Core Viewpoint - In Q3 2025, the overall sales volume of Li Ning brand (excluding Li Ning YOUNG) experienced a decline in unit numbers, with offline sales significantly impacted by foot traffic and consumer spending, while e-commerce showed a high single-digit growth year-on-year [1][2][3] Sales Performance - Q3 2025 saw a high single-digit decline in offline sales, primarily due to reduced foot traffic and consumer spending, with direct retail channels performing better than wholesale channels, benefiting from strong performance in outlet channels [1][2] - E-commerce business recorded a high single-digit growth year-on-year, with an increase in growth rate compared to Q2 [2][3] - The children's clothing segment continued to outperform adult clothing, with expectations of double-digit growth in children's apparel [2] Inventory and Discounts - The company increased its inventory turnover ratio at the end of Q3 2025, with a ratio corresponding to 5-6, as preparations were made for upcoming holidays and promotional events [1][2] - Both online and offline discount rates deepened in low single digits during Q3 2025, as the company intensified promotional efforts [2][3] Channel Expansion and Marketing Strategy - As of Q3 2025, the total number of Li Ning's sales points reached 6,132, with a net increase of 15 points since the beginning of the year, while children's clothing sales points totaled 1,480, with a net increase of 12 points [3] - The company plans to enhance marketing investments focusing on the "Olympics + Technology" theme in Q4 2025, aiming to improve product development and brand influence [3] - New product launches are expected in Q4, including technologically advanced products and collaborations, which are anticipated to drive sales improvement [3] Financial Forecast - The projected revenue for the company from 2025 to 2027 is estimated at 28.93 billion, 30.51 billion, and 32.08 billion yuan, with year-on-year growth rates of +0.9%, +5.4%, and +5.2% respectively [4] - The expected net profit attributable to shareholders for the same period is forecasted at 2.43 billion, 2.62 billion, and 2.78 billion yuan, with year-on-year changes of -19.5%, +7.8%, and +6.2% respectively [4]

Group 1 - The China Pickleball Tour Finals (CPC-2000) and the China Pickleball City Challenge Finals (CPC-T2000) are the highest-level pickleball events in China, marking the conclusion of the most extensive series of pickleball competitions this year [1][4] - The event is hosted in Guilin, a city known for its stunning natural scenery and cultural heritage, emphasizing the integration of sports with tourism [3][5] - The event aims to promote pickleball as a new choice for public fitness and a new engine for urban development, highlighting the positive impact of sports and cultural tourism activities [4][7] Group 2 - The event has attracted significant attention, with over 1,000 participants expected, showcasing the growing popularity of pickleball and its alignment with the demand for diverse and high-quality sports activities [7][8] - The design of the medals incorporates local cultural elements, symbolizing honor and the spirit of athletes, which adds to the event's cultural significance [7] - The partnership with Bank of Communications as the chief partner for the event represents a new model of "Finance + Events + Cultural Tourism," supporting the promotion of pickleball and the successful hosting of the event [8]

Group 1 - The 2025 "Li Ning Cup" China Pickleball Tour Finals and the China Pickleball City Challenge Finals will be held from November 27 to November 30 in Guilin, marking the conclusion of this year's pickleball series events [2] - The event is co-hosted by multiple organizations, indicating its high status and broad participation within the national pickleball scene [2] - The event is expected to attract over 1,000 participants from both domestic and international backgrounds, highlighting its significance in promoting competitive exchange and sustainable development of the sport [3] Group 2 - The event's location in Guilin is seen as a recognition and promotion of the rapid development of pickleball in Guangxi, aligning with the region's goals of integrating sports and tourism [3] - The design of the medals incorporates local cultural elements, showcasing Guilin's heritage and uniqueness, including the first-ever桂花香味龙符奖牌 [3] - The partnership with the Bank of Communications Guangxi Branch aims to explore a "finance + events + tourism" integration model, supporting the broader goals of national sports development and public health initiatives [3]

