Group 1: FILA Incident and Response - FILA issued an apology to consumers regarding an incident where a store employee in Zhengzhou improperly noted a customer's complaint about shoe prices in a member group chat [1] - The brand stated that the employee's actions violated their employee conduct guidelines and that they are in communication with the affected customer to resolve the issue [1] Group 2: Store Experience Upgrade - FILA is currently upgrading its store experience, with approximately 30% of its new V6 store format implemented in the first half of the year, leading to significant sales growth [2] - The brand opened its first FILA KIDS art museum store in May and launched a new FILA GOLF store format in August [2] Group 3: Market Pressure and Competitor Performance - Market pressures are evident, as Peak reported significant losses in its domestic direct sales segment, totaling over 130 million yuan from January to July [3] - Anta Sports reported low single-digit positive growth in retail sales for its brand products, while FILA also experienced low single-digit growth, indicating a stark contrast to previous years [3] - Li Ning reported a decline in retail sales, with a mid-single-digit decrease in the third quarter [3] Group 4: Importance of Service and Online Market - In the current market environment, enhancing service quality is crucial for FILA [4] - FILA has found growth in the online market, ranking first in the Tmall sales chart for sports and outdoor products during this year's Double Eleven shopping festival [4] Group 5: Need for Service System Restructuring - FILA may need to reorganize its offline service system to adapt to the changing market dynamics [5]

Summary of Anta Sports Conference Call Company Overview - **Company**: Anta Sports - **Industry**: Sportswear and Footwear Key Points Financial Performance and Projections - Anta Sports expects profit margins to improve year-on-year in the second half of 2025, benefiting from a low profit margin base in the second half of 2024 [2] - The brand's guidance for 2025 indicates high single-digit growth, with an EBITDA margin target of 20% and a net profit margin target of 25% [3] - The footwear segment is projected to account for approximately 44% of total revenue in 2024, significantly up from about 20% in 2021, driven by strategic deployments in FILA footwear products [2][7] Brand Performance - FILA's full-year guidance for 2025 is mid-single-digit growth, with confidence in achieving this target [5] - FILA KIDS and FILA Fusion sub-brands are growing faster than the main FILA brand, indicating a shift in consumer preference [6] - The average sales price (ASP) for FILA remains stable, with marketing investments primarily focused on celebrity endorsements and limited sponsorships in functional sports [9] Store Performance and Expansion - Anta's Champion stores achieve sales efficiency of over 500,000 to nearly 600,000 yuan, more than double the average for all Anta stores [2][10] - The SNEAKERVERSE concept stores have shown impressive performance, with sales efficiency exceeding 1.5 million yuan [10] - FILA currently operates around 2,000 stores in China, with plans to upgrade existing stores rather than expand into lower-tier cities [8] E-commerce and Online Sales - Anta's online business is expected to grow faster than offline sales, with good profitability despite lower gross margins due to frequent discounting [17] - The Douyin channel accounts for over 30% of Anta's e-commerce sales, benefiting from a strong offline store network [21] Strategic Acquisitions - Anta completed the acquisition of Jack Wolfskin in June 2025, with plans to enhance product offerings and brand promotion [22][23] - Jack Wolfskin's market size is approximately 300 million euros globally, with a significant contribution from the Chinese market [23] Market Trends and Competitive Advantages - The outdoor segment is expected to maintain double-digit growth in the coming years, with Anta's competitive advantages lying in its strong investment capabilities and operational efficiency [24][25] - Anta aims to balance online and offline channel investments, recognizing the importance of physical stores in brand sustainability [26] Future Plans - FILA plans to strengthen its apparel category and expand women's outdoor series to fill market gaps [19][20] - Descente and KOLON brands aim for approximately 10% annual store growth, with performance improvements from existing stores [27][29] Shareholder Returns - Anta Group maintains a stable dividend payout ratio of no less than 50% due to strong cash flow, with a completed share buyback of 2 billion yuan [30] Additional Insights - The basketball category faces challenges with recent growth performance, attributed to a lack of new iconic stars in the global basketball market [18] - The company is focused on enhancing the operational efficiency of Jack Wolfskin, particularly in the Chinese market, while also addressing brand perception issues [24]