ANTA Sports Products (2020) H2 2024 earnings summary

Executive summary

• Achieved record performance in 2024 with high-quality growth, expanded market share, and became number one in China by market share.

• Maintained high operating efficiency and enhanced shareholder returns.

• Navigated a volatile consumer market through a multi-brand strategy, driving double-digit revenue growth and strong cash generation.

• Revenue reached RMB 70.83 billion, up 13.6% year-on-year, with profit attributable to equity shareholders (excluding Amer Sports gains) at RMB 11.93 billion, up 16.5%.

• Free cash inflow was RMB 13.5 billion; payout ratio of profit attributable to equity shareholders was 51.4%.

Financial highlights

• Total revenue reached RMB 70.83 billion, up 13.6% year-on-year, surpassing RMB 70 billion for the first time.

• Gross profit rose 12.8% to RMB 44.03 billion; gross profit margin was 62.2%, down 0.4 percentage points.

• Operating profit increased 8.0% to RMB 16.60 billion; operating profit margin was 23.4%, down 1.2 percentage points.

• Free cash flow was RMB 13.5 billion; cash at period end was RMB 52 billion, with net cash of RMB 31.4 billion.

• Final dividend HKD 1.18, total annual dividend HKD 1.23, up 20% year-on-year; dividend payout ratio at 51.4%.

Outlook and guidance

• Expects continued steady growth in the global sports industry and sportswear sector.

• Plans to focus on brand breakthroughs for ANTA and high-quality development for FILA in 2025.

• Aims to replicate China’s successful brand-led retail strategy overseas and increase international sales.

• Will continue to invest in digitalization, sustainability, and supply chain innovation.

• Store targets by end-2025: ANTA 6,900–7,000; ANTA KIDS 2,600–2,700; FILA/FILA KIDS/FUSION 2,100–2,200; DESCENTE 260–270; KOLON SPORT 190–200.