Investment Rating - The investment rating for the company is "Buy" with a target price not specified [6] Core Insights - The company has experienced a mid-single-digit decline in retail sales for the third quarter ending September 30, 2025, with offline channels seeing a high single-digit decline, while e-commerce recorded a high single-digit growth [1] - The company has strengthened its brand through partnerships with the Chinese Olympic Committee and has showcased its products at various international sporting events, enhancing its visibility and cultural representation [2] - The company has expanded its instant retail capabilities by partnering with Meituan, allowing for a rapid delivery service across nearly a hundred cities, catering to diverse consumer needs [3] - The profit forecast for 2025-2027 remains unchanged, with expected revenues of 29.1 billion RMB, 30 billion RMB, and 31.1 billion RMB, and net profits of 2.5 billion RMB, 2.7 billion RMB, and 2.9 billion RMB respectively [4] Summary by Sections Retail Performance - As of September 30, 2025, the company had 6,132 sales points in China, with a net increase of 33 points from the previous quarter, despite a net decrease in retail points [1] Brand Development - The company has been appointed as the official sportswear partner for the Chinese Olympic Committee for the 2025-2028 period, showcasing its commitment to cultural representation and sportsmanship [2] Instant Retail Expansion - The company has launched its products on the Meituan platform, enhancing its distribution strategy and providing a quick delivery service to meet consumer demands [3] Financial Forecast - The company maintains its earnings forecast for 2025-2027, projecting steady revenue and profit growth [4]

Core Viewpoint - Li Ning's stock has seen a significant increase, with a nearly 6% rise, attributed to better-than-expected mid-term performance results [1] Financial Performance - Li Ning reported a revenue increase of 3.3% year-on-year to 14.817 billion yuan [1] - Gross profit was approximately 7.415 billion yuan, reflecting a year-on-year growth of 2.48% [1] - EBITDA was around 3.513 billion yuan, showing a 2% increase compared to the previous year [1] - Net profit reached approximately 1.737 billion yuan, with basic earnings per share at 67.43 cents [1] - The interim dividend declared was 33.59 cents per share [1] Market Expectations - Nomura noted that Li Ning's key performance indicators exceeded market expectations for the first half of the year [1] - Daiwa indicated that Li Ning's net profit margin was slightly better than their expectations, alleviating concerns regarding management's lowered guidance [1] Strategic Outlook - Dongwu Securities projected that Li Ning will continue to deepen its "single brand, multiple categories, and multi-channels" strategy in the second half of the year [1] - The company plans to enhance its professional sports resources through collaboration with the Chinese Olympic Committee [1] - Li Ning has restructured its internal organization to focus on a category-based business model, improving category management efficiency [1] - The company aims to expand into multiple categories such as table tennis, badminton, pickleball, tennis, and golf [1] - With a solid operational foundation and healthier channel inventory, Li Ning is expected to benefit from Olympic-themed marketing, potentially enhancing performance elasticity [1]

Core Viewpoint - Li Ning's stock has seen a significant increase, with a rise of nearly 6% and a current price of HKD 20.56, reflecting strong market performance following the release of its interim results [1] Financial Performance - Li Ning reported a revenue increase of 3.3% year-on-year to CNY 14.817 billion [1] - Gross profit reached approximately CNY 7.415 billion, marking a 2.48% year-on-year growth [1] - EBITDA was around CNY 3.513 billion, showing a 2% increase compared to the previous year [1] - Net profit stood at approximately CNY 1.737 billion, with basic earnings per share of CNY 0.6743 [1] - The interim dividend declared was CNY 0.3359 per share [1] Market Expectations - Nomura noted that Li Ning's key performance indicators exceeded market expectations for the first half of the year [1] - Daiwa indicated that Li Ning's net profit margin was slightly better than their forecast, alleviating concerns regarding management's lowered guidance [1] Strategic Outlook - Dongwu Securities projected that Li Ning will continue to deepen its "single brand, multiple categories, and multi-channel" strategy in the second half of the year [1] - The company plans to enhance its professional sports resources through collaboration with the Chinese Olympic Committee [1] - Li Ning has restructured its internal organization to focus on a category-based business model, aiming to improve category management efficiency [1] - The company is expanding into multiple categories such as table tennis, badminton, pickleball, tennis, and golf [1] - With a solid operational foundation and healthier channel inventory, Li Ning is expected to benefit from Olympic-themed marketing, potentially enhancing performance elasticity [1]

Core Viewpoint - Li Ning's mid-term performance exceeded market expectations, leading to a significant increase in stock price and positive analyst outlooks [1] Financial Performance - Revenue increased by 3.3% year-on-year to 14.817 billion yuan [1] - Gross profit was approximately 7.415 billion yuan, a year-on-year growth of 2.48% [1] - EBITDA was around 3.513 billion yuan, reflecting a 2% year-on-year increase [1] - Net profit reached approximately 1.737 billion yuan, with basic earnings per share of 67.43 cents [1] - Interim dividend declared at 33.59 cents per share [1] Analyst Insights - Nomura noted that Li Ning's key performance indicators for the first half of the year surpassed market expectations [1] - Daiwa indicated that Li Ning's net profit margin was slightly better than their forecast, alleviating concerns regarding management's lowered guidance [1] Strategic Outlook - Dongwu Securities projected that Li Ning will continue to deepen its "single brand, multi-category, multi-channel" strategy in the second half of the year [1] - The company plans to enhance its professional sports resources through collaboration with the Chinese Olympic Committee [1] - Li Ning has restructured its internal organization to focus on a category-based business model, improving category management efficiency [1] - The company aims to expand into multiple categories such as table tennis, badminton, pickleball, tennis, and golf [1] - With a solid operational foundation and healthier channel inventory, Li Ning is expected to benefit from Olympic-themed marketing, potentially enhancing performance elasticity [1]

