Core Viewpoint - The Hong Kong stock market has been recovering since 2025, leading to a resurgence for domestic sports brands, with notable stock price increases for companies like Anta, Xtep, 361 Degrees, and Li Ning, although challenges remain in consumer spending and industry competition [1] Financial Performance - Anta continues to dominate the market, with a revenue of 38.54 billion RMB in the first half of the year, approximately 1.4 times that of Li Ning, Xtep, and 361 Degrees combined; its net profit reached 7 billion RMB, more than double that of the other three brands combined [3][4] - Among the four brands, Anta had the highest revenue growth rate at 14.26%, although its net profit saw a nearly 9% decline; when excluding certain gains, its net profit increased by 14.5% year-on-year [4][5] - Xtep was the only company to report a revenue decline of about 5%, but its net profit growth was the highest at 21.47%, attributed to the exclusion of losses from divested brands and strong performance from its main brand [5][6] - Li Ning lagged behind with a revenue growth of only 3.29% and a significant net profit decline of over 10%, impacted by a drop in retail channel performance [6][7] - 361 Degrees showed balanced performance with a revenue growth of 10% and a net profit increase of over 8% [7] Stock Performance - The stock price increases for the four companies varied significantly, with 361 Degrees leading at nearly 50%, followed by Anta with over 20%, while Xtep and Li Ning had increases of 16% and 14%, respectively [8][9] Strategic Directions - Anta is focused on strategic acquisitions to enhance its multi-brand matrix, believing that a differentiated brand portfolio is key to sustained growth [17] - Li Ning aims to maintain a cautious approach while solidifying its business foundation and capturing structural opportunities in the market [18] - 361 Degrees is encouraging the opening of larger stores and upgrading to the latest store formats, focusing on a multi-category product ecosystem [19] - Xtep is strategically concentrating on the running segment to solidify its position as a leading brand in this category, enhancing its brand influence and market share [20]