李宁（02331）：深练内功巩固成效

Investment Rating - The report maintains a "Buy" rating for the company, with an expected relative return of over 20% within the next six months [6]. Core Insights - The company reported a revenue of 28.7 billion RMB for 2024, a year-on-year increase of 3.9%, while the net profit attributable to shareholders was 3 billion RMB, a decrease of 5.5%, resulting in a net profit margin of 10.5% [1]. - The second half of 2024 saw a revenue of 14.3 billion RMB, reflecting a year-on-year growth of 5.5%, with a net profit of 1.1 billion RMB, down 0.4% year-on-year [1]. - The company declared a total dividend of 0.5848 RMB per share for the year, with a payout ratio of 50% [1]. Revenue Breakdown - By brand, the total number of stores at the end of 2024 was 7,585, a decrease of 83 from the beginning of the year. The main brand, Li Ning, saw a reduction of 123 stores to 6,117, while Li Ning Young increased by 40 stores to 1,468 [2]. - In terms of channels, wholesale revenue reached 13 billion RMB, up 3% year-on-year; direct sales revenue was 6.9 billion RMB, slightly down by 0.3%; and e-commerce revenue was 8.3 billion RMB, up 10% year-on-year [2]. Product Performance - The company focuses on six core categories: running, basketball, fitness, badminton, table tennis, and sports lifestyle, with new product retail sales accounting for 85% of overall offline sales [3]. - Running sales increased by 25%, with over 10.6 million pairs sold from three new running shoe series. The company upgraded its "SOFT" technology matrix, enhancing product performance while ensuring comfort [3]. - Basketball sales decreased by 21%, with plans to promote street basketball culture through events in multiple cities [3]. Cost Management and Inventory - The gross margin for 2024 was 49.4%, an increase of 1 percentage point, attributed to a higher proportion of sales from the more profitable e-commerce channel and improved discounts in offline stores [5]. - Sales expenses rose by 1.3% year-on-year to 9.2 billion RMB, mainly due to increased market expansion efforts and brand promotion [5]. - Inventory turnover across all channels was maintained at a healthy level of four months, with channel inventory increasing in high units year-on-year [5]. Earnings Forecast - The report adjusts the earnings forecast for 2025-2027, projecting revenues of 29.5 billion RMB, 31.7 billion RMB, and 34 billion RMB respectively, with net profits of 2.8 billion RMB, 3 billion RMB, and 3.2 billion RMB [10].