Core Viewpoint - Li Ning Company Limited reported steady revenue growth for the first half of 2025, with a focus on solidifying its operational foundation and business development [2][4]. Financial Performance - The company's revenue reached 14.817 billion RMB, a 3.3% increase compared to 14.345 billion RMB in the same period of 2024 [2]. - Gross profit was 7.415 billion RMB, up 2.5% from 7.236 billion RMB year-on-year, with an overall gross margin of 50.0%, down 0.4 percentage points from 50.4% [2]. - Profit attributable to equity holders was 1.737 billion RMB, down from 1.952 billion RMB in the previous year, with a profit margin of 11.7% [2]. - Basic earnings per share were 0.6743 RMB, compared to 0.7580 RMB in the same period last year [2]. - The interim dividend declared was 0.3359 RMB per share, down from 0.3775 RMB in the previous year, with a payout ratio of 50% [2]. Cash Flow Management - Net cash generated from operating activities was 2.411 billion RMB, a decrease from 2.730 billion RMB in the previous year [3]. - As of June 30, 2025, cash and cash equivalents totaled 11.798 billion RMB, an increase of 4.299 billion RMB from December 31, 2024 [3]. - The total cash balance, including fixed deposits, was 19.190 billion RMB, a net increase of 1.050 billion RMB from the end of 2024 [3]. Operational Overview - The company continued to implement its "single brand, multi-category, multi-channel" strategy, focusing on product upgrades, brand marketing, and channel optimization [4]. - Li Ning signed a partnership with the Chinese Olympic Committee for the 2025-2028 period, enhancing its brand image as a supporter of Chinese sports [4]. - The company is focusing on six core categories: running, basketball, cross-training, badminton, table tennis, and sports leisure, while also exploring new segments like outdoor sports and tennis [4]. Channel Development - The company is enhancing its multi-dimensional channel network, with a total of 7,534 sales points as of June 30, 2025, a net decrease of 51 from December 31, 2024 [5]. - Retail operations are being optimized through improved market models and consumer engagement activities [5]. - The company is also focusing on digital upgrades in its new retail business to enhance operational efficiency [5]. E-commerce and Supply Chain - The company is maintaining a steady operational strategy in e-commerce, leveraging online and offline synergies to drive growth [6]. - Supply chain optimization is a priority, focusing on quality control, delivery assurance, cost optimization, and sustainability [6]. - The logistics system is being enhanced to improve efficiency and reduce costs, with the launch of a national logistics network [6]. Children's Wear Business - Li Ning YOUNG is making steady progress in product optimization, channel development, and brand marketing, with a total of 1,435 sales points as of June 30, 2025, a net decrease of 33 from December 31, 2024 [7]. Future Outlook - The company plans to continue executing its core strategy while enhancing product competitiveness and deepening cooperation with the Chinese Olympic Committee [8]. - Focus areas include improving business quality and efficiency across channels, products, and supply chains [9]. - The company aims to strengthen its foundation for growth through talent development, financial governance, and digital empowerment [9].

Group 1 - On Holding AG reported a 43% year-on-year increase in sales for Q1 2025, reaching 727 million Swiss francs, with a gross margin increase from 59.7% to 59.9% [1] - Net profit decreased by 38% year-on-year to 56.7 million Swiss francs [1] - The brand's multi-channel strategy contributed to sales exceeding expectations, with direct-to-consumer (DTC) sales at 276.9 million Swiss francs and wholesale sales at 449.7 million Swiss francs [1] Group 2 - The Americas remained the largest contributor to sales, with a 32.7% year-on-year increase to 437 million Swiss francs, although the sales proportion decreased by 4.7 percentage points to 60.2% [1] - Approximately 90% and 10% of footwear products are produced in Vietnam and Indonesia, respectively, while 65% of apparel and accessories are produced in Vietnam [1] - Sales in the U.S. accounted for 55% and 59% of total sales in Q1 2025 and Q1 2024, respectively [1] Group 3 - Sales in Europe, the Middle East, and Africa grew by 33.6% year-on-year to 169 million Swiss francs, representing about 23.2% of total sales [2] - The Asia-Pacific region saw a significant growth of 130.1% year-on-year, reaching 121 million Swiss francs, with a sales proportion increase of 6.3 percentage points to 16.6% [2] - China and Japan were highlighted as key markets driving strong sales growth, with On planning to exceed 100 stores in China by 2026 [2]

Investment Rating - The report maintains a "Buy" rating for the company, with a target price not specified [4]. Core Insights - The company is experiencing a steady recovery with improved sales performance, particularly in e-commerce, and is gradually emerging from a low operational period [3]. - The company focuses on enhancing operational efficiency by closing underperforming stores, resulting in a net decrease of 29 sales points in China [1]. - The company is pursuing a strategy of deepening core categories while expanding into new categories, with significant growth in running, basketball, and training segments [2]. Financial Projections - Revenue forecasts for 2025-2027 are projected at 29.5 billion RMB, 31.7 billion RMB, and 34.0 billion RMB respectively [3]. - Net profit estimates for the same period are 2.8 billion RMB, 3.0 billion RMB, and 3.2 billion RMB respectively [3]. - Earnings per share (EPS) are expected to be 1.09 RMB, 1.16 RMB, and 1.23 RMB for 2025-2027 [3]. Market Position - The company has a total market capitalization of approximately 39.29 billion HKD and a total share capital of 2,584.80 million shares [4]. - The asset-liability ratio stands at 26.90%, indicating a relatively low level of debt [4]. Sales Performance - The company reported a low single-digit growth in overall retail sales, with a 10%-20% increase in e-commerce sales [1]. - The running category saw a retail sales increase of 25% in 2024, leading the growth among core categories [2].