Core Viewpoint - The outdoor brand "Bershka," known as the "alternative to Arc'teryx," is entering the capital market amid a surge in demand for outdoor apparel as it transitions from a functional garment to a daily wear item. The company has shown impressive revenue growth but faces challenges that may hinder its ability to maintain this momentum in the capital market [1]. Financial Performance - Bershka's revenue has seen significant growth, achieving annual revenues of 378 million yuan, 908 million yuan, and 1.766 billion yuan from 2022 to 2024, marking a three-year consecutive increase. Net profits also rose from approximately 24.31 million yuan in 2022 to 283 million yuan in 2024 [2]. - The company's gross margin improved from 54.3% in 2022 to 59.6% in 2024, outperforming competitors such as Amer Sports and Toread [2]. - The net profit margin increased from 6.4% in 2022 to 16% in 2024, significantly higher than Amer Sports' 4.5% [2]. Revenue Drivers - The increase in profitability is attributed to a pricing strategy that enhanced gross margins and effective cost control. The gross margins for clothing, footwear, and accessories have all shown improvement during the reporting period [3]. - Online sales channels contributed significantly to revenue, accounting for approximately 80% of total income, with online sales reaching 331 million yuan, 752 million yuan, and 1.351 billion yuan from 2022 to 2024 [4]. Market Position and Challenges - Despite strong online growth, the company has only opened about 14 direct-operated stores, falling short of its goal of 500 stores within three years. The majority of its physical presence relies on franchise stores concentrated in first- and second-tier cities [4]. - Bershka's product portfolio is heavily reliant on its classic series, which generated 1.461 billion yuan in revenue in 2024, accounting for 82.7% of total revenue. Other product lines have not performed as well, with the Excelsior brand contributing only 1.9% of revenue [6]. R&D and Production Issues - The company has low R&D investment relative to its competitors, with R&D expenses growing from 13.6 million yuan to 31.5 million yuan from 2022 to 2024, but still below 10% of revenue compared to competitors like Anta [7]. - Bershka relies heavily on OEM manufacturers for production, with 81.2% of its apparel produced by third-party factories. This reliance has led to quality control issues, as evidenced by a high return rate of 8.7% in 2024, exceeding the industry average of 5% [8]. Future Outlook - The company aims to use funds from its IPO to enhance R&D capabilities, strengthen brand positioning, and improve sales channels. However, it has not indicated plans to establish its own manufacturing facilities [8]. - The involvement of major investors like Tencent, which acquired a 10.7% stake, may provide additional support, but the company must balance short-term sales growth with long-term brand value and innovation to succeed in the competitive outdoor apparel market [9].

Core Viewpoint - The article highlights the rapid growth of the Chinese outdoor brand, Berghaus, which has seen its revenue increase nearly fivefold over three years, positioning itself among the top three outdoor apparel brands in China, backed by significant investments from Tencent and Qiming Venture Partners. The company is preparing for an IPO. Group 1: Financial Performance - Revenue surged from 378 million yuan in 2022 to 1.766 billion yuan in 2024, indicating a substantial growth trajectory [1] - Net profit margin improved from 7.3% to 17.2% during the same period, showcasing enhanced profitability [1] - The compound annual growth rate (CAGR) of retail sales reached 127.4%, marking it as the fastest-growing high-performance outdoor brand in the domestic market [1]