李宁(02331) - 2023 - 中期财报

Financial Performance - Revenue for the first half of 2023 reached RMB 14,018,947 thousand, a 13.0% increase from RMB 12,408,665 thousand in the same period of 2022[18]. - Gross profit for the first half of 2023 was RMB 6,838,764 thousand, reflecting a 10.3% increase compared to RMB 6,200,775 thousand in the previous year[18]. - Operating profit decreased by 6.4% to RMB 2,475,224 thousand from RMB 2,643,624 thousand year-on-year[18]. - EBITDA for the first half of 2023 was RMB 3,425,450 thousand, showing a slight increase of 0.1% from RMB 3,421,373 thousand[18]. - Net profit attributable to equity holders was RMB 2,121,231 thousand, down 3.1% from RMB 2,189,308 thousand in the same period last year[18]. - Basic earnings per share for the first half of 2023 were RMB 80.63, a decrease of 3.7% from RMB 83.77[18]. - Gross margin for the first half of 2023 was 48.8%, down from 50.0% in the previous year[18]. - Operating margin decreased to 17.7% from 21.3% year-on-year[18]. Revenue Breakdown - Revenue from footwear was RMB 7,514,672,000, accounting for 53.6% of total revenue, with a year-on-year growth of 11.2%[22]. - Revenue from apparel was RMB 5,639,911,000, representing 40.2% of total revenue, with a year-on-year increase of 14.9%[22]. - Sales to authorized dealers in the Chinese market amounted to RMB 6,724,040,000, up 13.9% from RMB 5,901,205,000 in the prior year[101]. - Direct sales in China reached RMB 3,409,502,000, reflecting a 22.3% increase from RMB 2,786,983,000 year-over-year[101]. - E-commerce sales in China were RMB 3,595,353,000, slightly up from RMB 3,534,298,000, indicating a growth of 1.7%[101]. Expenses and Costs - Total sales and distribution expenses amounted to RMB 3,948,420,000, representing 28.2% of total revenue, an increase of 16.7% year-on-year[27]. - The cost of goods sold for the six months ended June 30, 2023, was RMB 7,002,447,000, compared to RMB 6,059,912,000 for the same period in 2022, representing an increase of about 15.5%[117]. - The company incurred research and product development expenses of RMB 290,764,000 for the six months ended June 30, 2023, compared to RMB 239,096,000 in the same period of 2022, representing a rise of 21.6%[137]. - The company’s advertising and marketing expenses for the six months ended June 30, 2023, were RMB 1,042,091,000, compared to RMB 980,851,000 in 2022, indicating an increase of 6.3%[137]. Cash Flow and Liquidity - The cash generated from operating activities for the first half of 2023 was RMB 1,942,431,000, an increase from RMB 1,583,232,000 in 2022, reflecting improved cash flow management[37]. - The total cash and cash equivalents as of June 30, 2023, were RMB 6,410,689,000, a decrease of RMB 971,529,000 compared to December 31, 2022, highlighting liquidity challenges[37]. - The net cash used in investing activities was RMB (1,355,891) thousand, a significant reduction from RMB (4,315,024) thousand in the same period last year, indicating improved cash flow management[82]. - The net cash used in financing activities was RMB (1,637,835) thousand, compared to RMB (1,524,094) thousand in the previous year, showing an increase of approximately 7.5%[82]. Assets and Liabilities - The company's non-current assets totaled RMB 21,051,753 thousand as of June 30, 2023, a slight decrease from RMB 21,251,624 thousand as of December 31, 2022[75]. - The total assets of the company reached RMB 34,282,761 thousand as of June 30, 2023, compared to RMB 33,646,519 thousand as of December 31, 2022[75]. - Total liabilities decreased to RMB 8,917,464 thousand from RMB 9,314,591 thousand at the end of 2022[76]. - The total lease liabilities as of June 30, 2023, were RMB 2,584,371,000, compared to RMB 2,141,667,000 at the end of 2022, marking a 20.6% increase[108]. Shareholder Information - The company declared a final dividend of RMB 46.27 per share for the year ended December 31, 2022, and an interim dividend of RMB 36.20 per share for the six months ended June 30, 2023[148][149]. - The total interim dividend amount for the six months ended June 30, 2023, was RMB 954,554,000, which was not recognized as a liability as of June 30, 2023[149]. - The number of unexercised share options under the 2014 share option scheme as of June 30, 2023, was 3,507,000, with a weighted average exercise price of HKD 20.757[151]. - The company has a total of 720,760 restricted shares granted on January 3, 2023, vesting from April 1, 2024, to April 1, 2027[174]. Market and Strategic Outlook - The company plans to continue focusing on product technology upgrades and expanding its market presence, leveraging the recovery of consumer demand post-pandemic[21]. - The group maintains a positive outlook on the sports goods consumption market, supported by government policies promoting sports development and consumer spending recovery[45]. - The company is focusing on expanding its channel structure and efficiency, with ongoing upgrades to flagship and benchmark stores while addressing underperforming locations[57]. - The company aims to enhance product functionality and innovation, focusing on professional and fashionable sports products to expand brand influence[72].