MIDEA GROUP's stock surged 5.04% in Monday's intraday trading session, reflecting strong investor interest in the household appliances manufacturer.

The sharp price increase is primarily attributed to extreme heatwaves sweeping across Europe, which have triggered unprecedented demand for air conditioning units. With European households having only about 20% air conditioner penetration historically, the current record-breaking temperatures have led to panic buying of cooling equipment. Midea's PortaSplit portable split air conditioner, specifically designed for the European market and launched in 2024, has become a viral sensation, selling out across multiple countries including France, Spain, Germany, and the United Kingdom.

Market reports indicate Midea's air conditioner sales in core Western European markets have increased by over 70% year-on-year, with the company's Shunde manufacturing base operating at full overtime production to meet demand. The European heatwave-driven buying frenzy is expected to deliver approximately €180 million to €250 million in direct incremental revenue for Midea, representing the largest absolute gain among major Chinese air conditioner manufacturers. Second-hand prices for Midea's PortaSplit units have reportedly surged above retail prices, highlighting the severe supply shortage amid extraordinary demand.