LI NING (02331) revenue increased by 3.2% to 29.598 billion in 2025, leading growth in the professional sports category.

On March 19, LI NING Limited Company ("LI NING" or the "Company," together with its subsidiaries, collectively referred to as the "Group"; Hong Kong Stock Exchange stock code: 02331 (HKD counter) and 82331 (RMB counter)) announced today the audited comprehensive performance of the Group for the year ended December 31, 2025 ("the year"). The performance met expectations, with a solid business foundation and sufficient cash reserves. In 2025, the Group continued to enhance product technology performance, optimize channel efficiency, and deepen brand professionalism, maintaining a stable operating performance throughout the year. In the year, the Group's revenue reached RMB 29.598 billion, an increase of 3.2% compared to the same period in 2024. The gross profit was RMB 14.489 billion, an increase of 2.4% compared to the same period in 2024, with the Group's overall gross profit margin at 49.0%. In the year, the Group's attributable net profit to equity holders was RMB 2.936 billion, with an attributable net profit margin to equity holders of 9.9%; the return on equity attributable to equity holders was 10.9%. Basic earnings per share were RMB 1.1391. The Board of Directors recommended a final dividend of RMB 0.2336 per ordinary share for the year ended December 31, 2025, together with an interim dividend of RMB 0.3359 per ordinary share paid in September 2025. The total annual dividend for the year ended December 31, 2025 will be RMB 0.5695 per ordinary share, with a dividend payout ratio of 50%. In terms of cash flow management, the net cash generated from operating activities in the year was RMB 4.852 billion. As of December 31, 2025, the cash and cash equivalents (including bank and hand cash, as well as term deposits not exceeding three months from the original maturity date) were RMB 16.717 billion, an increase of RMB 9.218 billion compared to December 31, 2024. Adding back the amount recorded in bank term deposits, the cash balance was RMB 19.973 billion, a net increase of RMB 1.833 billion compared to December 31, 2024. This year, the cash generated from operating activities decreased compared to the previous year due to an increase in market expenses, taxes, and other cash expenses, as well as the difference in settlement time for e-commerce platforms. The redemption of term deposits at maturity significantly increased the net cash generated from investing activities. The Group will continue to focus on cash flow management to ensure the long-term stable development of the Company. Deepening the "single brand, multiple categories, multi-channel" strategy, brand competitiveness and market influence continue to increase. In 2025, the Group anchored the "single brand, multiple categories, multi-channel" strategy, pushing strategic development in product upgrades, channel optimization, and brand marketing direction. The Group continued to focus on six core categories: running, basketball, comprehensive training, badminton, table tennis, and sports leisure, seizing opportunities in emerging areas and actively expanding into outdoor sports, tennis, pickleball, and other niche sports categories. Throughout the year, the Group continued to empower product upgrades with technological innovation, increased professional sports resource investments, and carried out multidimensional marketing activities around strengthening professional sports, leading sports fashion, and promoting Eastern aesthetics, enhancing brand awareness and influence.