BOC International released a research report stating that maintaining Haier Smart Home (06690)'s “buy” rating, the target price was raised to HK$35.8, taking into account the gradual implementation of the policy, the improved development of the North American market, the improvement in profits in the European market, the certainty of performance growth and the increase in dividend payout rates. The company's 2023 performance is in line with expectations, and dividends exceed expectations; the dividend plan that exceeds market expectations drives the company's stock price performance today.
According to the report, Haier's high-end brand Casadi aims for double-digit growth in 2024: the company will make strategic adjustments to the Casadi brand with a double-digit revenue contribution in 2023, including 1) product upgrades, shifting from traditional single product upgrades to package upgrades, launching new series (such as Nebula packages) and completing sales of 350,000 units (of which the high-end Nebula series air conditioners sold more than 140,000 units), and plans to continue to promote new products in 2024 (such as the conductor package); 2) Increase high-end user touchpoints: as of the 1st quarter of 2024, the company has entered 300 shopping malls nationwide;) Member management currently operates approximately 13 million users by improving service and marketing efficiency. Casati achieved double-digit revenue growth in 2023 (retail sales increased by 14%) and aims to achieve a 10-15% year-on-year increase in 2024.