Investment Rating - The report maintains an "Accumulate" rating for the textile and apparel industry [6] Core Insights - The textile and apparel industry is experiencing a weak recovery, with the jewelry sector showing better growth compared to clothing [14] - The domestic sportswear market is expected to maintain long-term growth resilience despite short-term fluctuations in offline sales [1] - The report highlights the importance of inventory management and the impact of promotional events on sales performance [1][2][26] Summary by Sections 1. Sports Footwear and Apparel - The sports footwear and apparel sector showed weaker performance in Q3 2025 compared to Q2 but still outperformed the overall apparel market [1] - Offline sales for domestic sports brands remain weak, while e-commerce channels are performing better [1] - Inventory levels for domestic sports brands increased in Q3 due to preparations for the National Day holiday and Double Eleven sales [1] - Adidas reported a 6% year-on-year revenue growth in Greater China for Q3 2025, while Nike's sales in the region declined [1][18] 2. Brand Apparel - The brand apparel sector showed improvement in Q3 2025, with revenue and net profit growth of 3.1% and 23.2% respectively, driven by a low base effect [2] - The home textile segment benefited from product updates, while the fashion apparel category faced weak demand due to low consumer confidence [2] - The report anticipates continued reasonable expense management and stable profit growth for some companies in Q4 2025 [2] 3. Textile Manufacturing - Revenue for key textile manufacturing companies remained relatively stable, with a slight decline in net profit [3] - Companies with different customer structures showed varied performance, with some like Huayi Group achieving a 7% revenue growth by expanding their client base [3] - The report suggests that as inventory levels normalize, there may be a recovery in orders from upstream manufacturing companies [3] 4. Gold and Jewelry - The gold and jewelry sector experienced performance differentiation, with retail sales of gold and silver jewelry increasing by 11.5% year-on-year in the first nine months of 2025 [4] - Companies with fewer stores or a direct sales model reported excellent revenue growth, with some like Chao Hong Ji and Man Ka Long achieving revenue increases of 28.3% and 29.3% respectively [4] - The report recommends focusing on companies with strong product and channel capabilities in the jewelry sector [4] 5. Investment Recommendations - The report recommends several companies based on their performance and market positioning, including Shenzhou International, Anta Sports, Li Ning, and Chow Tai Fook, highlighting their respective PE ratios for 2025 [4][9]

Investment Rating - The investment rating for the company is "Buy" with a target price not specified [6] Core Insights - The company has experienced a mid-single-digit decline in retail sales for the third quarter ending September 30, 2025, with offline channels seeing a high single-digit decline, while e-commerce recorded a high single-digit growth [1] - The company has strengthened its brand through partnerships with the Chinese Olympic Committee and has showcased its products at various international sporting events, enhancing its visibility and cultural representation [2] - The company has expanded its instant retail capabilities by partnering with Meituan, allowing for a rapid delivery service across nearly a hundred cities, catering to diverse consumer needs [3] - The profit forecast for 2025-2027 remains unchanged, with expected revenues of 29.1 billion RMB, 30 billion RMB, and 31.1 billion RMB, and net profits of 2.5 billion RMB, 2.7 billion RMB, and 2.9 billion RMB respectively [4] Summary by Sections Retail Performance - As of September 30, 2025, the company had 6,132 sales points in China, with a net increase of 33 points from the previous quarter, despite a net decrease in retail points [1] Brand Development - The company has been appointed as the official sportswear partner for the Chinese Olympic Committee for the 2025-2028 period, showcasing its commitment to cultural representation and sportsmanship [2] Instant Retail Expansion - The company has launched its products on the Meituan platform, enhancing its distribution strategy and providing a quick delivery service to meet consumer demands [3] Financial Forecast - The company maintains its earnings forecast for 2025-2027, projecting steady revenue and profit growth [4]

Group 1 - The chairman of the company, Li Ning, increased his stake in Li Ning Company Limited (02331) by acquiring 13.236 million shares at a price of HKD 16.7716 per share, totaling approximately HKD 222 million [1] - Following the acquisition, the total number of shares held by Li Ning is approximately 36.38 million, representing a holding percentage of 14.07% [1]

