13 Mar 2025
FY24 revenue was up 19.6% YoY to Rmb10.1bn, with core brand retail value up by high-teens/10%/10%/10% YoY and that of 361º Kids up by 20-25%/mid-teens/10%/10-15% YoY in 1Q/2Q/3Q/4Q. GPM was up by 0.4ppt YoY to 41.5%, with adults-footwear/adults-apparel/kids-footwear/kids-apparel GPM recorded a change of +0.5/+0.8/-0.5/-0.2ppt YoY to 42.9%/41.3%/41.4%/41.9%. The increase in GPM of adults’ products was mainly due to better cost control and strategic pricing. The decline in GPM of kids’ products was mainly caused by lower AWP of footwear and higher cost of production for upgrading product’s quality. S&D expense surged by 19% YoY to Rmb2,211m (S&D cost ratio – FY24: 22.0%, FY23: 22.1%) as A&P were up by 21% YoY with more online promotion to enhance brand recognition, while admin expense was up by 11% YoY to Rm699m mainly due to the YoY increase in the R&D expenses by 9.0% to Rmb342m in FY24 and the rise in staff expenses. As a result, NP was up by 19.5% YoY to Rmb1,149m. Full year payout ratio for FY24 rose to 45.0%, compared to 40.2% in FY23.