Anta's profit in the first half decreased by nearly 20%

In the first half of this year, ANTA's performance was still not satisfactory. Yesterday, Anta Sports announced on the Hong Kong Stock Exchange that its first-year transcripts showed that as of the end of June this year, its half-year net profit was 626 million yuan, down 18.7%, and the interim dividend was 19 Hong Kong dollars, down 17.4%. Anta board member ** Ding Shizhong said in the mid-year report that sporting goods brands generally solve the problem of excess inventory through sharp discounts, and the competition in the sporting goods industry has further intensified.

Data show that due to fierce competition and market inventory degradation activities, the total turnover was 3.367 billion yuan, down 14.4%, of which the footwear turnover was 1.692 billion yuan, down 12.6%, and the apparel turnover was 1.549 billion yuan, down 16.7 million. %. The overall gross profit was 1.384 billion yuan, down 15.8%. Gross profit fell 0.7% to 41.1%.

According to industry insiders, the sporting goods industry has faced the challenges posed by excess inventory and excessive expansion of retail channels in the past few years. Each brand takes action to deal with these issues, including reducing future orders, closing stores, clearing inventory, and reforming retail channels. In terms of inventory, Ding Shizhong stated that on the one hand, by controlling the number of orders, on the other hand, e-commerce channels, factory stores, and discount stores were used to assist in cleaning off season stocks. In addition, closing down less efficient stores and improving the store's image has become one of its means. The data shows that as the cost of sales decreased, Anta's average inventory turnover days continued to increase, increasing from 8 to 58 days. In the first half of the year, there were 241 Anta affiliated stores. As of the end of June, there were a total of 7,834 professional sports equipment stores and sports life stores in Anta.