Li Ning’s performance in 2023 shows that the three core professional sports categories account for 64% of the total revenue.
In 2023, sportswear brand Li Ning released a performance report. The report shows that the group’s revenue increased by 7% year-on-year to 27.598 billion yuan; Gross profit increased by 6.9% year-on-year to 13.352 billion yuan, and the overall gross profit margin was 48.4%, which was consistent with the previous year. In addition, the profit attributable to equity holders of the Group was 3.187 billion yuan, the interest rate attributable to equity holders was 11.5%, and the net operating cash inflow increased by 19.8% year-on-year to 4.688 billion yuan.
Aspect 1: In terms of categories, the running water of the three core professional sports categories of basketball, running and fitness accounts for 64% of the total revenue, among which the running water and fitness water increased by 40% and 25% respectively, showing the important role and market growth potential of these three categories in Li Ning Group.
Aspect 2: In terms of sales channels, direct sales revenue has increased by 29%, and offline discounts have improved year-on-year. The annual wholesale flow achieved a low growth rate of 10%-20%, indicating that Li Ning maintained a stable performance in offline business.