gtja's research report pointed out that haier smarthome (600690.SH) achieved a net income attributable to the parent company of 10.42 billion yuan in the first half of 2024, an increase of +16.25% year-on-year; the net income attributable to the parent company in Q2 was 5.647 billion yuan, an increase of +13.11% year-on-year, and the performance meets expectations. The performance of domestic and international sales remained stable, and emerging markets maintained rapid growth. Among them, the profitability of the air conditioner category has significantly improved, and expenses continue to be optimized. With the formal mass production of the Zhengzhou compressor joint venture company in April 2024, the self-made parts ratio will increase, and subsequent manufacturing cost optimization will be gradually realized. In addition, the overall expense ratio in Q2 2024 improved by 0.8 percentage points year-on-year, the same as the decrease in expense ratio in Q1 2024. Maintain a “shareholding” rating and a target price of 33.25 yuan.