Anta, Which Made 4 Billion 100 Million Net Profit Last Year, Will Enter The 30 Billion Revenue Club This Year. Its FILA Average Store Efficiency Is 800 Thousand / Month.

The Anta Sports Products Limited (hereinafter referred to as "Anta sports") issued a profit notice at noon today (December 6th). The company's shareholders in the 2019 financial year should make profits (the following is a comprehensive benchmark) and will grow by no less than 45% a year.

The data released by the first textile network showed that Anta sports realized a profit of 24 billion 100 million yuan (the same below) in the year ended December 31, 2018, an increase of 44.4% compared to the same period last year, a gross profit of 12 billion 687 million yuan, an increase of 54% over the same period last year, an operating profit of 5 billion 700 million yuan, an increase of 42.9% over the same period last year, a profit of 4 billion 103 million yuan for shareholders, an increase of 32.9% over the same period last year, a 152.82 per cent of basic earnings per share, and a share of 28 cents per share at the end of the year.

At that time, Anta sports said that the three indexes of the group's earnings, operating profits and shareholders' profits were not only high, but also maintained double-digit growth for five consecutive years.

Anta sports explained today that compared with the previous fiscal year, sales of Anta and other brands continued to grow strongly in the 2019 fiscal year, increasing revenue by more than 35%. At the same time, as the contribution of retail business increased, and the ratio of operating expenses (percentage of earnings) was relatively stable, the operating interest rate of Anta sports increased in the 2019 fiscal year compared with the same period last year.

In the earnings forecast, the loss of MascotJVCo (Cayman) Limited of Anta sports joint venture was not counted. If the relevant losses are considered, Anta sports predicts that the profit increase of shareholders in the 2019 fiscal year will be no less than 30%.

According to the insiders, the sportswear and footwear market is one of the few apparel industries with large scale, high growth and high concentration. It is also a key link in the sports industry chain. In 2018, the scale of China's sportswear market was 264 billion 800 million yuan, and it was CAGR=10% in the past ten years. China's sports market has experienced three stages of development, and it continues to boom and grow. And since 2012, leading the whole industry to complete the retail reform, FILA has become a new growth pole of the group, and to start the international acquisition of AmerSports. Anta has shown its foresight and action as a leader in the sports industry.

First textile network reporter noted that Anta sports released the three quarter business data showed that Anta's main brand retail sales grew by 10%-20%, while FILA brand retail sales increased by 50%-55%, while other brands (excluding AmerSports) achieved 30-35% growth.

Liu Chang, a securities analyst in Dongxing, thought that the three quarter Anta sports brands had good operating data and exhibited the brand of the sports brand. Under the pressure of the entire apparel industry, Anta sports has maintained a high growth rate of retail sales in the three quarter: Anta's main brand retail sales grew by 10%-20% in the middle period, faster than that in the first half of the year. FILA brand is still facing a high growth rate of over 90% in the three quarter of 2018, and still has a super retail growth rate of 50%. In the three quarter alone, Anta's main brand store sales ratio was 4-5, and the FILA brand library sales ratio was 5-6, showing the channel health stock situation. The two major brands maintained a good retail discount through long term operation, and 28% off and 20 percent off respectively in the three quarter. Anta sports first implemented the retail oriented development mode, of which the FILA brand adopted the full direct camp mode. The average store effect was 800 thousand / month at present, and even exceeded the international first-line brand in terms of channel rate, showing Anta's demeanour as the sports brand king.

In Liu Chang's view, the core points of Anta sports lie in several aspects: benefit from the excellent stability of channels and supply chain management capabilities.

1, brand quality. In recent years, the main brand of Anta sports has been promoted by product promotion and new marketing in recent years. It has established an obvious brand advantage in domestic brands. The merger and acquisition brand (including FILA) is characterized by its brand quality but poor operation before merger. Anta is able to empower the brand management and renew brand vitality.

2, product progress. Anta sports has invested a lot in research and development in recent years, especially in sports shoes, especially in basketball shoes. Its technological progress is obvious, and the recognition of KT series shoes is promoted by generation.

3, the channel supply chain barrier is more and more profound. Anta sports first implements the retail oriented development mode in the industry. The channel efficiency is obvious in the industry. The company's multi brand strategy accumulates a number of high quality suppliers, and the company continues to invest in production and research and development, so that the quality and efficiency of the supply chain are improved.

Feng Zhongguang, a researcher at CITIC Securities, also pointed out that the brand line of Anta sports includes the whole income segment and different subdivision categories, from outdoor fashion to leisure fitness to sports fashion, and is committed to building the whole sports ecosystem. FILA is a fast growing sports fashion brand in recent years, leading the fashion trend of mass sports. The two brands of Sprandi and DESCENTE focus on leisure fitness and outdoor activities, and are accelerating the opening of the Chinese market. KOLON brand to fill high-end fashion outdoor product line, KINGKOW and Anta children's product line complement each other, improve the layout of children's sports. At present, the main brand Anta and FILA are the main brands of profit. Other sub brands are accelerating the opening of the Chinese market, adapting to the rapid growth of sports consumption, and having huge room for growth in the future. Anta will have a larger market share as a rising brand of domestic products.

Liu Chang, a former analyst at Dongxing securities analyst, predicts that the development of Anta sports will be vast by multi brand strategy. It is estimated that Anta sports revenue will reach 30 billion 824 million yuan, 38 billion 111 million yuan and 45 billion 226 million yuan in the 2019-2021 year, and net profit of 5 billion 629 million yuan, 7 billion 218 million yuan and 8 billion 671 million yuan respectively.