The Zhitong Finance App learned that CITIC Construction Investment released a research report saying that the sweeper industry is at a stage where logic is being repaired and the competitive landscape is stabilizing and improving. The interim report shows that despite multiple tests of declining national subsidies and a high overseas base, the two leaders still achieved steady growth in revenue and profits, which falsified the market's previous concerns about domestic demand overdrafts and peaking overseas growth, and the industry's growth is expected to be re-evaluated. At the pattern level, share is being concentrated on leading brands with outstanding product power, brand power, and channel capabilities. Second-tier brand offensives are slowing down, and leading pricing power and profit quality are expected to continue to recover. At the cost level, upstream price increases such as storage have disrupted gross margins in the short term. As the increase converges and early inventory is gradually digested, compounded by the low domestic base for the fourth quarter, profit elasticity is expected to be unleashed quarterly.
CITIC Construction Investment's main views are as follows:
2026H1's revenue continues to grow, overseas business continues to exceed expectations, and domestic performance is clearly superior to the industry; pessimistic pricing of “domestic overdraft+overseas peaking”
At the same time, the share of second-tier brands declined, and the competitive landscape accelerated its concentration on Covos and Stone Technology. Short-term gross margin is still suppressed by factors such as storage and exchange rates, but cost pressure may be high in Q3, and profits are expected to gradually recover after Q4. Continue to be optimistic about the elasticity of profit recovery after the improved pattern of double faucet sweepers.
Q1: How to evaluate the mid-report performance of sweepers, and why is the stock price performance divergent?
Both the revenue and return to mother of the two companies achieved relatively rapid growth, but differences in profit quality determined post-performance stock price performance. 26Q2 Covos's revenue increased 12.9% year-on-year, and net profit to mother increased by 67.0%, but net profit after deducting 19.0%. The increase in profit was mainly due to fair value changes; Stone Technology's revenue increased by 30.9%, and net profit increased by 111.0% after deducting the impact of tariff rebates. As a result, the market gave Stone a more positive price, and Covos's valuation still needs to be verified as a result of the main business's profit improvement.
Q2: How to analyze the actual operating quality of the two companies?
Both companies' gross margins are pressured by raw materials and exchange rates, but Stone's cost control is clearly better. The gross margin of 26q2 Covos decreased by 2.20 pct year on year, the sales expense ratio decreased by only 0.35 pct, and the financial expense ratio increased by 2.65 pct; the gross margin of the Stone Report decreased by 0.60 pct year on year, and actually decreased by about 3.9 pct after excluding tax rebates, but the sales, management and R&D expenses ratio decreased by 6.20, 0.85, and 1.94 pct, respectively. After comprehensively restoring one-time revenue, Stone's profit improvement mainly comes from improved operating efficiency, while Covos still needs to observe cost optimization and stabilization of gross margin.
Q3: Is the growth of the robot vacuum industry underestimated?
The downturn in domestic compensation and the high overseas base have not changed the industry's growth trend. Previously, the market was pessimistic about demand overdrafts. Global shipments of household cleaning robots increased 36.7% year-on-year in 2026Q1; overseas revenue of Covos and Stone increased by 44.7% and 53.8% respectively in 2026H1, and the share of overseas revenue increased to 49.4% and 60.2%. Although retail sales in the domestic industry fell by 4.0%, retail sales of Covos and Stone increased by 17% and 15% respectively in 26Q2, indicating that leading companies can rely on share growth, new product iteration, and channel expansion to achieve structural growth that surpasses the industry.
Q4: Has the competitive landscape of sweeping robots been effectively improved?
The industry is shifting from multi-brand scuffle to being dominated by double leaders, and easing competition is expected to improve pricing power and profitability. The total share of online retail sales of 26Q2 Stone and Covos reached 67.3%, a record high in the past two years; cumulative annual retail sales increased by 6.04% and 4.84% respectively, which is significantly better than the industry's 8.8% decline. The slowdown in the expansion of second-tier brands and the withdrawal of inefficient supply during the same period will further strengthen the scale, brand and channel advantages of Shuangleong.
Q5: How to judge the industry and performance trends in the second half of the year?
The second half of the year is expected to show the characteristics of “low and then high at home, continued growth overseas, and high and then low cost pressure”. Domestic Q3 still faces a high national supplement base. The Q4 growth rate is expected to improve with the declining base, Double Eleven promotions, and the release of new products; overseas, it will further expand from regional expansion to offline channels and new categories such as lawn mowers and floor washers. Storage prices are still putting pressure on Q3 gross margin, but the price increase slope has narrowed. Considering delays in procurement and inventory carry-over, profit margin recovery is expected to gradually be reflected starting in Q4.
Risk warning: 1. The macroeconomic growth rate falls short of expectations. Clean appliances are durable consumer goods and are closely related to residents' income expectations. If macroeconomic growth slows down, or it has a big impact on the company's product sales; 2. Raw material prices fall short of expectations: the company's raw material costs account for a large share of operating costs, and if bulk prices rise again, the company's profitability will weaken; 3. Overseas market risks: Uncertainty in the overseas environment has increased in recent years, and the company's export sales account is relatively high. If external demand falls, performance will be impacted accordingly; 4. Market competition intensifies: In a weak market environment, competition in the industry is more intense, and there is a risk that the company will lose share and competition will drag down profits at low prices.