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2020 — Anta Sports Products News Story

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China's ANTA Sports half-year revenue, profit rise 12.9%

China's ANTA Sports half-year revenue, profit rise 12.9%


Overview

  • China sportswear group's half-year revenue rose 12.9% yr/yr to RMB43.5 bln

  • Net income attributable to shareholders up 12.9% to RMB7.94 bln

  • Company says growth driven by steady development and higher investment in branding, channels, R&D


Outlook

  • Company did not provide specific guidance or outlook for the current quarter or full year


Result Drivers

  • INVESTMENT IN BRANDING AND CHANNELS - Co said increased spending on branding, sales channels, and product R&D supported revenue and profit growth

  • SEGMENT MARGIN VARIATION - FILA segment operating profit margin increased, while ANTA and other brands saw slight decreases

  • STEADY CASH GENERATION - Co reported stable cash inflow from operating activities and maintained a strong cash position


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

H1 Revenue

RMB 43.51 bln

H1 Net Income Attributable

RMB 7.94 bln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 32 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the apparel & accessories peer group is "buy"

  • Wall Street's median 12-month price target for ANTA Sports Products Ltd is HK$102.00, about 41.9% above its August 25 closing price of HK$71.90

  • The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 13 three months ago


Reuters Recommended Reads

  • Aug 25 - Sportswear maker Xtep International H1 revenue dips 0.6% as core brand weakens

  • Aug 24 - Elastic fabric maker Best Pacific's H1 revenue rises on sportswear demand

  • Aug 25 - China's EEKA Fashion H1 revenue falls on weak store sales


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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