李宁：业绩表现超预期，追求盈利稳定

Investment Rating - The investment rating for the company is "Buy" and is maintained [4]. Core Views - The company's revenue for H1 2024 reached 14.3 billion HKD, representing a year-on-year increase of 2%, while the net profit attributable to shareholders decreased by 8% to 1.95 billion HKD. The interim dividend payout ratio reached 50%, indicating a strong performance despite the profit decline [4]. - Significant improvement in gross margin and strong cash flow were noted, with gross margin increasing by 1.6 percentage points to 50.4%. The improvement in gross margin was primarily driven by better performance in direct sales and e-commerce [5]. - The company is focusing on profitability rather than just revenue growth, with expectations for improved net profit margins in H2 2024. The forecast for net profit attributable to shareholders for 2024-2026 is 3.1 billion, 3.4 billion, and 3.8 billion HKD, respectively, with corresponding P/E ratios of 11, 10, and 9 times [5]. Summary by Sections Financial Performance - In H1 2024, the company achieved a revenue of 14.3 billion HKD, a 2% increase year-on-year, while the net profit attributable to shareholders was 1.95 billion HKD, down 8% [4]. - The operating profit margin (OPM) decreased by 1.0 percentage points to 16.7%, influenced by increased sales and management expenses [5]. Cash Flow and Inventory - Operating cash flow increased by 41% year-on-year to 2.7 billion HKD, with a net cash balance of 17.6 billion HKD [5]. - The inventory turnover ratio was reported at 3.9, indicating healthy inventory levels despite short-term sales pressure [5]. Market Outlook - The company anticipates accelerated store expansion in the distributor channel in H2 2024, with a high likelihood of meeting annual revenue guidance [5]. - The company is expected to maintain a focus on profitability, with improvements in expense management anticipated in H2 2024 [5].