Anta Sports Reports 62.6% Surge in Interim Profit Driven by Olympic Sales
Anta Sports Products achieved remarkable financial success in the first half of 2024, with a noteworthy net profit increase of 62.6 percent, amounting to 7.7 billion yuan (approximately US$1.08 billion). This surpasses the analyst consensus forecast compiled by S&P Capital IQ, highlighting the company’s robust market performance. Sales figures also demonstrated significant growth, reaching 33.7 billion yuan, marking a 13.8 percent rise from the previous year’s comparable period, according to the company based in Jinjiang, Fujian Province.
The surge in profitability is largely attributed to the successful launch of the ‘Champions Dragon Outfit’, the Olympic uniforms designed for Chinese athletes competing at the Paris 2024 Summer Olympics. Anta stated in their earnings report that the Olympic event acted as a catalyst for the sportswear industry, fostering increased public enthusiasm and participation in sports. The company emphasized that supportive governmental policies, a growing awareness of health and fitness, and heightened engagement in sporting activities are expected to sustain the favorable trends within both the Chinese economy and the sportswear sector.
The ‘Champions Dragon Outfit’, characterized by its unique embossing, patchwork, and embroidery representing dragon scales, was donned by every Chinese medallist at the Olympics, including swimmer Pan Zhanle, who notably set a world record in the men’s 100 meters freestyle event.
In addition to its Olympic success, Anta reported a substantial increase in online revenue, with e-commerce sales rising by 25.1 percent, making up 33.8 percent of total revenue—up from 30.8 percent during the same period last year. This growth is attributed to enhancements in the sales channels of established e-commerce platforms such as T-mall, JD.com, Pinduoduo, and VIP.com, as well as the expansion into new social media e-commerce avenues.
Anta has also declared an interim dividend of HK$1.18 per ordinary share, reflecting a 43.9 percent increase from the previous year’s interim dividend of 82 Hong Kong cents. In addition to its flagship brand, Anta’s portfolio includes several global brands, such as FILA, Descente, Kolon Sport, and Maia Active.
Furthermore, Anta has announced plans to allocate up to HK$10 billion for the repurchase of its shares over the next 18 months, highlighting confidence in the company’s continued growth. Chairman Ding Shizhong noted in the interim report that the expansion of the group’s multi-brand strategy, alongside its commitment to globalization, has enhanced the visibility and recognition of Anta products among sports enthusiasts worldwide. The strong performance across its diverse brand portfolio reinforces the company’s optimism regarding the future of the industry and its sustained growth potential.
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