Core Insights - The company reported a revenue of 14.82 billion yuan for the first half of 2025, representing a year-on-year growth of 3.3% [1] - Gross profit reached 7.41 billion yuan, with a gross margin of 50.0%, while net profit was 1.74 billion yuan, yielding a net margin of 11.7% [1] - The company has become the official partner of the Chinese Olympic Committee and the Chinese sports delegation for 2025-2028, launching a marketing campaign titled "China Glory, Li Ning Together" across over 5,200 stores nationwide [1] Financial Performance - Revenue for the first half of 2025 was 14.82 billion yuan, up 3.3% year-on-year [1] - Gross profit was 7.41 billion yuan, with a gross margin of 50.0%, and net profit was 1.74 billion yuan, with a net margin of 11.7% [1] - R&D investment increased by 8.7% year-on-year, with cumulative R&D investment exceeding 3.8 billion yuan over the past decade [1] Product Development - The company focuses on six core categories, including running and basketball, while expanding into new areas like outdoor and tennis [2] - Retail sales in the running category grew by 15%, with over 14 million pairs of professional running shoes sold [2] - The company launched new products utilizing advanced technologies, such as "Ultra Light" and "Aerospace Dry" [1][2] Operational Efficiency - As of June 30, 2025, the company operated 7,534 stores, maintaining a healthy inventory turnover with an inventory turnover period of 61 days [2] - E-commerce direct sales experienced high double-digit growth, while Li Ning Young's offline retail sales grew by 10%-20% [2] - The company has optimized its supply chain, expanding flexible supply capabilities and completing its national logistics network [2] Future Outlook - The company plans to adhere to a "single brand, multi-category, multi-channel" strategy, focusing on product competitiveness and the effectiveness of its Olympic Committee partnership [2] - The company aims to drive long-term sustainable growth through steady operations in the second half of 2025 [2]

Core Insights - Li Ning Company reported a revenue of 14.82 billion yuan for the first half of 2025, representing a year-on-year increase of 3.3% [1] - The gross profit reached 7.41 billion yuan, with a gross margin of 50.0%, while net profit was 1.74 billion yuan, yielding a net margin of 11.7% [1] - The company maintains strong cash flow and healthy inventory levels, laying a solid foundation for sustainable growth [1] Strategic Focus - The company continues to implement its "single brand, multiple categories, and multiple channels" strategy, emphasizing professional sports and enhancing its operational foundation [1] - Li Ning has become the official partner of the Chinese Olympic Committee and the Chinese sports delegation for 2025-2028, launching the "China Glory, Li Ning Together" marketing campaign across over 5,200 stores [2] R&D and Product Development - R&D investment increased by 8.7% year-on-year, with cumulative investment exceeding 3.8 billion yuan over the past decade [4] - Professional product revenue now accounts for over 60% of total revenue, with footwear representing 56% [4] - New technologies, such as "Aerospace Quick-Dry" and "Aerospace Sun Protection," have been successfully integrated into products, receiving positive market feedback [4] Category Performance - The company focuses on six core categories: running, basketball, cross-training, badminton, table tennis, and sports leisure, with running, basketball, and cross-training accounting for 67% of retail sales [6] - Running category sales grew by 15%, with over 14 million pairs of running shoes sold, and Li Ning shoes achieved a 61.35% market share among runners completing the Beijing Half Marathon in under 90 minutes [6] - Basketball products leverage star athlete endorsements and innovative designs, with Li Ning signing Yang Hansheng, a notable player in the NBA draft [8] Operational Efficiency - Li Ning has optimized its channel structure, inventory management, and e-commerce operations, maintaining a healthy inventory turnover of 61 days and a stock-to-sales ratio of four months [12][14] - E-commerce performance has improved, with online direct sales showing high single-digit growth, contributing significantly to overall business growth [16] - The company has made significant advancements in supply chain optimization, focusing on quality control, delivery assurance, and cost optimization [18] Future Outlook - Li Ning plans to continue its core strategy of "single brand, multiple categories, and multiple channels," aiming for long-term sustainable growth through product competitiveness and operational efficiency [18]