361 Degrees International (1361) H1 2026 earnings summary

Executive summary

• Revenue for 1H 2026 reached RMB6,159.8 million, up 8% year-over-year, with profit attributable to equity holders rising 8% to RMB925.9 million and EPS up 7% to RMB44.4 cents.

• Gross profit increased 8.7% to RMB2,572.9 million, with gross margin improving by 0.3 percentage points to 41.8%.

• Net cash generated from operating activities rose 17% year-over-year to RMB612 million.

• Interim dividend declared at HK22.2 cents per share, maintaining a 45% payout ratio.

• Omnichannel integration and international expansion drove robust growth, with overseas retail sales up over 80% and cross-border e-commerce sales up over 140% year-over-year.

Financial highlights

• Operating profit grew 5.6% year-over-year to RMB1,200.9 million.

• E-commerce revenue increased 9.5% to RMB1.99 billion, accounting for 32.3% of total revenue.

• Kids segment revenue rose 6.8% to RMB1.35 billion, representing 21.9% of total revenue.

• Net asset value per share rose to RMB5.5; net cash per share up 20% to RMB2.4.

• Inventory turnover days improved by 15 days to 102.

Outlook and guidance

• The Group will focus on technological innovation, brand building, and expanding its multi-category sports product ecosystem.

• Plans include further omnichannel upgrades, global market expansion, and increased R&D investment, especially in eco-friendly materials and green production.

• The sports industry in China is expected to continue its structural upgrade, with policy support and rising health awareness fueling long-term growth.