Quanzhou Sporting Goods Company Seeks A New Direction Of Development

Accompany

Interim report released in Quanzhou

The company's semi annual report was released.

From the point of view of operating income, after several years of adjustment in industry, the gap between several companies is widening further and gradually forming a unique pattern of Anta.

Faced with the ups and down of capital market, spring enterprises are actively changing, looking for a new round of development direction.

Anta, which has entered the 10 billion club, has been sitting on the oligopoly of the domestic industry, leaving its competitors far behind.

In the first half of 2016, Anta's revenue reached 6 billion 140 million yuan, up 20.2% over the same period last year.

In the same period, the sales revenue of second in the same period was 2 billion 556 million yuan, accounting for only 41.6% of Anta's revenue, followed by XTEP, operating income of 2 billion 535 million yuan, accounting for only 41.2% of Anta's revenue.

PEAK and noble bird's business income is in the 1 billion level, PEAK's revenue is 1 billion 298 million yuan, and the revenue of the birds is 1 billion 18 million yuan.

From the point of view of profitability, Anta is "riding a dust bowl" regardless of net profit absolute value or increase.

In the first half of this year, the net profit of Anta was 1 billion 130 million yuan, an increase of 17% over the same period last year. The net profit of XTEP, 31st, PEAK, and noble birds were 380 million, 273 million, 169 million and 157 million respectively, and the sum of four net profits was less than that of Anta.

Anta, XTEP and XTEP maintained double growth in operating income and net profit in the first half of the year.

PEAK suffered a double drop in revenue and net profit: its operating income fell 6% from a year earlier and a net profit of 3.8%.

In the first half of this year, the income of the precious birds was barely equal to that of last year, but net profit fell by 9.9%.

And the brand growth is the only increase. The revenue growth last year was only 5.7%, and the growth rate reached 15.72% in the first half of this year.

Although XTEP has maintained growth, its growth rate has declined: XTEP's revenue grew 12% last year, and its revenue grew by 6% in the first half of this year, and its growth rate dropped by half.

Industrial pattern fission

The industrial crisis started in 2012 not only made Chinese sports brands lose their performance and profits, but also brought them to a closed shop.

In the first half of this year, Anta and Lining resumed expansion in the first half of this year, while XTEP and 31st are still shrinking.

The closure of terminal retail also reflects the current situation of enterprises' well-being.

After the rise in performance, Anta restarted its expansion.

As of June 30, 2016, there were 8510 Anta stores (including Anta children's independent stores), including 687 FILA stores (including FILAKIDS independent stores), 23 more and 96 more than the end of last year.

Anta said that in the second half of the year, Anta will continue to adopt a sound expansion strategy. It is expected that by the end of 2016, Anta stores (including Anta children's independent stores) will be 8600 to 8700, FILA stores (including FILAKIDS independent stores) are 700 to 750, and DESCENTE stores are 5 to 10.

XTEP closed 200 stores in the first half of the year.

XTEP said it would focus on the same store growth and inventory in the future, instead of adding branches, instead of closing the poorer shops, and the group's total shops will remain between 6800 and 7000.

It also closed 355 stores in the first half of the year, leaving 6853.

The decline of net profit fell by 354 birds and 202 new businesses, now 4313.

PEAK has added two stores to 6001.

Overseas markets thrive

While local and international sports brands compete for competition in the domestic sports market, the overseas market is becoming a blue ocean.

In the Rio street during the Olympic Games, we can see "walking distance of 360 degrees" everywhere.

Before the three Olympic Games, the official sponsor of the sports equipment category of the organizing committee was Adidas company.

This time, instead of being the official support of Rio Olympic Games, it was responsible for providing clothing for volunteers, technicians, medical staff and event service personnel.

The process of overseas expansion is also accelerating. As of June 30th this year, 31st degree has 908, 180 and 52 outlets in Brazil, the United States and Europe respectively.

In the first half of this year, the sales growth of overseas business increased more than doubled, amounting to 45 million 200 thousand yuan, accounting for about 1.7% of the total business volume of the group.

In the next three to five years, it will vigorously invest in the rapid development of overseas business, and international business will increasingly become an important source of revenue contribution.

PEAK, which sponsors sports teams from 12 countries, is still growing steadily despite the unsatisfactory domestic market performance.

In the first half of this year, PEAK's turnover from overseas markets reached 296 million, contributing 22.8% of its revenue, up 12.5% from last year.

Geographically, Asia, Europe and Africa achieved sales growth, of which the Asian market grew the most, up 67.3% over the same period last year.

PEAK said that more distributors were introduced in the first half of the year, and more stores were opened in UAE, Pakistan, Kuwait, Thailand and Philippines.

North America, South America and Oceania declined, with North America falling the most, from 54 million in the same period last year to 12 million 400 thousand, down 77%, due to the reduction of distributors.

XTEP's overseas layout has spread to the Middle East, Southeast Asia and Europe, but the proportion of XTEP's overall revenue is still very small.

XTEP pointed out in its semi annual report that it is believed that expanding overseas market business can enhance XTEP's global exposure rate, enhance brand value and expand revenue sources.

Extension of brand thickness and breadth

Anta, which has gained a large number of consumers from high cost performance, can no longer rely on Anta alone to become a 100 billion company.

This year, Anta has established the strategy of "single focus, multi brand and all channels".

Anta group currently owns Anta, Anta children, FILA, FILAKIDS and NBA brands. The multi brand strategy achieves the synergistic complementarity effect through the precise positioning of different brands to the corresponding people.

Anta brand president told the media that in order to achieve the two brands' revenue surpassing, relying solely on Anta's single brand, it needs more brand participation.

Positioning the mass market and cost-effective Anta brand has always been the core of Anta, and its contribution to the group is 80%.

The company's FILA brand is positioned in the high-end sports and fashion market. FILA accounts for about 20% of its current revenue and is expected to increase to 30% by 2020.

This year, Anta also introduced the Japanese outdoor brand Desanto, aiming at targeting high-end professional sports market, including "skiing", "comprehensive training", "running" and other categories.

In August, it opened its first branch store in Changchun. It is expected that the number of branches will reach 5 to 10 this year.

Desanto will focus on opening stores in the northeast region, and then expand to Beijing and Shanghai. The gross profit margin of Desanto products will exceed 50%.

And the main business of plain birds has been looking for opportunities for extension.

In the first half of this year, your investment in foreign investment was frequent.

The second phase sports industry fund competition domain has been established jointly by the O2O and the tiger. The competition domain will continue to focus on investing in China's sports industry in the fields of O2O sports operation, sports training and personal fitness service, intelligent equipment, sports network media and community platform.