarter of
2020
I. Total operating revenue 54,773,701,753.64 43,141,448,203.28
Including: operating revenue 54,773,701,753.64 43,141,448,203.28
Interest income
Insurance premiums earned
Fee and commission income
II. Total cost of operations 51,511,136,575.21 41,757,563,634.45
Including: operating cost 39,170,198,172.03 31,301,454,089.43
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 143,401,962.93 110,484,681.22
Selling expenses 7,831,694,562.30 6,482,493,374.32
Administrative expenses 2,125,286,512.82 1,935,676,561.57
R&D expenses 2,069,539,134.50 1,599,598,038.94
Financial expenses 171,016,230.63 327,856,888.97
Including: interest expenses 168,902,785.14 274,142,181.24
Interest income 131,351,349.94 122,320,829.91
Add: other income 225,675,047.31 245,069,840.71
Investment income (losses are represented by “- 448,142,363.59 314,736,890.47
”)
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
Including: investment income of associates and 33,509,263.35 -49,586,871.27
joint ventures
Derecognition income on financial assets -59,663,317.58 -83,890,424.46
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 33,509,263.35 -49,586,871.27
represented by “-”)
Loss on credit impairment (losses are -59,663,317.58 -83,890,424.46
represented by “-”)
Loss in assets impairment (losses are -250,932,437.96 -273,129,120.39
represented by “-”)
Gain from disposal of assets (losses are -11,607,188.24 -2,840,847.01
represented by “-”)
III. Operating profit (losses are represented by “-”) 3,647,688,908.90 1,534,244,036.88
Add: non-operating income 39,370,130.80 56,702,305.54
Less: non-operating expenses 25,331,418.57 23,971,217.88
IV. Total Profit (total losses are represented by “-”) 3,661,727,621.13 1,566,975,124.54
Less: income tax expense 565,979,433.86 223,403,750.66
V. Net Profit (net losses are represented by “-”) 3,095,748,187.27 1,343,571,373.88
(I) Classification by continuous operations
1. Net profit from continuous operations (net 3,095,748,187.27 1,343,571,373.88
losses are represented by “-”)
2. Net profit from discontinuous operations (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 3,053,933,589.63 1,070,333,404.45
“-”)
2. Profit or loss attributable to minority
41,814,597.64 273,237,969.43
shareholders (net losses are represented by “-”)
VI. Other comprehensive income, net of tax 156,278,497.23 -263,628,908.56
(I) Other comprehensive income attributable to
156,003,524.98 -292,844,209.58
owners of the Parent Company, net of tax
1. Other comprehensive income that cannot be
2,958,991.70 -281,102.14
reclassified into the profit or loss
(1) Changes arising from re-measurement of defined
459,638.27 -151,488.17
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
2,499,353.43 -129,613.97
equity instruments
(4) Changes in fair value of credit risks of the
enterprise
2. Other comprehensive income to be reclassified 153,044,533.28 -292,563,107.44
into the profit or loss
(1) Other comprehensive income that can be 30,987,761.94 45,643,868.38
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
transferred into profit or loss under equity
method
(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 30,531,599.43 44,467,734.19
(6) Exchange differences on translation of financial
91,525,171.91 -382,674,710.01
statements denominated in foreign currencies
(7) Others
(II) Other comprehensive income attributable to
274,972.25 29,215,301.02
minority shareholders, net of tax
VII. Total comprehensive income 3,252,026,684.50 1,079,942,465.32
(I) Total comprehensive income attributable to the
3,209,937,114.61 777,489,194.87
owners of Parent Company
(II) Total comprehensive income attributable to the
42,089,569.89 302,453,270.45
minority shareholders
VIII. Earnings per share:
(I) Basic earnings per share (RMB/share) 0.333 0.163
(II) Diluted earnings per share (RMB/share) 0.326 0.163
Person in charge of the Company : Liang Haishan
Person in charge of accounting function: Gong Wei
Person in charge of accounting department: Ying Ke
Income Statement of the Parent Company
January-March 2021
Prepared by: Haier Smart Home Co., Ltd.
