Li Ning, a Chinese sports brand, exceeded 10 billion yuan for the first time in 2018.
On March 22, 2019, Li Ning Company announced the 2018 annual results announcement. According to the announcement, in 2018, Li Ning's annual revenue was 10.51 billion yuan, and its revenue exceeded 10 billion for the first time, up 18.4% year-on-year; the net profit attributable to owners of the company was 715 million yuan, up 38.8% year-on-year; gross profit margin was 48.07%. Compared with 47.06% in 2017, it has increased by 1.01%; the net profit rate is 6.80%, which is about 1% higher than the 5.81% in 2017.
For the growth of revenue in 2018, the financial report shows that it mainly benefits from three aspects. First, the e-commerce channel develops rapidly, and the proportion of revenue continues to rise. Second, it benefits from product, channel control and operational capability improvement. Li Ning brand and products Market recognition increased, terminal sales performed well, direct income and dealer revenues both achieved double-digit growth; third, basketball and sports fashion categories performed well, and children's wear also received good market response, with obvious growth.
In 2018 and 2019, Li Ning branded itself as a “national tide” through New York and Paris Fashion Week. This made the “China Li Ning” sports fashion category quickly hit the market and is expected to become an important performance contribution category for Li Ning.