AI gains strength and goes overseas to seek profits, with 80% of electronics and home appliance companies seeing their performance soar

Ask AI · How can AI technology become the core driving force for profit growth in consumer electronics?

【Global Network Finance Comprehensive Report】 Benefiting from the deep empowerment of AI technology, diversified expansion into overseas markets, and the steady implementation of domestic demand policies such as “trade-in,” the overall performance of China’s A-share consumer electronics and home appliance industries in 2025 has been impressive. These two major industries have not only successfully shaken off the previous sluggish cycle but are also accelerating their transformation and upgrading, gradually moving toward a new stage of value enhancement and profit recovery. The latest data shows that the industry as a whole demonstrates strong profit resilience, with leading companies and innovative firms actively seeking change performing particularly well.

Statistics show that as of April 1, among A-share companies that have disclosed their 2025 annual reports, the profitability of the consumer electronics and home appliance sectors shows very high certainty. Out of 35 consumer electronics companies that have disclosed performance, 30 have achieved profitability, with 18 showing year-over-year positive growth; among 34 home appliance companies that have disclosed performance, 32 are profitable, with 13 achieving year-over-year positive growth. Overall, more than 80% of companies have crossed the profit threshold in 2025.

The explosion in AI computing power demand is undoubtedly the core engine driving a new wave of breakout in the consumer electronics sector. Take Industrial Fulian as an example; its 2025 revenue approaches the trillion-yuan mark, reaching 902.89B yuan, a year-on-year increase of 48.22%, and its net profit attributable to the parent company also grew by over 50%. Behind this is its rapid progress in cloud computing business, which saw revenue surge by 88.70% year-over-year. Cixing Data, which has seized the AI wave, achieved a 68.32% year-over-year increase in net profit attributable to the parent company through rapid volume growth of intelligent computing products and services. In addition to tightly embracing AI, building a diversified smart hardware matrix has also become key for industry leaders to hedge against risks in single markets. Huacheng Technology, through upgrading its “3+N+3” large platform strategy, has achieved full-line growth in mobile phones, PCs, and data center businesses. However, there are also concerns within the industry; affected by sharp increases in the prices of storage and other components, Transsion Holdings, which is deeply engaged in emerging markets, faces pressure on gross profit margins and a more than 50% decline in net profit, reminding the market of the importance of supply chain cost control.

Dongfang IC

The dual-driven growth logic of overseas mergers and acquisitions and product high-endization in the home appliance sector is prominent. Taking Midea Group as an example, the company is actively seeking a second growth curve through overseas capital operations, acquiring assets such as Arbonia and Toshiba Elevators, leading to overseas revenue surpassing 195.9 billion yuan in 2025. Its ToB business also achieved a 17.5% growth, ultimately driving the full-year net profit to exceed 43.9 billion yuan. In the terminal consumer market, pursuing high-end profits has become a consensus in the industry. Haier Smart Home precisely targets high-net-worth groups; its Leader lazy laundry three-tube washing machine and MaiLang series refrigerators top their respective niche categories and the high-end market above 8,000 yuan, offsetting the stock game of the overall market through product structure optimization, and steadily increasing net profit to 19.55B yuan.

Analysts say that the “80% profit” report card of the consumer electronics and home appliance industries in 2025 marks a complete shift from the past “scale-driven” to “technology and brand-driven” manufacturing. In the short term, the accelerated implementation of AI terminals and channel expansion in overseas markets provide key companies with a solid performance moat. Looking ahead, only companies that can integrate supply chain resources globally, achieve differentiated AI application deployment, and continue to lead the high-end product wave will truly enjoy the benefits of valuation reshaping amid a complex and volatile macro environment. (Wen Xin)