Investment Rating - The report maintains a "Buy" rating for the company [1][10] Core Insights - The company's total revenue for H1 2025 reached 6.84 billion RMB, representing a year-on-year increase of 7.1%, with the main brand revenue growing by 4.5% and professional sports revenue increasing by 32.5% [4][6] - The net profit attributable to shareholders was 910 million RMB, up 21.5% year-on-year, with a net profit margin of 13.4%, an increase of 1.6 percentage points compared to the same period last year [4][6] - The company has a strong cash position, with net cash increasing by 94.3% to 1.913 billion RMB, indicating stable overall operations [6][9] Financial Performance - The main brand's revenue reached 6.05 billion RMB, accounting for 88.5% of total revenue, while professional sports revenue was 785 million RMB, making up 11.5% [6] - The overall gross margin was 45%, slightly down by 0.1 percentage points year-on-year, while the net profit margin improved by 1.6 percentage points [6][9] - The company’s operating profit margin for the professional sports segment significantly improved by 6.1 percentage points to 10% [6] Market Position and Strategy - As of H1 2025, the company operated 6,360 adult stores and 1,564 youth stores, with a focus on upgrading store images and expanding into shopping centers and outlet channels [9] - The company is strategically focusing on the running sector, increasing R&D investments, and building a leading running ecosystem to strengthen its market position as China's top running brand [9] Earnings Forecast - The company is projected to achieve revenues of 14.48 billion RMB, 15.61 billion RMB, and 16.85 billion RMB for 2025, 2026, and 2027 respectively, with net profits of 1.39 billion RMB, 1.54 billion RMB, and 1.70 billion RMB [8][10]
特步国际（01368）：主品牌表现稳健，专业运动增长亮眼