2022-03-30 09:27Financial Performance - Anta Sports achieved a revenue of HKD 38.5 billion in 2021, representing a year-on-year growth of 35%[8] - The company reported a net profit of HKD 5.2 billion, an increase of 40% compared to the previous year[8] - Shareholders' profit increased by 49.6% to RMB 7.72 billion[12] - Revenue grew by 38.9% to RMB 49.328 billion[12] - Basic earnings per share rose by 49.5% to RMB 2.87[12] - The company's total revenue for the fiscal year 2021 increased by 38.9% to RMB 49,328 million, compared to RMB 35,512 million in 2020[84] - The footwear segment generated revenue of RMB 19,139 million, accounting for 38.8% of total revenue, reflecting a growth of 50.7% from RMB 12,700 million in 2020[78] - The apparel segment contributed RMB 28,632 million, representing 58.0% of total revenue, with a growth of 32.1% from RMB 21,671 million in 2020[78] - The Anta segment accounted for 48.7% of total revenue, with a revenue increase of 52.5% to RMB 24,012 million from RMB 15,749 million in 2020[85] - The FILA segment contributed 44.2% of total revenue, with revenue growth of 25.1% to RMB 21,822 million from RMB 17,450 million in 2020[85] Market Expansion and Strategy - Anta's retail network expanded to over 15,000 stores across China, with a focus on enhancing customer experience and brand presence[8] - The company aims to achieve a compound annual growth rate (CAGR) of 20% in revenue over the next five years[8] - Anta Sports announced a five-year development strategy and the "Winning Plan" aimed at continuous revenue growth and expanding market share in China[27] - The company aims to focus on high-quality economic growth and strategic goals in response to market challenges[36] - Anta Sports is focusing on a "single focus, multi-brand, globalization" strategy for the next decade[29] - The company aims to increase the number of stores in China and overseas to between 9,200 and 9,300 for Anta and its children's brands, and between 1,900 and 2,000 for FILA by the end of 2022[115] Product Development and Innovation - The company plans to invest approximately HKD 1 billion in research and development for new product lines in 2022[8] - The company launched the FLASHLITE 3.0 running shoes, which achieved a 16% higher energy return rate compared to the previous version, FLASHLITE 2.0[19] - Anta Sports introduced its new midsole technology, "Anta Nitrogen Technology," enhancing performance for professional runners and sports enthusiasts[26] - The company has launched a digital supply chain platform to enhance operational efficiency and reduce costs[34] - Anta has established strategic partnerships with leading material and chemical suppliers to enhance innovation capabilities[34] Sustainability and Corporate Social Responsibility - The company is focusing on sustainability initiatives, aiming to reduce carbon emissions by 30% by 2025[8] - Anta Sports aims to achieve carbon neutrality by 2050 and has set a goal to increase the proportion of sustainable products to 50% by 2030[117] - The founder's family has established a public welfare fund valued at RMB 10 billion, with plans to donate RMB 2 billion to support community initiatives[117] - The company has implemented various environmental protection measures, including upgrading hardware and using clean energy[76] Digital Transformation and E-commerce - The company plans to enhance digital capabilities, transitioning from experience-based to data-driven decision-making[33] - Anta's e-commerce business contributed 29% to overall revenue in the fiscal year, up from 26% in the previous year, with a 50% absolute growth compared to the previous year[34] - The company has established a Direct-to-Consumer (DTC) model, enhancing operational efficiency and allowing for quicker consumer response[39] - The company is enhancing its digital transformation to optimize store efficiency and increase online business penetration[117] Awards and Recognition - Anta was recognized as one of the "Top 500 Companies in China" by Fortune magazine in 2021[8] - The company received multiple awards for investor relations, including "Best Investor Relations Company (Large Cap)"[8] - Anta's brand value ranked first in the apparel category in the "Top 500 Chinese Brands" list[8] Financial Health and Risk Management - The debt ratio decreased to 21.0% from 27.8%[1] - Free cash flow increased by 56.5% to RMB 10.369 billion[1] - The net cash position increased to RMB 11.41 billion, indicating improved financial health and risk resilience[33] - The company faces significant risks from counterfeit sales affecting brand reputation and profitability[76] - The fluctuation of the RMB exchange rate may impact the company's financial performance due to foreign currency transactions[76] Corporate Governance - The company has established a strong governance structure with experienced board members overseeing strategic initiatives[197] - The board consists of 11 members, including 6 executive directors, 1 non-executive director, and 4 independent non-executive directors[155] - The company has complied with the corporate governance code throughout the fiscal year, focusing on internal controls and fair disclosure[155] - The company has established various committees including the audit committee, remuneration committee, nomination committee, risk management committee, and sustainability committee[167] Community Engagement and Social Initiatives - Anta Sports donated RMB 50 million in cash and equipment to support disaster relief efforts in Henan Province[28] - The company is dedicated to corporate social responsibility and community engagement as part of its long-term strategy[197]