Li-Ning 2025 Annual Performance Revealed: Revenue of 29.598 Billion, Multi-Channel Synergy Driving Steady Growth

Li Ning (02331.HK) recently announced its financial performance report for 2025, showing steady growth over the past year. During the reporting period, the group’s total revenue reached 29.598 billion RMB, a 3.2% increase year-over-year, with a healthy gross profit margin of 49%. Operating cash inflow was 4.852 billion RMB, net profit attributable to shareholders was 2.936 billion RMB, with a net profit margin of 9.9%. Earnings before interest and taxes (EBIT), plus depreciation and amortization, reached 20.8%. The company plans to pay a final dividend of 23.36 cents RMB per share, providing substantial returns to shareholders.

In terms of channel performance, franchise dealer channels continued to play a core role, with revenue increasing by 6.3% year-over-year and accounting for 46.6% of total revenue, becoming the main driver of performance growth. E-commerce channels also performed well, with revenue up 5.3%, thanks to the group’s ongoing online marketing expansion, strengthened cooperation with major e-commerce platforms, and active pursuit of emerging e-commerce marketing opportunities. In contrast, retail channels faced some pressure due to adjustments in directly operated stores and shifts in consumer scenarios, but the company stated it will focus precisely on consumer needs, deepen user engagement, and optimize store networks to promote deep integration and collaborative growth of online and offline channels.

Regarding operational efficiency, Li Ning Group maintained healthy levels. The average operating capital as a percentage of revenue was 7.7%, with a cash cycle of 37 days, an increase of 2 days from last year but still within a reasonable range. The inventory-to-sales ratio across all channels was controlled within four months, and inventory levels and aging structures remained healthy, providing strong support for future sales growth. Offline new product retail sales accounted for 83% of total offline sales, indicating continuous product structure optimization and increasing market competitiveness.

Overall, Li Ning Group achieved steady growth in 2025 through multi-channel collaboration, refined operational management, and product innovation upgrades. Facing the transformation and challenges of the retail industry, the company will continue to focus on consumers, deepen omnichannel integration, improve operational efficiency, and create greater value for shareholders and consumers.