Unit and Currency: RMB Unaudited
Items First quarter of 2021 First quarter of
2020
I. Operating revenue 167,742,299.57 3,179,874,436.85
Less: Operation cost 132,242,644.21 2,870,465,369.89
Taxes and surcharges 977,921.20 3,053,268.44
Selling expenses 5,850,894.41 131,983,867.38
Administrative expenses 2,114,526.97 67,703,707.17
R&D expenses 18,340,350.35 78,022,939.25
Financial expenses -15,915,571.58 -6,131,172.44
Including: interest expenses 7,271,746.57 3,654,000.00
Interest income 27,133,050.09 10,501,990.61
Add: Other incomes 32,375,407.90 20,220,000.00
Investment income (losses are represented by “- 27,853,570.44 17,274,491.07
”)
Including: investment income of associates and
joint ventures
Derecognition income on financial assets
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
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 “-”)
Loss on assets impairment (losses are
represented by “-”)
Gain from disposal of assets (losses are
represented by “-”)
II. Operating profit (losses are represented by “-”) 84,360,512.35 72,270,948.23
Add: non-operating income 150.00 20,939.56
Less: non-operating expenses
III. Total profit (total losses are represented by “-”) 84,360,662.35 72,291,887.79
Less: income tax expense 14,126,772.98 8,800,709.51
IV. Net profit (net losses are represented by “-”) 70,233,889.37 63,491,178.28
(I) Net profit from continuous operation (net losses 70,233,889.37 63,491,178.28
are represented by “-”)
(II) Net profit from discontinuous operation (net
losses are represented by “-”)
V. Other comprehensive income, net of tax 6,441,628.15 11,142,016.23
(I) Other comprehensive income that cannot be
reclassified into the profit or loss
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
4.Changes in fair value of credit risks of the
enterprise
(II)Other comprehensive income to be reclassified 6,441,628.15 11,142,016.23
into the profit or loss
1.Other comprehensive income that can be 6,441,628.15 11,142,016.23
transferred into profit or loss under equity
method
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 76,675,517.52 74,633,194.51
VII. Earnings per share:
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
(I) Basic earnings per share (RMB/share)
(II) Diluted earnings per share (RMB/share)
Person in charge of the Company: Liang Haishan
Person in charge of accounting function: Gong Wei
Person in charge of accounting department: Ying Ke
Consolidated Cash Flow Statement
January-March 2021
Prepared by: Haier Smart Home Co., Ltd.
Unit and Currency: RMB Unaudited
Items First quarter of 2021 First quarter of
2020
I. Cash flows from operating activities:
Cash received from the sale of goods and rendering
58,804,416,710.58 42,136,232,275.78
of services
Net increase in customers and interbank 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 cash borrowed
Net increase in cash received from repurchase
operation
Net cash received from securities trading agency
services
Refunds of taxes received 638,121,934.84 288,016,456.62
Cash received from other operating related activities 337,114,632.86 297,662,670.96
Sub-total of cash inflows from operating activities 59,779,653,278.28 42,721,911,403.36
Cash paid on purchase of goods and services 41,276,653,574.75 34,960,777,017.70
Net increase in loans and advances of customers
Net increase in deposits in PBOC and interbank
Cash paid for compensation payments under original
insurance contract
Net increase in placements with banks
Cash paid for interest, fees and commissions
Cash paid for insurance policy dividend
Cash paid to and on behalf of employees 6,909,059,209.63 6,302,336,001.44
Cash paid for all types of taxes 1,868,485,719.08 1,864,751,157.97
Cash paid to other operation related activities 6,862,067,839.16 5,381,673,328.58
Sub-total of cash outflows from operating 56,916,266,342.62 48,509,537,505.69
activities
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
Net cash flows from operating activities 2,863,386,935.66 -5,787,626,102.33
II. Cash flows from investing activities:
Cash received from disposal of investments 1,847,586,006.66 545,470,265.35
Cash received from return on investments 187,838,963.62 163,323,208.40
Net cash received from the disposal of fixed assets,
8,375,816.24 539,958.35
intangible assets and other long term assets
Net cash received from disposal of subsidiaries and
other operating entities
Cash received from other investment related
32,180,326.72
activities
Sub-total of cash inflows from investing activities 2,043,800,786.52 741,513,758.82
Cash paid on purchase of fixed assets, intangible
1,703,907,399.18 1,571,762,263.35
assets and other long term assets
Cash paid for investments 956,438,067.51 49,728,582.83
Net increase in secured loans
Net cash paid on acquisition of subsidiaries and other
336,769,755.43
operating entities
Cash paid on other investment related activities 3,108,890.00 6,009,000.00
Sub-total of cash outflows from investing activities 2,663,454,356.69 1,964,269,601.61
Net cash flows from investing activities -619,653,570.17 -1,222,755,842.79
III. Cash flows from financing activities:
Cash received from capital contributions 8,600,000.00 59,965,364.85
Including: cash received from capital contributions
by minority shareholders of subsidiaries
Cash received from borrowings 3,638,242,020.00 8,587,862,583.35
Cash received from other financing related
5,247,822.60 113,239,548.32
activities
Sub-total of cash inflows from financing 3,652,089,842.60 8,761,067,496.52
activities
Cash paid on repayment of borrowings 7,468,738,195.77 961,169,702.51
Cash paid on distribution of dividends, profits, or 161,883,851.31 124,530,989.85
interest expenses
Including: dividend and profit paid to minority
shareholders by subsidiaries
Cash paid on other financing related activities 372,909,996.24 92,696,972.18
Sub-total of cash outflows from financing 8,003,532,043.32 1,178,397,664.54
activities
Net cash flows from financing activities -4,351,442,200.72 7,582,669,831.98
IV. Effect of fluctuations in exchange rates on cash
-10,016,712.63 -6,445,415.89
and cash equivalents
V. Net increase in cash and cash equivalents -2,117,725,547.86 565,842,470.97
Add: balance of cash and cash equivalents at the
45,635,132,638.48 34,981,410,830.63
beginning of the period
VI. Balance of cash and cash equivalents at the end
43,517,407,090.62 35,547,253,301.60
of the period
Person in charge of the Company: Liang Haishan
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
Person in charge of accounting function: Gong Wei
Person in charge of accounting department: Ying Ke
Cash Flow Statement of the Parent Company
January-March 2021
Prepared by: Haier Smart Home Co., Ltd.
