Sports Brands Resume Running Shoes Market Tebu Expects Net Profit To Rise By More Than 65% In Half A Year

?????? The recent half a year has witnessed the rapid recovery and accelerated development of sports brands. The publication date of the semiannual report in August has not yet arrived, and some brands have announced profits.

At the end of July 13, Tebu group announced that it is expected that the net profit of the group will increase by no less than 65% (not audited) in the six months ending June 30. In the same period last year, the net profit of Tebu was 248 million yuan, which is expected to exceed 400 million yuan this year.

Tebu attributed the increase of net profit mainly to three points: first, the replenishment orders of main brand agents increased, which had reduced the order volume in the first quarter due to inventory clearing due to epidemic situation; Second, online marketing should be strengthened to promote the growth of e-commerce business; Third, children's clothing business in product design, brand positioning and retail network management after restructuring, showing a good momentum of development.

In addition, Tebu also announced its operating performance: its retail sales increased by 30-35% in the second quarter and increased by 40-45% in half a year. The turnover of retail inventory has dropped to four months, returning to the level before the epidemic.

As of today's closing, the shares closed at HK $14.42 per share, with a market value of HK $37.9 billion. In half a year, Tebu's stock price has more than quadrupled. In July, the highest share price of TEB reached HK $16.32, which was around HK $3.50 at the beginning of the year.

　　 Capital is optimistic about industry development

In the first half of 2021, sporting goods track is generally favored by the capital, and the stock prices of sports brands in Hong Kong stock market are experiencing different degrees of increase. Under the background of the global "flood", a lot of hot money flows into the high-quality track in the stock market, while the domestic sporting goods track is less affected by the epidemic and has a fast recovery speed, so it is naturally favored by the capital. On June 15, Hillard capital entered the board with HK $1 billion.

In addition, the trend of "Guochao", the public's resumption of outdoor sports and the Xinjiang cotton incident are all changing the purchase choices of domestic consumers.

There is also a point, this year domestic footwear supply chain ushered in development opportunities. First of all, the epidemic situation in Southeast Asia is still uncontrollable in the past six months, and many orders from them have returned to China; Secondly, during last year's epidemic, all brands tried their best to de stock, which directly led to the shortage of goods this year. The boss of a OEM factory in Jinjiang told lazy bear sports that the order volume of the factory has risen sharply this year, and both Chinese and foreign sports brands are increasing their orders.

At the same time, Tebu is also focusing on the brand itself. Throughout the development of this half year, the marketing of racing shoes and Shaolin series has been successfully launched.

　　 The advantage of running is more and more obvious

According to the data of yuepao circle, in Xiamen marathon on April 11 this year, the 160x series running shoes of special step surpassed Nike for the first time with 51.03% wearing rate, becoming the first choice of elite athletes within 3 hours. This data is only 4.2% in 2019; On the next day's Olympic trials -- Xuzhou marathon, Peng Jianhua, Yang Shaohui and Dong Guojian won the top three, and went straight to the Tokyo Olympic Games. The audience will see the 160x pro in the Olympic marathon.

Running has always been the gene of stunt. Since 2007, it has sponsored more than 1000 marathons, and it is also the most sponsored domestic brand. In 2012, the "special runner" was set up to provide free experience services such as running posture correction, physical fitness test and running training for people who like running. So far, the number of "special runners" has exceeded 1 million. Even in 2020, when the epidemic situation led to the suspension of marathon, the "Chinese race" strategy jointly launched by Tebu and China Track and field association still issued a reward worth 1.63 million yuan.

In recent years, special step has been increasing investment in the research and development of running shoes. Since 2015, the proportion of investment in research and development of special step has been maintained at more than 2.4%, and the actual investment is increasing year by year. In 2018, Tebu set up a science laboratory X-lab, which is specially tailored for runners, and has established long-term cooperative relations with more than 3000 runners in China.

160x2.0 can be regarded as a phased achievement in the field of special step deep ploughing road running. In the latest selection of runner's world runner world, the world's leading running media, 160x 2.0 won the "editor's choice" and "popular choice" of spring 2021 running shoes.

　　 Strengthening ties with young people

Besides running shoes, special step is also speeding up the trend layout and strengthening the communication with young consumers.

At the big show in front of Shaolin Mountain Gate on May 15, Tebu released a new brand "xDNA", which was deeply bound with Shaolin IP and took the high-end trend product line. Tebu also said that xDNA currently has a strategic position in the Tebu brand and its products are recognized by consumers.

According to the data provided by Tebu, on May 15, the official flagship store's turnover exceeded 60 million yuan in three days, ranking the first in the sales volume of sports shoes and clothing industry in the same period. The number of members of the official flagship store increased by more than 2.3 times.

In July this year, Tebu cooperated with Lingyuan, one of the most popular virtual idols in station B, to jointly launch PV "youth is not daunting", opening up a new channel for carrying goods. According to the data of station B, Lingyuan has 2.89 million fans and won the honorary title of top 100 up director of station B for three consecutive years.

In addition to the above two factors, the net profit growth of special step and the profit contribution brought by the growth of children's plate can not be ignored. At present, special step has formed Shaolin children's series and hip-hop dance series has become two main styles. The style line of hip-hop dance originated from the strategic cooperation between the special step children and the national team of chuc youth hip-hop dance, and the establishment of BDS hip-hop competition, so as to explore and reserve more excellent youth talents for the Olympic Games. In its 2020 annual report, Tebu said it would continue to expand its children's business with caution in the future.

Tebu's semiannual report is expected to be released in mid to late August.