Investment Rating - The investment rating for the company is "Buy" with a target price not specified [6] Core Views - The company reported a revenue of 14.8 billion RMB for H1 2025, representing a year-on-year increase of 3.3%, while the net profit attributable to shareholders was 1.7 billion RMB, a decrease of 11% [1] - The gross margin was 50%, slightly down year-on-year, and the net profit margin was 11.7%, down by 1.9 percentage points [1] - The company has successfully signed a partnership with the Chinese Olympic Committee and the Chinese sports delegation for the period of 2025-2028, focusing on the marketing theme "Chinese Glory, Li Ning Together" [1] Summary by Category Product Categories - Running category: Retail sales increased by 15%, accounting for 34% of total retail sales, with over 14 million pairs of professional running shoes sold [2] - Basketball category: Retail sales decreased by 20%, accounting for 17% of total retail sales, despite significant investment in new products [2] - Training category: Retail sales increased by 15%, accounting for 16% of total retail sales [2] - Sports leisure category: Retail sales decreased by 7%, accounting for 29% of total retail sales [2] - Others (including outdoor): Accounted for 4% of total retail sales [2] Sales Channels - Offline: Revenue from authorized dealers accounted for 46.5%, an increase of 0.5 percentage points year-on-year; direct sales accounted for 22.8%, a decrease of 1.6 percentage points [3] - Online: E-commerce revenue accounted for 29%, an increase of 1.1 percentage points year-on-year [3] Adjusted Profit Forecast - The profit forecast for 2025-2027 has been adjusted, with expected revenues of 29.1 billion RMB, 30 billion RMB, and 31.1 billion RMB respectively [4] - The net profit attributable to shareholders is expected to be 2.5 billion RMB, 2.7 billion RMB, and 2.9 billion RMB respectively [4] - The earnings per share (EPS) are projected to be 0.98 RMB, 1.06 RMB, and 1.14 RMB respectively [4]