361 Degrees International (1361) H2 2024 earnings summary

Executive summary

• Achieved 19.6% year-over-year revenue growth to RMB10.07 billion for 2024, driven by strong performance in kids' and e-commerce segments.

• Profit attributable to equity shareholders rose 19.5% to RMB1.15 billion, with a 45% dividend payout ratio.

• Maintained a leading position in China's sportswear industry, leveraging technology-driven innovation and ESG principles.

Financial highlights

• Gross profit increased 20.8% to RMB4.18 billion, with a gross margin of 41.5%.

• Operating profit rose 13.9% to RMB1.58 billion; operating margin slightly decreased to 15.6%.

• Basic EPS up 19.5% to RMB0.556.

• Annual dividend per share increased 29.9% to HK$26.5 cents.

• E-commerce revenue grew 12.2% to RMB2.61 billion; kids' segment revenue up 19.5% to RMB2.34 billion.

Outlook and guidance

• Industry outlook remains positive, supported by favorable policies, rising sports culture, and growing demand for high-performance products.

• Children's wear and niche sports categories expected to drive future growth and global expansion.