Electricity Supplier Sales Rose 185% 361 Degrees In The First Half Of Turnover Exceeding 3 Billion

August 23rd, local sports brand

Released interim results for fiscal year 2018.

Benefit from the electricity supplier and

In the six months ended June 30th, the operating income of 361 degrees increased 7.8% to 3 billion 17 million yuan, and net profit rose 5.3% to 335 million yuan, but gross profit margin dropped 0.7 percentage points to 41.6%.

Public information shows that the Huafeng shoe factory, which grew up in Jinjiang's family workshop in 1983, is the earliest precursor of 361.

Since then, shoe factories began to produce sports shoes, and in 2003 the company changed its name to 361, and was listed in Hongkong in June 2009.

At present, the group has 361 main brands, 361 children's clothes and three mature brands of ONE WAY, aiming at different segments of the domestic mass market, children's sports and high-end outdoor sports market.

Since its launch in 2010, 361 children's wear has been operated by an independent business unit.

Its products are located at medium and low prices, mainly for the 3 to 12 year old age group, which has become a new growth point of group performance in the past two years.

The latest report shows that sales of children's clothing increased by 18.8% to 364 million yuan over the same period, accounting for 12.1% of the group's total sales.

361 degrees,

Sales growth momentum remained strong.

The overall contribution rate of 361 core brands, overseas and e-commerce businesses is as high as 86.6%.

According to the category, the income of the three core products, footwear, clothing and accessories products has increased, representing an increase of 4%, 8% and 38% respectively.

Among them, the proportion of footwear sales accounted for 46.8% of total sales decreased from 45.2% in the same period last year to 45.2%, while the proportion of clothing sales remained at 40.1%

Channel, e-commerce business is a major highlight.

During the period, the sales of 361 degree electricity suppliers increased by 185.5% to 329 million yuan, accounting for 10.9% of the total sales.

In the same period last year, the proportion was only 4.1%.

The group said it would optimize sales outlets in the second half of the year, continue to develop e-commerce business, and strengthen cooperation with major e-commerce platforms.

As of June 30, 2018, a total of 5604 brand stores were owned at 361 degrees, of which about 80% were independent street shops.

Compared to 5808 at the end of 2017, the number of stores decreased by more than 200 in the past six months.

In the region, about 73.3% of the stores are located in three or less cities, and 8% and 18.7% stores are located in the first tier and second tier cities respectively.

In the overseas market, the income in the Middle East was unstable. In the first half of the year, international income fell 30.2% to 45 million 500 thousand yuan, occupying only 1.5% of the total turnover. Although the overseas market has been expanding continuously for many years, its international business share is still at a low level.

By the end of June, 361 degrees had 1316, 986, 518 and 68 stores in Brazil, the United States, Europe and Taiwan respectively.

During the period, 361 degrees officially entered the Australian market. On the eve of the Asian Games in August this year, it announced that it would continue to enter the Indonesian market.

In the first half of the year,

The proportion of advertising expenditure in turnover increased from 7.7% in the same period last year to 8.7%.

In March this year, the brand had announced cooperation in resources and product development.

Enter into the electricity market, sell and operate, and sign the QG team.

In addition, as a sponsor of the Jakarta Asian Games, the 361 degree Asian Games marketing input also promoted the advertising cost.

In addition, R & D expenditure accounted for 3.6% of the turnover, up 0.7 percentage points from the same period last year.

According to the financial report, as the group strengthens the research and development of professional sports products and promotes the differentiation of products, it is expected that R & D expenditure will continue to improve.

On the day of the earnings announcement, the 361 degree share price rose more than 3%, and the total market value is about HK $4 billion 652 million.

Not long ago, local sports brands Anta, Lining and XTEP released their interim results.

In the first half of 2018, Anta's revenue reached RMB 10 billion 550 million, an increase of 44.1% over the same period, the highest medium term gain since its listing in Hongkong in 11 years.

Lining's revenue grew 17.9% to 4 billion 713 million yuan, while XTEP grew 18.1% to 2 billion 729 million yuan.