In 2025, the macro-economy will be complex and changeable, the foreign trade environment will be under pressure, and consumer demand will undergo profound changes. The global furniture industry will accelerate differentiation in the stock competition.
On the one hand, the overall scale has shrunk and competition is fierce, but the demand for subdivided categories remains resilient; on the other hand, the division of labor in the industrial chain is accelerating the evolution from a single center to a multi-regional collaborative pattern, and the regional market is becoming more diversified.
Against this backdrop of uncertainty, Henglin Holdings (603661.SH), a leading company in the domestic furniture industry, once again proved with its performance that traditional industries have not declined and can break through through transformation.
The financial report released on the evening of April 29 showed that in 2025, the company achieved revenue of 11.677 billion yuan, and its scale continued to stand at the tens of billions level; net profit attributable to the parent company was 164 million yuan. Although it was under short-term pressure from the domestic real estate downturn, it has achieved both year-on-year and month-on-month improvements in 2026Q1.
Henglin Co., Ltd. was founded in 1998, starting from the office chair factory in Anji, Zhejiang. After going public in 2017, it has steadily expanded its large home furnishing territory and gradually built a complete home ecology.
At present, the products mainly include ergonomic chairs, smart sofas, system offices, new material floors, etc.
Looking over time, Henglin’s revenue has grown steadily since its listing, from 1.896 billion yuan in the year of listing to breaking through 10 billion yuan for the first time in 2024. It only took 8 years.
In 2025, under the general environment of general pressure on the international and domestic furniture markets, the company’s revenue still maintained a growth rate of 5.88%, recording 11.677 billion yuan, and continued to reach the tens of billions level.
Behind the steady growth in scale is the continuous development of the “ODM/OEM+OBM” two-wheel drive model that the company has adhered to for many years, and the rise of independent brands, which has taken up half of the company’s revenue.
For a long time, domestic home furnishing companies have mostly focused on OEM when going overseas, relying on orders from overseas brands to survive. They have weak bargaining power, limited profit margins, and insufficient development initiative. They are extremely vulnerable to fluctuations in downstream customers, trade policies, and market demand.
In order to solve the development dilemma of OEM dependence, Henglin Co., Ltd. has started the road of independent brand transformation early, continues to increase investment in brand building, overseas channel promotion, and terminal market operations, gradually getting rid of the constraints of low-value-added OEM business, and advancing to the branding track of high premium, high gross profit, and high value-added.
The annual report shows that in 2025, the company’s own brand (OBM) business achieved revenue of 6.873 billion yuan, a year-on-year increase of 15.70%, accounting for 58.92%; ODM/OEM business revenue was 4.792 billion yuan, accounting for 41.08%.
The rapid rise of its own brand business has not only optimized the company’s overall revenue structure, but also effectively enhanced its product pricing power and market voice.
Henglin’s own brands focus on ergonomics, smart health, and high-end home scenarios, accurately matching global mid-to-high-end consumer demand, and product premium capabilities have begun to materialize, effectively hedging the impact of industry price involution.
From a channel perspective, the company’s OEM business focuses on high-quality customers, while independent brands develop simultaneously online and offline. Relying on diversified channels such as Amazon, Walmart, TEMU, independent websites, large overseas supermarkets, and offline dealers, it covers the global mainstream consumer market, and its brand influence continues to penetrate core regions such as Europe, America, and Asia-Pacific.
The data is the best evidence. In 2025, the company’s overseas revenue will be 10.830 billion yuan, a year-on-year increase of 9.54%; the gross profit margin will be 18.65%, a year-on-year increase of 0.45 percentage points.
Among them, the growth of online business has played an important role.
However, what needs to be viewed objectively is that the company’s profit side will be under periodic pressure in 2025. The net profit attributable to the parent company for the whole year was 164 million yuan, a year-on-year decrease of 37.72%.
However, a closer look at the reason for the decline shows that it is not the weakening of the competitiveness of the core main business, but the continued downward impact of the domestic real estate industry, which has put the operation of subsidiary Chubo under pressure, affecting the net profit attributable to the parent company of approximately 180 million.
Among them, the company made impairment provisions of RMB 119 million for Dr. Chu’s related assets and accrued related expenses of RMB 19 million.
As we enter 2026, Henglin Co., Ltd.’s operating conditions have improved significantly.
The first quarter report shows that the company achieved revenue of 3.218 billion yuan, a year-on-year and month-on-month increase of 21.27% and 0.90% respectively; net profit attributable to the parent company was 58.9811 million yuan, a year-on-year and month-on-month increase of 13.72% and 151.32% respectively.
If independent brands are the “moat” for Henglin Shares to go through cycles, then continuous innovation is the “core engine” for building long-term competitiveness.
Nowadays, with the dual support of consumption upgrades and technological revolution, traditional furniture products have single functions and serious homogeneity, making it difficult to meet consumers’ diverse needs for healthy offices, comfortable homes, and intelligent interactions. The intelligent transformation of the home industry has become an inevitable trend.
As one of the largest office chair manufacturers in China, Henglin Co., Ltd. is actively promoting a strategic transformation—from a company that “manufacturs comfort” to a brand that “defines intelligence.”
Since 2025, Henglin Co., Ltd. has continued to implement a number of major innovation initiatives, leading the new global AI somatosensory home track.