Core Viewpoint - The chairman of the company, Li Ning, has increased his shareholding in Li Ning Company Limited (02331) by acquiring 13.236 million shares at a price of HKD 16.7716 per share, totaling approximately HKD 222 million, which reflects a strong commitment to the company's future growth [1] Summary by Category Shareholding Activity - On October 31, the chairman Li Ning purchased 13.236 million shares [1] - The acquisition price was HKD 16.7716 per share, leading to a total investment of around HKD 222 million [1] - Following this transaction, the chairman's total shareholding increased to approximately 36.38 million shares, representing a 14.07% ownership stake in the company [1]

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 | 截至月份: | 2025年10月31日 | | | | 狀態: 新提交 | | --- | --- | --- | --- | --- | --- | | 致：香港交易及結算所有限公司 | | | | | | | 公司名稱: | 李寧有限公司 | | | | | | 呈交日期: | 2025年11月4日 | | | | | | I. 法定/註冊股本變動 | | | | | | | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | 於香港聯交所上市 (註1) | 是 | | 證券代號 (如上市) | 02331 | | 說明 | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 多櫃檯證券代號 | 82331 | RMB | 說明 | | | | | | | | | | 法定/註冊股份數目 | | 面值 | | 法定/註冊股本 | | | 上月底結存 | | | 10,000,000,000 | HKD | | 0.1 HKD | | ...

Core Insights - Pickleball is gaining popularity in the U.S. but struggles to achieve the same level of recognition in China, where it is still considered a niche sport [11][17][23] - The sport was originally designed to be less intense, making it more accessible for beginners and older adults, which may contribute to its slower adoption among younger demographics [5][23] - The growth of pickleball in the U.S. has been fueled by celebrity endorsements and the establishment of professional leagues, which has not yet occurred in China [14][15][17] Group 1: Popularity and Market Dynamics - Pickleball has seen a tenfold increase in players in the U.S. over two years, growing from under 5 million to over 50 million [11][12] - The global pickleball equipment market is projected to grow from $1.61 billion in 2024 to $3.1 billion by 2032, with a CAGR of 10.3% [14] - In the U.S., 26,000 tennis courts have been converted to pickleball courts since 2020, indicating a shift in recreational preferences [14] Group 2: Challenges in China - In China, pickleball is still a small market, with only 4% of Li Ning's revenue coming from niche sports, including pickleball [17] - The number of dedicated pickleball courts in Beijing is limited, with fewer than 100 available, most of which are repurposed from other sports facilities [21] - Despite a surge in sales during events like the Tmall 618, pickleball remains a niche sport compared to more established sports like badminton and table tennis [17][21] Group 3: Social Aspects and User Engagement - Pickleball is perceived as a social sport, attracting players of varying skill levels, which may enhance its appeal among casual participants [23][24] - However, the sport faces challenges in retaining players as many find it difficult to establish regular playing partners, limiting long-term engagement [26][27] - The cost of playing pickleball can be perceived as high, particularly in urban areas, which may deter some potential players despite the sport's low entry barriers [27][28]

Core Points - The 2025 Li Ning Li Yongbo Cup 3V3 Badminton National Finals concluded on November 2 in Beijing, with Zhejiang Xinshengda Badminton Club winning the championship [1][3] - The event featured 21 preliminary rounds, culminating in a final match where Zhejiang Xinshengda defeated their opponent 2:1 [3] - The 3V3 badminton format originated from a training method used by the national badminton team and has evolved into a platform connecting badminton enthusiasts over 16 years [3] Event Highlights - Li Yongbo, the event's initiator and trophy donor, expressed hopes for the future integration of technology into the event to enhance its growth [3][5] - The finals included a technology interactive experience area presented by the Li Ning Sports Science Research Center, featuring activities like speed challenges and agility tests [5] - The event aims to promote the development of badminton in China and expand its reach [5]