The company manufactures home appliances such as refrigerators, freezers, and television sets; consumer electric appliances and integrated kitchenware, and small scale electrical household appliances, especially those targeted at the increasing number of single person households. Among the various type of products, home appliances dealing with water are currently the most profitable, with a gross profit margin of almost 50 percent as reported by the Haier Smart Home subsidiary.
Haier Group consists of two listed subsidiaries: Qingdao Haier Electronics Group and Qingdao Haier, where the later was officially renamed Haier Smart Home in 2019. While Haier Electronics Group is listed on the Main Board of the Stock Exchange of Hong Kong Limited, Haier Smart Home is listed on the Shanghai Stock Exchange.
The company’s global headquarters are located in Qingdao city, Shandong province of China, while its two regional headquarters – in Paris and New York – serve its clients in Europe and America respectively. Haier Group has five R&D centers, 66 trading companies and 21 industrial parks worldwide. In 2016, the Haier Group acquired General Electric’s appliance division for 5.4 billion U.S. dollars.
In terms of the sales revenue, Haier Electronics Group received around 78.8 billion yuan in 2017 with the revenue forecasted to grow by almost 48 percent by 2020. The net profit of Haier Group has doubled since 2013, reaching around 6.93 billion yuan in 2017. Although Haier Smart Home has always generated its largest proportion of revenue in mainland China, overseas revenue has been catching up in recent years, from a difference of around 25 billion yuan in 2017 to ten billion yuan in 2019. Meanwhile, Haier Electronics Group generated a vast majority of revenue from customers in China.
Haier Group has also been recognized as one of the top global major appliance brands by Euromonitor International for eleven years straight, and maintained this title in 2020. It is renowned for its “ecosystem brand” model of development that includes six stages. This strategy has consolidated the company’s foothold within the IoT industry allowing for several global companies to be taken under its wing.