Unit and Currency: RMB Unaudited
Items First quarter of 2021 First quarter of 2020
I. Cash flows from operating activities:
Cash received from the sale of goods and
333,365,205.81 1,114,024,549.65
rendering of services
Refunds of taxes received 29,531,561.27 8,322,194.46
Cash received from other related operating 80,796,807.77 20,875,309.18
activities
Sub-total of cash inflows from operating 443,693,574.85 1,143,222,053.29
activities
Cash paid on purchase of goods and services 11,173,365.49 503,534,909.19
Cash paid to and on behalf of employees 123,924,641.80 172,973,160.42
Cash paid for all types of taxes 11,536,498.33 46,067,371.42
Cash paid to other operation related activities 101,103,516.27 215,105,878.98
Sub-total of cash outflows from operating 247,738,021.89 937,681,320.01
activities
Net cash flows from operating activities 195,955,552.96 205,540,733.28
II. Cash flows from investing activities:
Cash received from disposal of investments 41,250,000.00 20,000,000.00
Cash received from return on investments 19,540,411.32 338,301.37
Net cash received from the disposal of fixed
assets, intangible assets and other long term
assets
Net cash received from disposal of subsidiaries
and other operating entities
Cash received from other investment related
activities
Sub-total of cash inflows from investing 60,790,411.32 20,338,301.37
activities
Cash paid on purchase of fixed assets, intangible
9,122,111.78 42,907,743.65
assets and other long term assets
Cash paid for investments 131,000,000.00
Net cash paid on acquisition of subsidiaries and
other operating entities
Cash paid on other investment related activities 67,686,144.59 46,000,000.00
Sub-total of cash outflows from investing 76,808,256.37 219,907,743.65
activities
Net cash flows from investing activities -16,017,845.05 -199,569,442.28
III. Cash flows from financing activities:
Cash received from capital contributions
Cash received from borrowings 2,500,000,000.00
Cash received from other financing related
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First Quarter 2021 Report of Haier Smart Home Co., Ltd.
activities
Sub-total of cash inflows from financing 2,500,000,000.00
activities
Cash paid on repayment of borrowings 5,520,000,000.00
Cash paid on distribution of dividends, profits or
42,534,246.57 3,654,000.00
interest expenses
Cash paid on other financing related activities 413,627,000.68 6,110,820,524.09
Sub-total of cash outflows from financing 5,976,161,247.25 6,114,474,524.09
activities
Net cash flows from financing activities -5,976,161,247.25 -3,614,474,524.09
IV. Effect of fluctuations in exchange rates on
-202,136.63 -3,447.35
cash and cash equivalents
V. Net increase in cash and cash -5,796,425,675.97 -3,608,506,680.44
equivalents
Add: balance of cash and cash equivalents at the
8,286,549,909.64 5,624,406,816.79
beginning of the period
VI. Balance of cash and cash equivalents at the 2,490,124,233.67 2,015,900,136.35
end of the period
Person in charge of the Company: Liang Haishan
Person in charge of accounting function: Gong Wei
Person in charge of accounting department: Ying Ke
4.2 Status in relation to adjustments to the first implementation in financial statements at the beginning of
the year for implementation of New Lease Standards for the first time since 2021
□Applicable √Not Applicable
4.3 Explanation on retroactive adjustments of previously comparative data for implementation of New
Lease Standards for the first time since 2021
□Applicable √Not Applicable
4.4 Audit report
□Applicable √Not Applicable
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