ANTA leads China’s sportswear industry to recover

‍‍Running has recently become a trend in China. From ordinary people to celebrities, everyone is uploading their running record on social media platforms. Thanks to this trend, sportswear industry is making a strong comeback.

According to 5 sportswear companies in China which have published their H1 earnings, they have all experienced an increase in revenues and net profits. Li-Ning which suffered a huge deficit of 586 million RMB in the first half of last year, has managed to cut this loss to 29.4 million RMB while ANTA could become China’s first sportswear brand whose yearly revenues could exceed 10 billion RMB since its H1 revenues have already reached 5.11 billion RMB. “A U shaped bounce back has occurred in the industry,” Zhang Qing, CEO of Key-solution Sports Consulting Company said.

Compared with other domestic sportswear companies, Li-Ning used to hold a safe lead with its revenues peaking at 9.4 billion RMB in 2010. But it has been left far behind by ANTA due to a dreadful enterprise transformation.

After two years of store closures, streamlining operations and inventory clearance, China's sportswear sector is on the mend with ANTA being the best placed among its rivals to recover, analysts said.

Source: sina‍‍

Proofread by Raymond Fitzpatrick