Anta Takes The Lead In Getting Out Of The Industry Downturn

　　 Anta Sports ("Anta" or "company") increased the number of orders for orders in the two quarter of 2014, and increased the number of units per year compared with the two quarter. Retail sales in the same store remained stable for three consecutive years, and inventory levels did not deteriorate further. Based on the above reasons, we increase the sales growth of 2014-2015E to 10.2%/15.2%.

However, due to the poor climate conditions, which affected the sale of autumn products, the contribution rate and the retail discount rate were lower than the first half. Therefore, we maintain the gross profit margin of 2013-2015E to predict 40.4%/40.9%/41.1%. It is concluded that 2013-2015E's basic earnings per share are 0.49/0.54/0.60 yuan. According to the 2014 EPS, the company's 5 year average price earnings ratio 16.5x, the first to go out of the industry downturn to give 20% industry premium, the 1 year target price is HK $13.47, which is equivalent to the P / E ratio of 19.8x.

Orders for two consecutive quarters were year-on-year. Orders for Growth Company in the second quarter of 2014 (calculated at wholesale prices) increased year-on-year for the high number of units, continuing the first quarter growth trend. Although the domestic sporting goods industry is still fiercely competitive, inventory clearance is still not at an ideal level. Through improving the management of retail channels and the differentiation of brands and products, the company has effectively improved the profitability of retailers, thereby enhancing their sales confidence. The positive growth of orders in the two quarters of a row can generally assume that the company has come out of its low performance.

　　 Retail terminal Sales remained stable, and the same store sales in the third quarter of 2013 did not increase. The three quarter is the season for the autumn sale of the company's products. But due to the warmer climate than expected, the three quarter's sales have not reached the ideal level, and the sales rate has only reached 70%.

In addition, the average retail discount rate in the three quarter was 65-68 fold, lower than the two quarter level, thereby helping retail terminal product sales. Because the sales of products in the three quarter are generally normal, the retailer's ratio is not high, far below the level of 10% in the first half of 2013.

For the four consecutive year, it became the most expensive sports goods brand in China for four consecutive years. It was selected by the leading international comprehensive brand strategy consultant Interbrand, "the 2013 best China" in four years. Brand value Ranking list. According to the ranking figures, Anta has won the twenty-fourth place with the brand value of 7 billion 37 million yuan, but other sports products in the leading industry become the most valuable Chinese sporting goods brand, reflecting the market's recognition of Anta products and brands.