During the Guangzhou International Home Furnishing Expo in the spring of 2026, the company released the world’s first “AI Somatosensory Engineering White Paper”, which for the first time systematically proposed the concept of “AI Somatosensory Engineering”, that is, “ergonomics + AI interaction + intelligent somatosensory adaptation”, providing a reference template for the intelligent upgrade of the entire home health track.
Based on the core technical concepts of the white paper, the company simultaneously launched the flagship new product AI somatosensory engineering chair S800.
Different from the fixed adjustment and passive adaptation mode of traditional ergonomic chairs, the S800 is equipped with a self-developed intelligent sensor chip, a whole-body pressure sensing system, and an AI intelligent algorithm, which can accurately capture changes in the user’s sitting posture, weight, and posture in real time, and realize full-dimensional functions such as automatic waist tracking, dynamic spine protection, adaptive recline, sitting posture reminder, and sedentary health monitoring. It truly realizes “furniture actively adapts to the human body” and completes the revolutionary upgrade from “people adapt to furniture” to “furniture serves people.”
More importantly, S800 is just the starting point. Based on the pioneering “AI somatosensory engineering”, Henglin will start building a full-scenario smart home ecosystem covering office, leisure and health management.
In 2025, the company also launched a number of innovative products such as the Extreme Arc Office Chair, HS-4125C Smart Sofa, and L0 School Chair. Its hard-core product capabilities have been widely recognized by the global market and authoritative institutions. It has won many major domestic and foreign honors such as the Golden Reed Industrial Design Award, the OFDA International Furniture Supreme Award, and the Global Home Innovation Award. The high-end product matrix is fully competitive.
Behind the innovation drive is continuous investment in research and development.
In 2025, the company’s R&D expenses will be 206 million yuan, and the proportion of R&D personnel will increase to 8.63%.
As a high-tech enterprise, the company has a total of 1,663 authorized patents.
In addition to innovative products, another core support for Henglin Co., Ltd. to maintain growth in an uncertain market is the supply chain resilience built by its continuous improvement of global layout.
At present, the company has established production bases integrating research, production and sales in China, Vietnam, Switzerland and other countries, as well as 11 overseas warehouses in North America.
The products are exported to more than 80 countries and regions, with an export volume of more than 5,000 containers per month. It has ranked first in China’s office chair exports for more than ten consecutive years.
On top of the production base, Henglin Co., Ltd. also adopts a “customer-centric” approach and extends its service reach to global terminals.
In the overseas offline market, the company has equipped localized sales and service teams in key markets such as the United States, Europe, and South Korea, implemented the “business/product/delivery” iron triangle organizational model, and served strategic customers on a project basis. Through strong benchmarking development and resource investment by key customers, core key customers have become the company’s main source of incremental growth.
In the online market, the company uses big data analysis to dynamically adjust product design, optimize intelligent replenishment and inventory warning systems, and accelerate capital turnover.
At the same time, private brands such as Nouhaus continue to enhance their global influence by participating in international exhibitions such as the Milan International Furniture Fair to demonstrate their design and technical strength in multiple dimensions.
Take the Vietnam base as an example. As the core carrier of the company’s “manufacturing overseas”, this base has mainly covered export orders to the United States. It has built an efficient supply chain model of “Vietnam production – direct shipment from the U.S. warehouse” for cross-border e-commerce, effectively hedging tariff and trade policy risks, while actively expanding the non-U.S. market.
In addition, the base has effectively dealt with the operational challenges brought about by cultural differences by implementing the “Chinese technology + localization team” management model.
In 2025, this base alone will achieve operating income of 2.277 billion yuan.
While consolidating its traditional advantages in North America, Henglin’s market share in Europe, Africa, Latin America and other markets continues to increase.
As the demand for office furniture in Europe picks up, and the company’s design localization strategy for different regions takes effect, non-U.S. regions have become new engines of growth, effectively reducing the risk of dependence on a single market.
It is worth mentioning that at the production base of Henglin Co., Ltd., palletizing robots, sorting robots, and welding robots have become standard equipment in the production line.
Through automated sorting, packaging, chassis assembly systems, as well as fully automated three-dimensional warehouses and digital intelligent master consoles, the company has achieved “informatization, digitization, intelligence and visualization of the entire back-end manufacturing process.”
This not only improves production efficiency, but also provides Henglin with the ability to respond quickly and flexibly at a time when orders are becoming increasingly fragmented and customized. The intelligent production line provides a strong delivery guarantee for its cross-border e-commerce business.
More importantly, smart manufacturing can also promote the company’s green development.
In fact, as a “world-class green home furnishing company”, Henglin Co., Ltd. continues to practice the concept of sustainable development while deeply cultivating its main business, integrating the construction of the ESG system into the entire process of corporate production and operation, and achieving coordinated development of economic, social and environmental benefits.
As an export-oriented manufacturing enterprise, the company keeps up with the global low-carbon development trend, continues to promote green manufacturing, clean production, energy conservation and consumption reduction, optimizes production processes, promotes environmentally friendly raw materials and low-carbon packaging materials, and reduces carbon emissions in the production process; improves the corporate governance structure, protects the rights and interests of employees, strengthens supply chain compliance management, and standardizes the global operating system.
